Trade Policy Updates (From 16th July to 21st July 2018)
1) Australian government releases report to boost economic ties with India.
2) Pakistan’s Federal Board of Revenue (FBR) has withdrawn sales tax zero-rating facility on the import of raw and ginned cotton and subsequently imposed 5% sales tax on Cotton import.
3) Bangladesh will lose duty-free access given by the European Union (EU) on readymade garment (RMG) exports in 2020 as it is expected to cease being a ‘least developed nation’ by then.
4) USA is proposing to further escalate its efforts to address concerns with China’s policies on intellectual property protection by imposing an additional 10% duty on 6,031 tariff lines from China with an import value of approximately US$ 200 billion.
5) International online retailers who sell in Australia will be required to collect goods and service tax (GST) on all products sold valued at 1,000 Australian dollars (AUD) or less. Retailers using this system will only need to report total taxable sales and GST.
The tax, applicable to international retailers if they have a GST turnover of AUD 75,000 or more in a 12-month period, came into force after the Australian Government offered what it terms ‘fairer trading for all retailers’ to ensure that low-value goods purchased by consumers in Australia will have the same tax treatment, irrespective of the point of purchase.
6) India on Monday raised the import duties on a large number of textile apparels, fibres and related products such as carpets by up to 20 per cent.
It includes textile apparels and accessories, hosiery item and certain types of vegetable-based textile fibres, among others. Effective duty rate for most of these items have been doubled. Import duties had been increased for an even broader set of products and goods in the textile categories back in October 2017.
7) Japan has become the second country to complete domestic procedures for the Trans-Pacific Partnership-11 agreement, officially known as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.