RIYADH, 2 August 2007 — The Valuation Department at Dubai Customs has adopted a novel method to ensure imported goods are appraised according to their correct value and stop importers from undervaluing goods to avoid custom duties.
In an email message sent to Arab News from Dubai, Aisha Majid Bint Thaniya, senior manager of the Valuation Department at Dubai Customs, said the new procedure prevents importers from undervaluing goods.
The Valuation Department’s new project is in line with Dubai Customs’ strategic plan (2007-2015) to enhance economic growth, boost government revenues and leverage the competitive strength of the domestic economy. “This will yield great benefits to traders and underline the need for voluntary compliance with the custom department’s requirements,” said Bint Thaniya.
She affirmed that the new approach, which is based on Article VII of the General Agreement of Tariffs and Trade (GATT), would give a boost to the country’s economy. “Customs valuation by the new method will help realize customs duties in a fair and equitable manner thereby preventing the loss of revenue. Moreover, the implementation of these procedures would highlight a discrepancy to the extent of 1.5 billion dirhams between real customs values and declared ones.”
She added, “The main objective of the new measure is to lay a solid basis for free international trade through cooperation among all concerned parties. We are confident that the UAE, and Dubai in particular, will play a vital role in promoting secure international trade that is free from risks that threaten the economy and society at large.”
The World Customs Organization (WCO) has paid tributes to Dubai Customs for adopting practices in accordance with recognized WCO standards.
Meanwhile, the Valuation Department, in collaboration with the Dubai Customs’ IT department, launched its new Valuation Database Project.
The new project aims to compile and enter the prices of goods and commodities, including different kinds of vehicles and machineries, into a database.
“This project will positively impact the customs mechanisms by using a database for prices as a Customs Risk Engine. It will assist in providing a uniform valuation system based on scientific bases and international standards. This project will prevent the manipulation of some importers in undervaluing imported goods,” Bint Thaniya added.
