Facility of Direct Port Delivery to reputed importers/PSUs/EOUs/Defence-Regarding - Customs - TF 07/2011

OFFICE OF THE COMMISSIONER OF CUSTOMS CUSTOMS HOUSE: COCHIN-682009 TRADE FACILITY NO. - 07/2011 Sub: Facility of Direct Port Delivery to reputed importers/ PSUs/ EOUs/ Defence-Regarding. Representations have been made by the Trade that the paucity of adequate number of Container Freight Stations has resulted in high transaction costs and delay in getting the clearance of the imported goods through Cochin Port. It has also come to notice that certain difficulties are being faced by the Departmental Officers and other Stake Holders in this matter. Taking into account all of these factors and also in view of the proposed Legislative changes to be made in the Customs Act, 1962 , by introduction of Self Assessment Procedure , it has been decided to modify the Trade Facility 04/2011 dated10.02.2011, governing the movement of the import containers from ICTT Vallarpadom as an ad-interim measure till the EDI connectivity and other facilities are made available at ICTT or an alternative mechanism is developed. It is notified to the Trade and Public, that for this period, Direct Port Delivery for imported cargo shall also be permitted to, reputed regular importers who are actual users, or Public Sector Undertakings or Defence or Central Government or State Government Undertakings or EOUs or any other category, which the Commissioner of Customs may approve, in addition to, the importers having ACP status, on a selective basis. The DPD permission will be granted by Commissioner of Customs, Cochin, on the basis of application by individual importers. 2. Application for Direct Port Delivery Facility 2.1 All the Importers who are regular importer through the Cochin Port and are actual users or Public Sector Undertakings or Defence or Central Government or State Government Undertakings or EOUs are eligible to apply. (a) The Importer should have an unblemished track record. (b) The Importer should not have been penalized under the Customs Act/ FTDR Act/ FEMA/Central Excise Act or any other allied acts or be convicted by a criminal court during the last 3 years. (c) The Importer should not have any outstanding demand for short levy of duty/penalty or detention order, issued against them by Cochin Custom House or any other Customs formations in the country. Those who wish to avail of the facility are required to apply for Direct Port Delivery to the Commissioner of Customs in the prescribed Proforma set out at Annexure A through (Risk Management Division/SIIB). The request will be processed and the decision will be communicated to the applicant. 2.2 While considering the request, due account will be taken about the past performance of the importer including Volume of Traffic, Dwell time and nature of goods. 2.3 The Commissioner of Customs will grant the facility on a selective basis after satisfying himself/herself about the importer s ability to comply with the conditions specified. 2.4 Permission for DPD may be withdrawn by the Commissioner of Customs at any time in case of failure for adherence to conditions or any violation. 3. Filing of Bills of Entry and other Procedures 3.1 The Direct Port Delivery (DPD) will be available only to FCL containers covered by RMS facilitated Bills of Entry or where no examination is required. 3.2 In order to avail of the Direct Port Delivery facility the importer will have to file Bill of Entry, pay the Customs duty wherever applicable and other charges, and be in readiness to take delivery immediately on arrival of the vessel. In respect of bonded cargo the debits in Bond and other statutory requirements have to be completed prior to presentation of the Bill of Entry for Direct Port Delivery (DPD). In respect of RMS facilitated Bills not opened for Customs purposes but where samples are to be drawn for the statutory clearances like Plant Quarantine (PQ)/Prevention of Food Adulteration Act/Food Safety and Standards Acts/Drug Control Authority etc. Sampling shall be permitted in the following manner. The importer/CHA through the custodian shall present the containers from which the samples are to be drawn, at the designated earmarked space for inspection of seal by the designated Custom Officer at ICTT. The seals on the containers shall be verified by the designated officer with reference to the Bill of Lading/ Manifest accompanying the Bill of Entry, and if the seals are found intact the same shall be endorsed on the hard copy of the Bill of Entry. The seals shall be broken and the representative samples may be drawn by the statutory authority concerned, in the presence of the Customs Officer. After drawal of the samples, the containers shall be sealed with the Customs One time bottom seal (OTBS), the seal number shall be noted in the hard copy of the Bill of Entry for verification at time of movement of containers out of the ICTT gate. The importer/CHA shall be responsible for obtaining all the requisite permission/authorization from the SEZ Authorities and all other stake holders/authorities in this regard, with regard to the movement of containers, and the drawal of the samples by the statutory authority. They shall also be liable to pay the appropriate fees/charges applicable, if any. 3.3 After payment of duty, wherever applicable upon arrival of the vessel, importer/ CHA should approach the Appraiser/Superintendent concerned (hereafter referred to as DPD officer) at Ernakulam Wharf (Docks) for obtaining Direct Port Delivery. The DPD officer shall scrutinize the original documents accompanying the Bills of entry in terms of the instructions issued by the Custom House vide Public Notice No. 37/20007 and Standing Order No. 23/2007 both dated12.12.2007 dealing with RMS clearance and the modifications/amendments there to. If importer has complied with all the statutory requirements for RMS clearance other than the seal verification, the officer shall permit the clearance for Direct Port Delivery (DPD) containers, by granting Out-Of-Charge to the Containers and retain the relevant documents/docket. The Out-Of-Charge (OOC) shall be generated in printed form and signed by the DPD officer, with his name and Designation stamp and mark the Bill of Entry to the Divisional Superintendent of Customs in charge of ICTT Vallarpadom with an endorsement that the Out of Charge is subject to Seal Verification . In case the DPD Officer is of the view that good are not to be permitted RMS clearance for any specific reason and therefore, requires recall/reassessment of the Bill of Entry, he/she shall comply with the provisions as specified in the Standing Order 23/2007 dated 12.12.2007. In such case the normal assessment practice shall continue and goods shall be moved to designated CFS . The Docks shall maintain a register of the cargo cleared in this manner indicating the importer/CHA/Bill of Entry Number and date/item/Container numbers/Value /Duty paid and other relevant details 3.4 The Divisional Superintendent of Customs, ICTT, Vallarpadom shall direct (on the hard copy of Bill of Entry) the Preventive Officer posted in the area to physically check the identification particulars and seals of the containers. He/She shall also ensure that appropriate debits have been made in the General Bond and container permit has been obtained, for the benefit of Notification No. 104/94 Cus ., the No Objection Certificate(NOC) for removal of containers has been obtained from the steamer agent concerned. He/She shall allow clearance of the containers if the above conditions have been complied and everything is found in order. Damaged containers or those with tampered seals will not be allowed DPD. The Bills of Entry shall be returned to the Asst/Deputy Commissioner (Docks) for cancellation of Out of Charge granted, with a covering note, after complying with the Survey and other procedures as laid down in Para 4 of the Trade Facility 4/2011 dated 10/02/2011. These containers will be transferred to the designated CFS for clearance under normal procedure. 3.5 The Divisional Superintendent of Customs shall maintain a register of the cargo cleared in this manner indicating the importer/CHA/Bill of Entry Number and date/item/Container numbers/Value /Duty paid and other relevant details. In case where part clearance of a consignment is warranted the importer shall make a request to the Asst/ Dy.Commissioner (Docks).The Asst. / Dy. Commissioner shall permit part clearance after satisfying himself/ herself on the merits of each case. The Divisional Superintendent Vallarpadom shall monitor the part clearances by the endorsements on the hard copy and the registers maintained. 3.6 The designated CFS for each Port Terminal for subsequent clearance of DPD Containers will be notified by the Commissioner of Customs. 3.7 The importer/CHA can take DPD through their employee duly authorized for this purpose. Intimation for engaging CHA firm or the specific name(s) of their employee(s) will be given by importers to the DPD officer, Asstt. Commissioner of Customs (Docks). A copy of the same duly signed by the Asst/Dy Commissioner (Docks) is to be maintained by the Superintendent /Preventive Officer at the Vallarpadom Terminal. 3.8 The Importer availing facility of DPD shall submit a monthly report to JC/ADC (SIIB) giving details in the prescribed Proforma set out as Annexure B. This shall be verified with the register maintained with the Divisional Superintendent of Customs, Vallarpadom and the register maintained at Docks, for reconciliation of statements, Non submission of the report would entail the suspension of the Direct Port Facility to the Importer. 4. Procedure for Shipping Line/Shipping Agents Shipping Lines or agents while filling the IGM shall clearly indicate at the time of filing of IGM the fact that the subject importer/ container is eligible for DPD. They should give intimation of arrival of the vessel and give delivery orders to the importer well in advance for taking DPD immediately after Entry Inwards. 5. Procedure relating to Port Terminals The Port Terminals are required to provide earmarked space in their Yards to keep containers belonging to approved importers of DPD so as to facilitate logistics relating to trailer movements. The importer shall be responsible for intimating the list/job order of Containers to be cleared under DPD to the Port Terminals directly or through the Shipping Line, well before the arrival of the ship, to enable the Port Terminal to place the containers in the yards/ space specially earmarked for DPD. The permission to allow entry of trailers and designated Agent shall be obtained by Importer/ CHA from the Port Authorities in charge of security and logistics as per procedure. 6. Port Terminals are required to deliver the import containers allowed clearance by DPD officer to the importer or the authorized CHA. Any container granted DPD but not removed by the importer within 72 hours of landing may be shifted to the designated CFS by the Port Terminal at the cost of importer/Shipping line. 7. Effective date This Facility Notice shall come into force with immediate effect. The condition of physical verification of seal by the Officer granting Out Of Charge , in terms of the Standing Order 23/2007 dated 12.12.2007, and Trade Facility 06/2011 dated 03.03.2011 stands modified to the extent specified in this Trade Facility. The time for removal of containers from the port terminal to the designated CFS is 72 hours as specified in Para 6 of this Trade Facility and the annexure B to this Trade Facility shall also be applicable to the ACP Clients covered by the Trade Facility 06/2011 dated 03.03.2011. The Trade Facility 06/2011 dated 03.03.2011 is modified to this extent. All other conditions as specified in the Trade facility 04/2011 dated 10/02/2011 and other instructions issued by the Custom House, Cochin which is not in contravention to this Trade Facility shall continue to apply. In case of any difficulty, the specific issue may be brought to the notice of Commissioner of Customs Cochin for remedial action. Sd/- (V.RAMA MATHEW) COMMISSIONER OF CUSTOMS F.No. C1/08/2011 TU Cus. Date: 11.03.2011 Annexure A Application for Direct Port Delivery 1. Name and address of the Importer - 2. ACP client Registration No. - (Approved copy to be enclosed) 3. IEC Code (copy to be enclosed) - 4. Details of imports made at JNCH - Year No. Of Containers/TEUs Value of Imports Duty Paid Major Commodities imported 2005-2006 2006-2007 2007-2008 2008-2009 till July 5. General description of Commodities to be -Imported in Direct Port Delivery along with the CTH 6. Volume of Cargo expected per month - TEUs per month, .TEU per voyage Per voyage 7. Details of tests / NOCs required, if any, -For clearance of any commodity (Details- commodity wise) 8. Details of commodities where assessment -is provisional (details commodity wise) 9. Whether Self Clearance or through CHA -(Name/ Number of CHA ) 10. I hereby undertake to- - Engage own Container trailers for clearance of DPD containers from the Port. - Clear all the containers within 24 Hours of landing in the port under DPD. - File advance bill of entry and pay Customs duty for containers to be cleared in DPD prior to arrival of the vessel. - Provide details of the containers to be cleared in DPD, to the Customs and port authorities, prior to the arrival of the ship. - Produce all containers selected by Customs for Scanning or for any investigation, as informed at any time. - Inform any change in the status of ACP/ IEC to Commissioner (Import), JNCH in writing and the port authorities immediately. Date: Signature of Authorized Signatory: Name: Importer: ANNEXURE-B MONTHLY PERFORMANCE REPORT OF DPD FOR THE MONTH.. Sr.No Name of the Importer B/E No./Date Date of landing of Containers Total Containers in the B/E No. Of Containers cleared in in DPD in 24 Hrs. of landing No. Of Containers cleared in in DPD in 48 Hrs. of landing No. Of Containers cleared in in DPD in 72 Hrs. of landing No. Of Containers sent to designasted CFS Reasons for delay in clearing containers beyond stipulated time of 24 hrs. Signature of Authorized representative of Importer: Name: Date: