Implementation of ICES Version 1.5 - Movement of Containers to CFS/ICDs - Registration of Bond -Procedure there of - Reg. - Customs - 6/2013

OFFICE OF THE COMMISSIONER OF CUSTOMS CUSTOM HOUSE, PORT AREA, VISAKHAPATNAM-530035 S2/08/2010-EDI Date: 06.04.2013 PUBLIC NOTICE NO. 6/2013 Sub: Implementation of ICES Version 1.5 - Movement of Containers to CFS/ICDs - Registration of Bond -Procedure there of - Reg 1. Attention of all Steamer Agents/Shipping Lines, Importers, Custom House Agents, CFS Operators/Custodians, Main Line Operators (MLO) is drawn to implementation of ICES Version 1.5 in Visakhapatnam Seaport. Now, it has been decided to implement the Transhipment Module of ICES V 1 .5. 2. Kind attention is also drawn to various P.N.s issued from time to time: i. Public Notice 27/2008 dated 10/08/2008 regarding movement of import cargo in containers from Port to CFS. ii. Public Notice 27/2010 dated 29/09/2010 regarding transshipment of international cargo in full container load (PCL) by sea to Indian Ports from foreign ports and vice versa through Visakhapatnam. iii. Public Notice 18/2007 dated 21/07/2007 regarding international transshipment containers to and from foreign ports through Visakhapatnam. iv. Public Notice 16/2007 dated/06/2007 regarding movement of import/export containers by M/S Boxtrans Logistics (India) Services Pvt Ltd, Visakhapatnam. v. Public Notice 11/2006 dated 27/05/2006 regarding implementation of software module for transshipment of cargo from port to another port/ICD/CDS. 3. The Transhipment Module is an integrated module comprising submodules for (i) SMTP Approval (TP) i.e movement of container from gateway port to ICDs, (ii) CFS Cargo Movement Approval (CFS) and (c) Empty Container Bond Debit (CB) Approval. 4. To process the container movement in ICES V 1.5 under the transhipment module, the following are required to be registered in ICES1.5: i. The Transhipment Bond (TP) : The TP Bond (Transhipment Bond- which is a continuity bond) is for the movement of containers with cargo from VCPTL to ICDs or other Indian ports. The Carrier Agents/MLOs are required to register this Bond for transhipment movement of containers to ICDs. ii. The Transit Bond (TR) : TR Bond (Transit Bond- which is a continuity bond) is for the movement of containers with cargo from VCTPL to CFS. The CFS/MLOs are required to register this Bond for movement of containers to CFS in ICES V 1.5. iii. The Container Bond (CO) : CO Bond (Container Bond) is for the movement of empty containers. All the Shipping Agents/Shipping Line/Main Line Operators are required to register this bond (Container Bond) of sufficient value for multiple debits in ICES V 1.5. This bond will be in addition to the TP (transhipment) or TR (for CFS Movement) bonds. iv. The PLA Account : The MLO/the Shipping Agent must open a PLA account in ICES V 1.5. with adequate balance from which TP fees (20 rupees per approval) may be automatically debited. When a/c is depleted, PLA module can be used to re-credit additional amount through bank challan. Party should not open multiple PLA accounts. The ITP Cell would open the PLA account in the ICES 1.5 and after feeding the payment details, the system will generate the account number which is to be used while filing the IGM. 5. After verification of the Bond documents, the ITP cell shall submit the bonds for AC/DC (Transhipment) for acceptance. After the acceptance of the bonds by AC/DC (Transhipment), the officer/Supdt (ITP Cell) will register the bonds in the ICES V 1.5. After registeration of the bonds in the ICES 1.5, the system will provide a ten digit number i.e Bond Number to each bond holder and this number is required to be given at the respective fields while filing the IGM. 6. Movement of Containers to ICDs: The requirement of an application by the carrier will be done away with and the SMTP (Sub manifest Transhipment Permit) portion of the IGM itself will be treated as a request for transshipment. The carriers will not be required to separately file an application for this purpose. They will, however, be required to indicate the code of the transporter undertaking the transshipment in the IGM. There are 2 kinds of Bonds used for container movement to ICDs. (a) 1st Party Bond: Given by the applicant (MLO) (b) 3rd Party Bond: Given by the destination Carrier Agent. In case of 3rd Party Bond, necessary one-time authority has to be given by the Carrier Agents to the applicant (MLO) and the same need to be registered in the ICES 1.5 by the Supdt (ITP). 7. Movement of Containers to CFS: Similarly, there is no requirement of an application for movement of containers from the terminal to the CFS and the CFS movement approval order of the IGM itself will be treated as a request to move the containers. There are 2 kinds of Bonds used for container movement to CFS. (c) 1st Party Bond: Given by the applicant (MLO) (d) 3rd Party Bond: Given by the destination CFS/Custodian. In case of 3rd Party Bond, necessary one-time authority has to be given by the CFS/Custodian to the applicant (MLO) and the same need to be registered in the ICES V 1.5. 8. Bond rates would be ₹ 300000/for 20' container and ₹ 500000/for 40' container and bond rate for Container Bond would be picked up by the system which is based on the ISO Code of the container. These rates are as prescribed vide Public Notice 27/2008 dated 10/08/2008. 9. The transshipment module process is automatically triggered by the Inward Entry process. The process works in the background without any manual intervention and a number of SMTPs and local CFS movement permissions are generated by system based on the parameters specified in the IGM. Further, based on the SMTP, ICD IGMs are also automatically generated at respective ICDs. Trade need not file any IGM at the ICD. SMTP approval also automatically generates EDI messages to Port/Terminal, Transporter and MLO/SA. The SMTPs and local CFS movement permissions can be printed by the Carriers/liners and the CFS custodians respectively in their offices or in the Custom House and get them signed from the Supdt (ITP cell). 10. The party (Shipping Agent/MLO) must correctly specify the required SMTP parameters in IGM. The fields MLO Code (JO-char PAN no.), Carrier (Transporter) Code (10-char PAN no.), Destination ICD (6char code like INTKD6) and Bond Number (10-char bond no.) must be specified for all line records. If Consol Manifest is filed subsequently, then the same must be re-specified. Additionally, Cargo Movement field in IGM should be specified as 'TI'. All lines under process must be containerized (type 'C' or 'CP' in IGM). Similarly, for movement of containers to CFS, the party (Shipping Agent/MLO) must correctly specify the required parameters in IGM. The fields MLO Code (10-char PAN no.), Destination CFS code and Bond Number (10-char bond no.) must be specified for all line records. Additionally, Cargo Movement field in IGM should be specified as 'LC'. 11. The transporter performing the transshipment activity will be required to electronically submit a container arrival report to the ICES system at the destination ICD/CFS in a specified format. The container arrival report will be matched with transshipment message received from the Gateway port and a landing certificate message will be generated by the inland port/ICD/CFS which will be transmitted to the Gateway port for closure of IGM lines. 12. This automatic approval process may fail due to various reasons like (i) required parameters as stated earlier may not have been correctly specified in IGM, (ii) Unavailability of proper bond/BG, balance therein or authority thereon, (iii) unavailability/depletion of PLA a/c etc. In such case, the party must approach the Supdt.(ITP Cell) in charge of SMTP approval. The ICES TP Module provides a form to manually approve the TP request. If there is any of the abovementioned problems, the same will be alerted on system and party can carry out necessary remedial measure (say for instance, if PLA a/c is out of balance, fresh deposit may be made through challan), and again the TP approval process may be tried out on system. If everything is fine, then system will accord SMTP approval and also complete the process by carrying out the same set of actions as stated in point #9. 13. This mannual approval mode is also useful when party has not specified SMTP parameters in IGM till Entry Inward date. In this case, party will first amend IGM to include SMTP parameters and then approach the SMTP Officer to approve the request on system through form. The TP Approval Order can be generated at any time from system by specifying either (i) TP No Date or (ii) IGM No. Date, ICD Code and Bond NO. 14. If any, difficulties/problems faced in the approval of container movement to CFS/ICD, the same may be brought to the notice of the Additional Commissioner (Systems). (M. Ponnuswamy) Commissioner of Customs