Govt eases rules to help exporters handle cargo stuck due to Iran war 
India

Govt eases rules to help exporters handle cargo stuck due to Iran war

IANS Agency

New Delhi, March 18 (IANS) The government has rolled out a set of customs and logistics facilitation measures to help exporters handle cargo that has been stranded or returned due to the closure of the Strait of Hormuz amid the ongoing Middle East conflict.

The measures allow exporters to bring back cargo into the domestic system while easing storage and handling costs, as shipping lines suspend bookings and Gulf ports operate under restrictions due to the Iran war. The steps are aimed at preventing procedural bottlenecks as shipments are rerouted or returned due to the disruption.

A latest circular issued by the Central Board of Indirect Taxes and Customs (CBIC) allows shipping lines to file fresh arrival manifests at the port of landing, followed by verification of containers and their seals, with mandatory 100 per cent examination in cases where seals are found tampered.

The circular specifies that if a vessel returns to a different Indian port without visiting a foreign destination, shipping lines or their agents must file a Sea Arrival Manifest (SAM) at the port where it docks, as per customs rules. A dummy port code will be used in the system for such cases.

The circular also provides for permitting “Back to Town” clearance after due verification, enabling exporters to take returned cargo back into the domestic supply chain.

However, provisions are being made to ensure that the port of export takes steps to ensure reversal or recovery of such export incentives if these have already been disbursed.

The cancellation of shipping bills even after export general manifest filing is also being allowed, with details of such cancellations to be shared with agencies including the Reserve Bank of India (RBI), and Director General of Foreign Trade (DGFT) through Indian Customs Electronic Data Interchange Gateway (ICEGATE).

Till this facilitation measure is in operation, field formations of the Customs Department have been directed to maintain records manually and update them once the system is in place, it said.

The customs circular also provides for temporarily expanding international transshipment, allowing movement of less-than-container load (LCL) cargo from all notified ports and airports till 31 March, subject to safeguards.

It further permits temporary unloading and storage of liquid bulk and break-bulk cargo diverted to Indian ports, under customs supervision and with strict conditions to ensure that such cargo is not diverted into the domestic market.

Meanwhile, Navratna PSU Container Corporation of India (CONCOR) has also introduced temporary relief measures at its inland container depots (ICDs), for export containers that are stuck in transit. It has offered 30 days of additional free storage and a 30 per cent discount on plug-in charges for reefer containers.

Besides, CONCOR has reduced wharfage charges for warehouse-stuffed cargo and waived terminal, infrastructure and equipment imbalance charges if exporters take back containers within the specified timelines. It has also announced an additional 5 per cent discount on rail freight for containers returned from ports to ICDs, according to an official statement.

The facilitation measures will apply to cargo and containers handled during March, reflecting the immediate impact of the disruption on export logistics, according to an official statement.

--IANS

(This report is auto-published from IANS wire service. NewsGram holds no responsibility for its content)

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