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  • Category: Services

    What is custom duty charges for importing Machineries

    Want to know the duty charge for importing machinery? Searching for the procedure and duty charges? On this page you can read responses from experts and get answers to your query.

    I am going to import used Chinese made concrete hollow block manufacturing machine from Doha-Qatar. Ist has been purchased from China and lying in Doha-Qatar. So how much custom duty charges do I have to pay at the port? It will be shipped by sea transport. I have attached images of machines i am going to import.

    Ch Block Machine1


  • Answers

    3 Answers found.
  • Custom duty for used machinery from china to India depends on the HS code they show exactly on the invoice they raise. Please get that HS code. Visit the following site where in they have given the formula for calculation of excise duty.
    Using the formula they have given you can calculate the customs duty to be paid.

    always confident

  • Custom duty depends on the machine parts or whole machine you are importing. There are different import duty for different machine categories like in Agriculture and Power equipment machines the custom duty is less.To import a machine outside from India you need IEC CODE (Import Export Code ) which you can get from director general of foreign trade office (DGFT). Custom duty on a item a is calculated according to internationally accepted HS code and then levy duty which is mentioned by the Ministry of Finance for respective financial year during budget.You can calculate the Custom duty after getting the HS code. After that you use Custom Import Duty Calculator for Industrial Machinery Import charges. Custom Import Duty Calculator is calculates with the help of
    a) Assessable Value – (A)(CIF Value + 1% Landing Charge of CIF),
    b) Basic Duty – 7.5 % (B)(A) x Basic Duty Rate
    c) CVD: Additional Duty – 12.5 % (C)(A+B) x CVD Rate
    d) Central Excise Edu Cess – 3 % (D)(C) x Central Excise Edu Cess rate
    e) Customs Education Cess – 3 % (E)(B+C+D) x Customs Edu. Cess rate
    f) Special CVD – Special Duty – 4 % (F)(A+B+C+D+E) x Spl. CVD rate

    Total Custom Duty = A+B+C+D+E+F

  • As already detailed above HS code is required for calculation of duties.
    I have found out that for this particular machinery and its parts these are generally covered under HS numbers 84749000, 40094200 & 73079290.
    The custom duty calculated for them as per the formula A+B+C+D+E+F comes to 18.8 % for each of the first two HS numbers and 28.8% for the last HS number.

    Thoughts exchanged is knowledge gained.

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