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of <h1>Understanding FOB Value Calculation Under Customs Tariff Rules, 2011 for India-Malaysia Trade: Ex-Factory Price Plus Additional Costs</h1> The method for calculating the FOB (Free on Board) value under the Customs Tariff Rules, 2011, for goods traded between India and Malaysia involves determining the ex-factory price plus additional costs. The ex-factory price includes the production cost and profit, where production cost comprises raw materials, labor, and overhead costs. Raw materials' cost accounts for freight and insurance, while labor costs cover wages and employee benefits. Overhead costs encompass various expenses such as factory maintenance, utilities, research, royalties, and inspection. Additional costs include domestic transport, storage, port handling, and other export-related expenses.
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