ISLAMABAD, Feb 4: The government has allowed duty drawback facility to manufacturers of plain shaft bearings.

The rate of duty drawback will be Rs107.41 per piece, which will be effective from February 3, 1998 to June 17, 2001. While from June 18, 2001, the new duty drawback rate would be Rs80.92 per piece.

To this effect, Central Board of Revenue (CBR) issued a notification here on Monday.

According to the notification, the facility would be available to Shah Sons Pakistan(Pvt) Ltd, Multan.

The goods on which the duty drawback facility would be available included: transmission shafts (including cam shafts and crank shafts) and cranks; bearing housing and plain shafts bearings; gears and gearing; ball or roller screws; gear boxes and other speed changers, including torque converters; fly wheels and pulleys, including pully blocks; clutches and shaft couplings (including universal joints).

The manufacturers have to come up with the following condition in order to get the facility:-

The goods have been manufactured according to the formula duly furnished to the Central Board of Revenue showing the quantity of various imported raw materials specified in column (1) of the said table and used in the production or manufacture of the goods specified in column (2) thereof; the manufacturer maintains proper record of the goods manufactured in accordance with the formula referred to in sub-paragraph (i) and procedures, on demand, such records and other evidence as may be required by the CBR to satisfy itself that the imported raw materials have been used in accordance with the formula.

The manufactured goods are exported out of Pakistan and an application for repayment of customs-duties is presented to the proper officer of customs within two hundred and ten days of such exportation or within one hundred and eighty days from the date of such realization of foreign exchange as shown in bank credit advice issued in accordance with the regulation of the State Bank of Pakistan in force for the time being.

The exporter makes a declaration on the face of the original shipping bill or other export documents to the effect that he would claim repayment of the customs-duties paid on the imported raw materials used in the production or manufacture of the goods being exported.

The repayment of customs duties at the rate specified shall be allowed provided that the goods exported are manufactured with the same constituents on which the rate of repayment is notified and the manufacturer cum exporter shall immediately intimate to the collector of customs concerned any change in the price of the imported raw materials; any change in the composition of the manufactured goods to be exported and use of any indigenous raw material in place of the important raw materials.