It manufactures CRC products with a width of 500 mm and above and with thickness from 0.3mm to 4.75 mm. It installed most modem machinery and equipment and has most sophisticated state of the art manufacturing technology following British Standard (BS).
Annual production capacity of the plant is 40,000 MT. The capacity can be increased by 30% with slight modification (in reverse) if local and export demand is increased.
In budget 2008-09 the import Flat Rolled products of stainless steel of width more than 600mm was allowed @ zero percent customs duty under Serial No 28 to table I of SRO 567(1)/006 dated 05-06-2006 (as amended) against PCT heading No 7219.9090 without any preconditions.
But ironically, the description mentioned against PCT heading in SRO 567(1)/2006 is "Flat Rolled Products of Stainless Steel of width of 600mm or more" which is the description of PCT main Heading 72.19, meaning thereby that every product under PCT Heading 72.19(7219.1100/1200/1300/1400/210/2200/3100/3210/3290/3310/3390/3410/ 3490/3500/3590/9010/7219.9090) attracts customs duty @ zero percent, whereas 5% customs duty is levied in regular tariff.
The applicant stated that analysis of the Federal Bureau of Statistics data revealed that more than 90% of total imports of Cold Rolled Stainless Steel Coils are being made under PCT Heading 7219.9090 instead of classifying the imported goods correctly under respective sub heading of 72.19;
As per the applicant there is no question of manufacturing of secondary or manufactured waste of stainless steel coils and sheets of any quality AISI 200, 300, 400 only the prime quality is manufactured world wide. He claimed that the importers mis-declared, under invoiced and got clearance of their products under cover of Serial 10 of the Trade Policy "factory rejects and goods of job lot/stock lot or sub standard quality" by taking the undue leverage resulting in a huge loss to the national exchequer.
The applicant is a manufacturer of Cold Rolled Stainless Steel Coils and this product already stand included in the list of locally manufactured item by EDB, and exists at Serial 145 of SRO 565(1)/2006 (amended vide SRO 107 dated 03-02-2009). Therefore, the benefit of the SRO 567(1)/2006 be allowed to the applicant as a bonafide local manufacturer.
The applicant has huge investment in the only project of its kind in Pakistan and providing state-of-the-art locally produced products to their customers. In view of the above position, the applicant has requested for imposition of Regulatory Duty or enhancement in Customs Duty.
The applicant has also requested for deletion of Serial 28 to Table I of SRO 567(1)/2006. A public hearing on the issue is scheduled to be held on February 2, 2010 at 11.00 am in Life Committee Room of NTC, Islamabad. As per the Public Notice dated 15.01.2010 the NTC has initiated an investigation and would welcome views, suggestions and proposals from all parties having an interest in the business relating to or associated with the imports, manufacturing and marketing of Cold Rolled Stainless Steel Coils, Sheets and Circulars.
The views/suggestions may be sent within fifteen days of publication of this press release in the newspapers, to the Secretary, National Tariff Commission, 4th Floor, State Life Building No 5, Blue Area, Islamabad.
The NTC has asked all parties having an interest in the business relating to or associated with the imports, manufacturing and marketing of Cold Rolled Stainless Steel coils, Sheet and Circulars are hereby advised to get themselves registered with the National Tariff Commission latest by January 30, 2010 for participation in the Public Hearing by providing names of the participants with their telephone numbers (Cell/LL) and fax numbers to the Deputy Director (S & P) on fax No 051-9221205.-PR