PAKISTAN ADJUSTS IMPORT LEVIES ON EDIBLE OILS

KARACHI, June 21 (Reuters) - Pakistan said on Thursday it hadadjusted levies imposed on the import of most key edible oils,effective July 1, although import duty and other taxes on RBDpalm oil and soybean oil would remain unchanged."The government has adjusted sales tax and import duties onthe import of all edible oils to be in line with RBD palm oil,"an official from the finance ministry's Central Board of Revenue(CBR) told Reuters from Islamabad.He added that the CBR was still waiting for final policydocuments on the changes and said earlier information indicatingsales tax on all edible oils had been raised to 20 percent from15 percent was "misinterpreted".From July, import levies on coconut oil and palm kernel oilwill be increased, while rates applied to RBD palm olein would bereduced, he said.Palm oil will retain the current 10,800 rupees per tonneduty, 15 percent sales tax and three percent income tax; whilesoybean oil will remain unchanged with 9,050 rupees per tonne, 15percent sales tax and three percent income tax, the officialsaid.Import duties and sales tax on a number of lesser importededible oils were generally increased.Traders in the southern port city of Karachi said the markethad been confused after the CBR, Pakistan's tax collection body,said earlier this week sales tax on all edible oils had beenraised, while the new duty schedules had yet to be officiallyreleased."We are waiting for a notification from the CBR and afterthat things will be clear," said a palm oil dealer.Pakistan annually imports about 1.3 million tonnes of edibleoil products, led by palm oil, mostly from Malaysia, to help meetdomestic demand of 1.9 million tonnes.Table showing import levies on Pakistan's main edible oilimports:Commodity Status New Duty Pvs Duty Sales Tax Income Tax(rupees/T) (rupees/T) (pct) (pct)RBD Palm Oil N/C 10,800 10,800 15 3RBD Palm Olein decrease 9,050 10,800 15 3Palm Kernal Oil increase 10,800 Nil 15 3Soyabean Oil N/C 10,200 10,200 15 3Coconut Oil increase 9,500 Nil 15 6Note: N/C = no changeSource: Central Board Revenue($1 = 63.62)((Karachi newsroom 92-21-5685192; fax 5673428))