ISLAMABAD, June 18: The federal government has exempted customs duty in excess of duties liable under the customs act on import of raw materials, sub-components and component used in the manufacturing of 16 kinds of goods.

According to the Central Board of Revenue notification, the exemption would be available only on the imported items, which were not locally manufactured, and following the fulfilment of certain conditions.

Under the notification, the government in a major step has exempted the customs duty on import of raw materials, sub-components and components for tractors. However, for other vehicles the import duty was fixed at 5 per cent on raw materials, 10 per cent on sub-components, and 10 per cent on components.

The import duty on raw materials of wire rope, cable and conductor was fixed at 10 per cent.

And the import duty on raw materials will be 5 per cent, 10 per cent on sub-components and 20 per cent on components of insulators, air-conditioning, chilling, humidification and industrial refrigeration plants, refrigerated vehicles, chillers for milk storage and bowzers for transportation of LPG or hazardous chemicals, centrifugal and turbine pumps, cranes and derricks, electric meters, electrical capacitors, industrial switch gears, high voltage electrical switches, diesel generating sets, generators and boilers, LPG tanks, gas pressure regulators, heat exchanger and pressure vessels.

For air-conditioners, deep-freezes and refrigerators, the duty on raw materials will be 5 per cent, on sub-components 10 per cent and on components 10 per cent, respectively.

The government fixed 5 per cent duty on raw materials, 10 per cent on sub-components and 10 per cent on components of telephone sets, fax machines, speakers, small transformers, telecommunication equipments, electronic exchanges, PABX/digital switching equipments, electronic diagnostic, monitoring and laboratory equipment for medical use, solar cells and panels, while 20 per cent on modules and sub-assemblies.

The exemption, however, will not be available on artificial plastic resin, mild steel bars, rods and wire rods under this notification.