Trade Talks

In last month’s Cross-border Trade Val-bytes, we saw an introduction to Cross-border Trade Valuation. I hope my previous introductory article helps you to understand the significance of valuation in international trade. In this month’s article, we will try to boil down the valuation in a more comprehensive manner. Valuation is broadly defined into two parts in the form of rules namely: Customs Valuation (Determination of Value of Exported Goods) Rules, 2007 The value of the export goods shall be based on the transaction value of goods of like kind and quality exported at or about the same time to other buyers in the same destination country of importation or in another destination country of importation adjusted. While determining the value of export goods several factors are taken into consideration like commercial levels, quality levels, differences in composition, quality, and design between the goods to be assessed and the goods with which they are being compared, differences in do