Single window valuation system cargo tracking

11.2.4 Deductive Value Method (Method 4)
Where the transaction value of imported goods cannot be 
determined on the basis methods 1 to 3, it is be determined by 
using the unit price of identical or similar goods imported within 
ninety (90) days that are sold in Ethiopia in their original state in the 
greatest aggregate quantity to persons who are not related to the 
seller and reducing some costs.
For the purpose of this method seller is the declarant and buyer is 
the whole seller or retailer or consumer who buys the goods from 
the declarant.
The costs that are deducted from sale price are the following:
• The commission usually payable or the profit and general 
expense equal to that usually reflected in sales within Ethiopia 
of such goods;
• The usual charges for the transport, insurance and other 
related costs to be incurred within Ethiopia for the goods; and
• Import duties, taxes and other charges payable with respect to 
the goods.
In cases where the imported goods, identical or similar imported 
goods are not sold in their original state, the transaction value is 
determined by deducting the additional value resulting from the 
subsequent processing of the goods.
The conditions to determine the value based on this method are:
a) There is no relationship between the buyer and seller, or the 
declarant produces evidence showing that the relationship did 
not influence the price;
b) In relation with the goods sold, there is no lesser amount of 

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ETHIOPIAN CUSTOMS GUIDE -
MARCH 2017
97
payment or gift;
c) Evidence is provided showing the unit price of goods sold 
with high quantity.
The formula to calculate the customs value then is the following:
a) Where the imported good is sold without undergoing further 
processing, the formula is: