Webad valorem (AV): a tariff rate charged as percentage of the price applied rates: duties that are actually charged on imports.These can be below the bound rates; bound rates (tariff binding): commitment not to increase a rate of duty beyond an agreed level.Once a rate of duty is bound, it may not be raised without compensating the affected parties WebBasic Duty is a type of duty which is imposed under the Customs Act (1962). It varies for different commodities from 5% to 40%. The duty rates have already been mentioned in the First Schedule of the Customs Tariff Act, 1975 and are amended from time to time under the Finance Act. The duty can be fixed on ad –valorem basis or specific rate basis.

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