Customs Policy & Procedures
Customs Clearance of Export cargo
Documents required for clearance of export goods
• 1.
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7.
Shipping Bill, to be presented electronically unless
permitted otherwise.
G.R. I forms/SDR/SOFTEX/PP
Invoice and packing list.
Contract, letter of credit, purchase order
Export License/ Quota Certificate, where necessary
Export Inspection Agency’s certificate, where necessary.
ARE-1/2
Customs Clearance of Import Cargo
Documents required for clearance of Import goods
• 1.
Bill of Entry, to be
permitted otherwise.
presented
electronically
unless
• 2
Invoice and Packing list.
• 3.
Insurance Memo/Policy.
• 4.
Country of Origin certificate, where preferential rate is claimed.
• 5.
Import License, where necessary.
• 6.
Bill of loading or delivery order
Examination of Export Goods
At the gate way port of export relaxed regime of examination
 No examination for factory /ware house stuffed goods before the
central Excise / Customs officer unless the seals are found
tampered.
 No examination in case of free shipping bills i.e. where there is
no export incentive.
 Low percentage examination (Normally less than 10%) in case of
incentive/ export obligation shipping bills.
ICES 1.5 (Indian Customs EDI system)
 EDI system is being introduced at all the major Ports / LCS etc.
 Under new EDI system declaration in prescribed format are to be
filled, either online through ICEGATE or through the service
centers of customs.
 After submission of data to the system, it generates a shipping Bill
number, which is endorsed on the printed check list.
 For export items which are subject to export cess, the TR-6
challans for cess is printed and given by the services centre to
the exporter /CHA immediately after submission of shipping Bill.
E-payment
 E-payment facility at Customs locations is available through
more than one authorized bank at Customs locations
having ICES facility.
 Besides expediting the process of payment of duty and
clearance of imported goods, the facility of e-payment has
resulted in reduction of transaction costs.
Procedure for e-payment of Customs duty
 A centralized application called Indian Customs EDI System (ICES 1.5)
and E-payment facility has been extended to all ICES locations from more
than one authorized bank.
 To avail E-payment facility a person must open an INTERNET ACCOUNT.
 At Custom E-Payment Gateway (CEG) at ICEGATE (www.icegate.qov.in)
the users who are already registered with ICEGATE will automatically be
able to avail the facility of e-Payment as REGISTERED USER without any
further registration process, unregistered user with the ICEGATE can also
avail e-payment facility as an UNREGISTERED USER from the ICEGATE
home page.
Procedure for e-payment of Customs duty
 On successful payment, a cyber receipt will be generated by the bank for
successful transaction
 The user must come back to the ICEGATE site to complete the
transaction;
 After e-payment is made at CEG, ICEGATE will send the payment
particulars to the ICES. Thereafter, the Bill of entry shall automatically
move to the examination queue;
 The Importer/CHA need not produce any proof of payment for the
clearance of goods in case of e-payment.
Shipping Bill
Particulars to be given in Shipping Bill:
 It is the responsibility of the exporter to declare correct particulars, such as
number of packages, shipping mark, weight, description and value of the
goods to be attested by them (Customs).
 As the clearing Agent’s Staff has to sign the Shipping Bill on behalf of the
exporter, he must ensure that these particulars are given in the documents
supplied by Exporter viz., invoice, packing list etc., and these are duly
signed by him.
 In case of Drawback Shipping Bill, rate and amount of drawback, serial and
schedule number of item should be declared in the Shipping bill.
Processing of Shipping Bill –EDI
 Under EDI system, declarations in prescribed format are to be filed through
the Service Centers of Customs.
 A checklist is generated for verification of data by the exporter/CHA. After
verification, the data is submitted to the System to generate a Shipping Bill
Number, which is endorsed on the printed checklist and returned to the
exporter/CHA.
 For export items which are subject to export cess, the TR-6 challans for
cess is printed and given by the Service Center to the exporter/CHA
immediately after submission of shipping bill. The cess can be paid on the
strength of the Challan at the designated bank. No copy of shipping bill is
made available to exporter/CHA at this stage.
Types of Shipping Bills
 White shipping bill for export of duty free goods
 Green Shipping Bill for export of goods under claim for duty drawback
 Yellow Shipping Bill for export of dutiable goods
 Pink Shipping Bill for export of duty free goods ex-bond
System Appraisal of Shipping Bills.
 In many cases the Shipping Bill is processed by the system on the basis of
declarations made by the exporters without any human intervention.
 In other cases where the Shipping Bill is processed on screen by the
Customs Officer, he may call for the samples, if required for confirming the
declared value or for checking classification under the Drawback Schedule.
Status of Shipping Bill
 The exporter/CHA can check up with the query counter at the Service
Centre whether the Shipping Bill submitted by them in the system has been
cleared or not, before the goods are brought into the Docks for examination
and export.
 In case any query is raised; the same is required to be replied through the
service centre or in case of CHAs having EDI connectivity through their
respective terminals.
 The Customs officer may pass the Shipping Bill after all the queries have
been satisfactorily replied to.
 The check list and the declaration along with all original documents is
retained by the Appraiser concerned.
Generation of Shipping Bills
 After the “let export” order is given on the system by the Appraiser, the
Shipping Bill is generated by the system in two copies i.e. one Customs
copy, one exporter’s copy (E.P. copy is generated after submission of
EGM).
 After obtaining the print out the appraiser obtains the signatures of the
Customs Officer on the examination report and the representative of the
CHA on both copies of the Shipping bill and examination report.
 The Appraiser thereafter signs & stamps both the copies of the shipping bill
at the specified place.
Accredited clients Program (ACP)
Its objective is to grant assured
facilitation to
importers who have demonstrated capacity and
willingness to comply with the laws customs
department is required to implement.
Self Assessment
 Self assessment has been introduced for the export and
import of goods since 2011.
 An importer/ exporter shall self assess the duty leviable on
such goods.
Customs house Agent
In order to assist importers and exporters, the services
of Customs House Agents, duty licensed by Commissioner
of Customs, are available at international ports and
airports.
Duty Draw Back
Rebate of duty chargeable on any import or excisable
material or taxable services used as input services in the
manufacture of goods exports.
All Industry rate
It is fixed by the Govt. based on
average consumption pattern of
inputs and duties as suffered
thereon as well as tax on input
services. The schedule is
notified every year.
Brand Rate
If an exporter’s goods don’t
figure in all Industry rate
Drawback schedule or the all
industry rate is less than four
fifths of the input duties / taxes
paid by him, he can apply to the
jurisdictional commissioner of
central excise for fixation of
brand rates for his goods
Central Excise Rules for
exports
Export without
Payment of Duty
under bond
Export of manufactured /
processed goods after
procuring raw material
without Payment of duty
under bond.
Export under
claim of rebate
Rebate on excisable
materials used in the
manufacture of goods
which are exported out
of India.
Can import or procure from the
domestic sources, free of duty, all
their requirements of capital
goods,
raw
materials,
consumables, spares, packing
material, office equipment, DG
sets.
Can
supply
to
another
EOU/STP/SEZ
units without
payment duty and such supplies
are counted towards fulfillment of
NFE.
100% Export oriented
/STP/ EHTP/
EOUS are exempted from the antidumping duties
Supplies from the domestic area
to EOU allowed Deemed export
benefit.
Export/ Import Policy & Procedures
Exports and Imports
free unless regulated
• Exports and imports shall be free unless
regulated by the provisions of FTP or any
other law for the time being in The DGFT
specifies terms and conditions according to
which any goods, not included in the ITC
(HS), may be exported without a license /
certificate / permission.
Export of Passenger
Baggage
Bona fide personal baggage may be exported
from India. However, Certificate required for
Restricted items .
Export/ Import Policy & Procedures
Export of Gifts
• Goods, including edible items, of value not
exceeding Rs. 500000/- in a licensing year,
may be exported as a gift
Export of Spares
• Warranty spares, except those restricted
under ITC(HS), may be exported subject to
approval of RBI.
Third Party Exports
• Third party exports shall be allowed under
FTP
Export/ Import Policy & Procedures
Private Bonded
Warehouse for Exports
Realization of
Export Proceeds
• It may be set up in DTA as per the
terms and conditions issued by
Department of Revenue.
• If an exporter fails to realize the export
proceeds within the time specified by the
RBI, he shall be liable to action in
accordance with the provisions of FTP.
Registration-cummembership Certificate
• Any person, applying for (i) a
permission to import /export or (ii)
any other benefit
shall furnish
Registration-cum-Membership
Certificate (RCMC) .
Export/ Import Policy & Procedures
Export Items Reserved
for SSI Sector
Certificate of Origin
Import of Samples
• Other than SSI units may be permitted
to expand or create new capacity for
items reserved for SSI Sector if they
undertake export obligation for furnish
legal undertaking to DGFT, who shall
also monitor the export obligation.
• It is an instrument to establish evidence on
the origin of goods imported into any
country.
• No license /permission required for import
of bona fide technical and trade samples
except seeds, bees and new drugs.
However, export of samples of exportable
item shall be allowed without any limit.
Export/ Import Policy & Procedures
Direct negotiation of export documents (not through the
authorized dealers) with the permission of RBI. For
availing benefits under export promotion scheme copy of
Foreign Inward Remittance certificate (FIRC) is required in
place of the BRC.
Shipping Bill may be converted after export from one
Export Promotion Scheme to another scheme having
similar or less rigorous inspection subjected to approval by
the Commissioner of Customs.
Import/ Export through a registered courier service is permitted.
Offsetting of export Proceeds – Any Payable or equity investment
made by a licensee/ authorization holder under any export
promotion scheme, can be used to offset receipts of export
proceeds.
Export/ Import Policy & Procedures
Services rendered abroad shall not attract
service tax levy as service tax extends only to
services provided within India. Taxable
services provided by a service provider to SEZ
Developer or to a unit located in SEZ for
consumption of services within such SEZ is
also exempted from service Tax.
Exporters of gems and jewellery are eligible
to import these imports duty free by
obtaining Replenishment Authorization.
Citizen Charter
 Citizen Charter is the declaration of our mission, values and Standards to
achieve excellence for the benefit of trade, industry and other stakeholders
with a view to encourage voluntary compliance
 Control on cross border movement
 Combating revenue evasion, frauds etc.
 In order to improve the delivery of Customs services, SEVOTTAM has
been formulated to incorporated ISO standards.
Citizen Charter Standards
 Acknowledge all written communications immediately and in no case later
than 7 working days.
 Convey decision on matters related to declaration or assessments within
15 working days.
 Dispose of a refund claim within 3 months.
 Remit drawback within 7 days .
 Clear the goods, for export, within 24 hours, for import within 48 hours
where declaration relating to any consignment is complete and correct,.
Complaints and Grievances Redressal
 A Public Grievance Officer has been designated in each Customs House/
Commissionerate
 Prompt acknowledgement of complaints within 48 hours and attempt to
provide final replies within 30 days, if not possible an interim reply shall be
furnished.
 If remedy offered is not satisfactory, an appeal can be filled with the
Commissioner, Chief Commissioner.
Thank You