Non-Tariff Barriers

Complaint

Complaint number

NTB-000-463  

NTB Type

2.10. Inadequate or unreasonable customs procedures and charges  

Complaint

Imported whey permeate from the U.S. was charged an import duty amounting to P10 755.90 for goods valued at USD $4 875.00 (approximately P4100). In addition, they refused to recognize the product as being a whey product, which carries a lower rate of duty than the category for which we were charged. The product we were importing, known as Versilac, is a type of whey permeate, being the material passing through the filter used for extracting whey protein from whey. The only dairies producing whey permeate are those producing whey protein concentrate. No dairy in Southern Africa produces either whey protein concentrate or whey permeate. Our only option is to buy imported permeate and concentrate from South African importers, or to import it ourselves. Why should anyone pay a duty amounting to 262% of the value of the goods when similar goods are not produced anywhere in the region? The officers at BURS in Gaborone insisted they were making correct charges and calculations but we were not provided with an analysis, only the receipt we received once we paid the full amount. Our goods had already been at the airport a week trying to sort the issue out. Finally, we were forced to pay as we needed to begin production.  

Status note

On 25 November 2012, the comlainant reported that the issue was partially resolved a few months later, when the company received a refund for some of the duty charged. BURS acknowledged that they had the wrong duty amount for that classification in their system. It is therefore assumed that the correct duty will now be charged from that time onwards. The company will continue to engage BURS to consider possibility of waiving duty 0n grounds that the product is for use in treatment of acute malnutrion, in other words it is a life-saving product. This NTB is therefore considered resolved.  

Progress update note

on 9 january 2012, Botswana focal point reported that , , it is difficult to resolve this particular NTB due to insufficient information provided to work with. The conversion of the value of goods does not make sense ($4875 = P4100). The following questions need answers: i) What was the exchange rate used, ii) what date were the goods cleared, iii) what commodity code was used and iv)what commodity code does the complainant feel should have been used? Since some issues like classification related issues are resolved by reaching a consensus among the parties involved, customers are therefore advised to personally visit the BURS Head office, Classification Unit to resolve any discrepancies of this nature.  

Policy or regulatory NTB

No 

Location

Botswana: Sir Seretse Khama International Airport (Airport)  

Reporting Country or Region

Botswana  

Country specific trade issue

No  

Date of incident

2011-09-21  

Status

Resolved  

Date of resolution

2012-11-25  

Product Description

Whey permeate.

Computer-assisted translation

• English
• Arabic
• French
• Portuguese

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Total value

0  

Date reported

2011-09-22 14:42  

Modified

2012-11-26 22:06