Islamabad, April 8, 2024- In a recent development, the classification committee of Pakistan Customs has announced the imposition of a 20 percent customs duty on the import of “CDM MAS CRUMBS,” a milk-based mixture with cocoa used in chocolates. The decision comes after a ruling issued by the committee on Monday, clarifying that the item falls under Pakistan Customs Tariff (PCT) heading 1901.9090, thereby subjecting it to a higher customs duty. The decision was prompted by credible information received by the authorities indicating that M/s Mondelez Pakistan was clearing “CDM MAS CRUMBS” under a lower tariff rate applicable to PCT heading 1806.2020. Upon further investigation, it was revealed that the correct classification for the product is under PCT heading 1901.9090, warranting a higher customs duty of 20 percent. In response to the ruling, a consignment was initially blocked, and a lab test was conducted to ascertain the composition and classification of the imported goods. Subsequently, the importer filed a petition in the Sindh High Court (SHC) for provisional release, which was granted. However, while awaiting clarification from the lab, another consignment containing an identical item was blocked, and its fate remains pending. The matter was eventually referred to the Classification Committee by the SHC to determine the exact classification of the subject goods. After thorough examination and consideration of various factors, including lab reports, manufacturer’s literature, and explanatory notes to the PCT headings, the committee concluded that the goods are a…