ISLAMABAD, Oct 11: Widespread under-invoicing being resorted to by unscrupulous importers goes unchecked, causing serious damage to local industries, officials admitted to Dawn here on Saturday.

They confirmed that in recent months the relevant authorities have received complaints from the private sector against under-invoiced import of as many as 54 items.

Well-placed sources told Dawn on Friday that the complaints were sent to the tax authorities for consideration by around 64 manufacturers-cum-exporters who were seeking necessary measures for countering the menace of under-invoicing.

They have asked for checking the value of under-invoiced goods in the country from where the suspected imports have originated in order for the government to obtain irrefutable proof against the unscrupulous importers.

The main products in which under-invoicing has been reported so far are: soda ash, caustic soda solid and flakes, high pressure laminates (formica), low pressure malamine sheets, colour TV from China, capacitors from China, cosmetics, shampoo, detergent, spices, blank magnetic video cassette tape, PVC sheets, plain pet film uncoated, polypropylene, acrylic blankets, coconut, skim milk powder, milk powder and iron pipe fittings.

Sources said under-invoicing complaints had also been received against the importers of white cement, polyester filament yarn, arching horns, use of waste and secondary material, chemical sample, pistons, seamless steel pipe and tubes, malamine resin, float glass, motorcycle tubes, pigments from China, tinplate, Chinese CBU motorbike, protection to motor cycle, asphalt, HMS scrap, flat roll iron and steel.

Similarly, under-invoicing in the value of iron and steel products, Chinese printing ink, Chinese toyo ink, stainless steel pipe, paper board, pencil, stationary items, writing printing paper, electric bulb and fluorescent lamp, high carbon wire rod, Toshiba photocopier, chemicals, welding electrode, pigments in powder carbide tips petroleum grease and pre-sensitized printing plates has also been reported.

Officials at the Central Board of Revenue told Dawn that to counter the menace, the government as a first step had already issued an SRO487 in the budget 2003-04 to provide some protection to local industries.

Under the SRO, they said that any person could offer a higher price to importers and take over the under-invoiced goods from the customs authorities.

According to ‘Take Over of Imported Good Rules, 2003’, notified through budgetary SRO487, in case of suspected under valued goods, the government had allowed the affected industry to buy all those goods at port at their actual value.

But the officials agreed that the SRO in question had not made any major difference to the practice of under-invoicing and that more stringent measures were needed to eradicate the menace.