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CBR imposes 10pc RD on urea import

SOHAIL SARFRAZ

ISLAMABAD: To stabilise the prices of urea and protection to industry, the Central Board of Revenue has announced 10 percent regulatory duty on the import of urea fertilizer.

This is subject to the condition that urea fertilizer imported at C & F cost which does not exceed $100 per tonne, will be subjected to 10 percent regulatory duty.

The Board has amended SRO 815 (I)/99 of July 1, 1999 through SRO (I)/2000 of customs on Tuesday.

Sources in the CBR said that this decision of the government would help to stabilise the price of urea in the local market.

According to the amended notification, the urea fertilizer falls under heading 3102.1000 of the First Schedule to the Customs Act, 1969 (IV of 1969).

Recently, the Economic Coordination Committee (ECC) of the Cabinet had allowed export of 100,000 tonnes urea fertilizer to meet the demand of urea manufacturers as the country has about 0.5 million tonnes surplus urea. The local production of urea in 1999 was 17.8 percent higher as compared to 1998.

It may be recalled that a few months back the CBR had also notified four slabs of central excise duty on the import of urea formaldehyde-moulding compound in addition to 25 percent custom duty.