Unprecedented tax reforms undertaken by Indian Customs for enhancing
Indian Customs has taken a series of measures to simplify Customs processes and procedures during the last few years.
Reforms undertaken since April,2017
- An online paperless Processing application ,E-SANCHIT,allowing trader to submit all supporting documents for clearance of consignments electronically has been introduced.There is no to approach different regulatory agencies with hard copy of documents.
- Enhanced facilitation through Risk Management System has resulted in lesser time taken for clearances .
- Direct Port Delivery(DPD) allows registered importers to complete Customs clearances at the terminal itself and containers can be taken directly to factories without going to CFS.
- Direct Port Entry (DPE) allows direct entry of export cargo into port terminal without any need for going to CFS.
- Authorized Economic Operator (AEO) scheme provides faster customs clearances and simplified Customs procedures to business entities.Already more than 1700 entities are getting benefits under it.
- Mandatory filling of Bill of Entry within specified time has resulted in discipline among the trade and resulted time in case of imports.
- E-sealing of containers has been introduced has been introduced replacing earlier practice of supervised sealing by departmental officers .It has enhanced the integrity of cargo as RFID tamper-proof e-seals are being used to seal containers now.
Reforms undertaken during 2016-17
- Single Window interface for Facilitating Trade(SWIFT) eases the NOC issuance procedures for 6 main Governmental Agencies and allows importers & exporters,the facility to lodge their clearance documents online at only a single point.
- Only 3 mandatory documents now required for imports/export which includes Bill of lading/Airways Bill,Commercial Invoice-cum-packing List and Shipping Bill/Bill of Entry from the earlier obligatory 10 document.
- Based on the principle of ‘Clear first-Pay later’, facilitates just-in-time manufacturing.Currently being extended to importers holding AE0 T-2 or T-3 Status.
24X7 Customs Clearance facility extended to goods covered by facilitated Bills of Entry goods Shipped under Free Shipping Bills at designated Seaports & Air Cargo Complexes.
National Committee on Trade Facilitation (NCTF) is an effective deliberative and decision-making structure.With its three tiered composition and with representative from trade and various government agencies pn board,NCTF helps to ease bottlenecks for faster and streamlined for faster and streamlined clearance of goods.
- Customs Clearance Facilities Committee (CCFCs) have been set up under the chairmanship of Chief Commissioner of Customs/Commissioner of Customs CCFCs expedite clearances of imports and exports goods and hep grievances of trade and industry at various seaport,airports,ICDs and LCSs.
The overall impact of above reforms in terms of time and cost associates with imports and exports can be judged from the Time Release Study (TRS) 2018 data conducted at JNCH Mumbai as under:
The percentage of cases of filling Advance Bill of Entry has increased to more than 59%.
- The average release time for imports has improved to 144.18 hours in 2018.
- The average release time for DPD Facillitated Bills Of Entry is 84.48 hours.
- In case of Bills of Entry for auto-components falling under Customs Tariff Haading 8708.the Average release time is 91.52 hours.
- The net average export release time,arrived at by excluding the domestics trasports time from the gross avergae export release time is 84.1 hours.
Imports and Exporters can track thair documents and conatiners on ICEGATE website.
- The location of containers can be traced using facility”Track yours Container” on www.icegate.gov.in for cargo moving to Nhava Sheva,Hazira and Mundra Ports only.
- The current status of Bill of Entry or Shipping Bill can be traced by logging into the ICEGATE WEbsite.
- Already electronci tracking of Nepal-bound cargo has been launched by customs.