ISLAMABAD, Oct 7: The collection of customs duties on import of vehicles and parts registered a growth of 432 per cent to Rs23.419 billion during the year 2004-05, as against Rs4.414 billion the previous year following the tariff rationalization of the auto sector.

Officials told Dawn on Friday that during the current fiscal year, the collection would record a substantial increase as custom duties were further brought down on import of vehicles during the budget 2005-06. They maintained that the relaxation of baggage rules in the Trade Policy 2005-06 for overseas Pakistanis would boost import of used vehicles, which would result in increasing customs duty collection.

The import of road motor vehicles had increased by over 96 per cent during the first two months (July-August) of the current fiscal year, over the same period last year. The official data available with Dawn showed that the tariff rationalization of vehicles and parts under Chapter 87 of the Pakistan Customs Tariff during the fiscal year 2004-05 resulted in a net increase of Rs19 billion in customs duties.

Within the chapter, a substantial increase of 476 per cent was registered in motor cars (PCT 8703) and vehicles for transportation (PCT 8704).

Further break-up showed that the customs duty collection on import of tractors during 2004-05 stood at Rs366.8 million, as against Rs1 million the previous year, indicating an increase of Rs365.8 million.

The customs collection on import of motor vehicles (10 or more persons) stood at Rs443.5 million during the year under review as against Rs20.1 million the previous year, an increase of Rs423.4 million; Rs16.902 billion on import of motor cars as against Rs2.934 billion, an increase of Rs13.968 billion; and Rs2.632 billion on import of motor vehicles for transportation as against Rs196.7 million, an increase of Rs2.453 billion.

The customs collection registered a growth of Rs90.4m on import of crane/lorries during the year 2004-05, as it stood at Rs114.2m as against Rs23.8m the previous year; and Rs890.2m on import of parts of motor vehicles as against Rs846.9m, an increase of Rs43.3 million.

Similarly, the collection customs duty on import of motor cycles stood at Rs1604.4m during the year 2004-05 as against Rs51.4m the previous year, an increase of Rs1553.3m; Rs461.1m on import of motor cycles parts, etc., as against Rs335.6m, an increase of Rs125.5m; and Rs3.9m on import of trailers as against Rs4.7m, showing a decrease of Rs0.8m.