Subject: Submission of Bank Guarantee for the purpose of extension of Warehousing Bonds as per the conditions of Board’s Circular No 21/2016. - Customs - 37/2018

OFFICE OF THE COMMISSIONER OF CUSTOMS (NHAVA SHEVA-III) JAWAHARLAL NEHRU CUSTOM HOUSE, NHAVA SHEVA, URAN, RAIGAD, MAHARASHTRA 400 707 F. No. S/6-Gen- 20002/17-18/Bond/JNCH Date: 09.03.2018 PUBLIC NOTICE No. 37/2018 Subject: Submission of Bank Guarantee for the purpose of extension of Warehousing Bonds as per the conditions of Board s Circular No 21/2016. Attention of all Custom House Agents, Exporters, Importers, Members of the Trade and other stake holders is invited to the Board s Circular No.21/ 2016-Customs dated 31.05.16 on the above mentioned subject. 2. As per the said Board s Circular No.21/ 2016-Customs, security is to be furnished for seeking extension in warehousing period for storage of sensitive non-sensitive goods by way of furnishing Bank Guarantee interalia subject to certain conditions mentioned at Para 4 of the said Circular. 3. However, it is seen that in some cases, the Bank Guarantees which are submitted for extension do not have proper Self Renewal Clause. These Bank Guarantees have Written Claim Clause stipulating that the bank s liability is conditional upon the receipt of a valid and duly executed written claim. Bank Guarantees containing such clause/condition is contradictory to the Self Renewal Clause. This results in delay in processing of files pertaining to extension of the warehousing bonds. Therefore, it is advised that a proper care must be taken before submitting the Bank Guarantees with a proper unconditional Self Renewal Clause. 4. In case of any further clarification, the specific issue may be brought to the notice of Deputy/Assistant Commissioner in charge of Bond Section, NS-III (email address: [email protected]) or Deputy/Assistant Commissioner in charge of Appraising Main (Import), NS-III (email address: [email protected]). 5. Action to be taken in terms of decisions taken in this Public Notice should be considered as standing order for the purpose of officers and staff. Sd/- (SUBHASH AGRAWAL) Commissioner of Customs (NS-III).