The South African Revenue Service (Sars) recently published the Draft Amendment to the South African Harmonised System Tariff 2010 for comment. Although comments closed on December 4, 2009, these amendments will, in all likelihood, be introduced on January 1, 2010.

The proposed tariff amendments are in respect of the phasing down of customs duties in terms of the free-trade agreement (FTA) with the European Union; the phasing down of customs duties in terms of the FTA with the European Free Trade Association; the phasing down of customs duties in terms of the Motor Industry Development Pro- gramme; the reduction in the rate of customs duty on paper and paperboard; the reduction in the rate of duty on aluminium products; the reduction in the ‘general’ rate of duty on organic surface-active agents and primary plastic polymers; and technical amendments to the schedules of the Act.

The proposed tariff amendments are also in respect of a request from the Department of Environmental Affairs for separate sub- headings to identify chemicals and wastes controlled by multilateral environmental agreements; a request from Smith Capital Equipment for the creation of a separate tariff subheading for elevating platforms; a request from Fine Chemical Corporation for the creation of medicaments containing codeine phosphate; a request from the Association of Electric Cable Manufacturers of South Africa for the creation of separate subheadings for electrical conductors for a voltage not exceeding 80 V and for electric cables insulated with paper, plastic and rubber; a request from the Association of Steel Tube and Pipe Manufacturers of South Africa for the creation of a separate tariff subheading for certain steel tubes and pipes; a request from the Southern African Footwear and Leather Industries Association for the reinstatement of tariff subheadings for safety footwear; and a request from various local manufacturers for the reinstatement of tariff subheadings for certain chemical compounds in Tariff Chapters 28 and 29, as well as for a number of essential oils classifiable in tariff heading 33.01, which were deleted with the implementation of HS2007 owing to low trade volumes.

The Weeks Ahead

To ensure that you are up to date during the festive season and beyond with respect to South African customs, excise and international trade issues or any other related matters, visit our calendar at www.tariffandtrade.co.za.

Tariff Amendments – November 27

The amendment of a provisional payment in respect of staple fibres of polyester, not carded, combed or otherwise processed for spinning, imported from or originating in the People’s Republic of China that was imposed on November 6, 2009.

The deletion of tariff subheading 0207.14.05 for boneless frozen chicken and the insertion of tariff subheadings 0207.12.10 and 0207.12.90 in order to provide for mechanically deboned chicken.

The amendment of the description of tariff subheading 3919.90.23 in order to amend the width from centimetres to millimetres for other polymers of vinyl chloride. The amendment is effective with retrospective effect from August 14, 2009.

The insertion of tariff subheading 9405.40.80 to reduce the rate of customs duty on rope lights having a casing of polymers of vinyl (chloride) with an outside diameter of 13 mm or more but not exceeding 15 mm and internally fitted with interconnected lamps, to free of customs duty.

The reduction in the rate of customs duty on synthetic filament yarns of nylon and polyester and the deletion of its associated rebate items, and the deletion of antidumping items on fabric containing acrylic fibres originating in or imported from Turkey have been terminated with effect from November 10, 2009.

The insertion of a temporary rebate item to provide for mango juice concentrate with a Brix value exceeding 25, in such quantities, at such times and under such conditions as the International Trade Administration Commission of South Africa may allow by specific permit.