Request for discontinuation of High Seas Sale Registration Procedure - Customs - 35/2018

MINISTRY OF FINANCE DEPARTMENT OF REVENUE OFFICE OF THE COMMISSIONER OF CUSTOMS, CHENNAI-II CUSTOMS HOUSE, 60, RAJAJI SALAI, CHENNAI 600001 Phone: 044 25230371, Fax: 044 25267778 F.NO. S.MISC.16/2018- APPG MAIN (IMPORTS) DATED: 22.05.2018 PUBLIC NOTICE N0.35/2018 Sub: Request for discontinuation of High Seas Sale Registration Procedure reg. ********* 1. Attention of the Importers, Exporters, General Trade, Port Terminal Operator, Shipping Lines/Shipping Agents, CFSs coming under the jurisdiction of Chennai Customs and all other stakeholders is invited to the issue regarding request for discontinuation of High Seas Sale Registration at Import Noting Section, Chennai Customs. The Chennai Customs Brokers Association has represented for change in amendment procedure for High Seas Sale. 2. The issue was re-examined for discontinuation of present procedure mandatory registration of HSS agreement in Import Noting Section on the ground that aforesaid registration purpose does not serve any purpose as all the aforesaid documents are also required to be submitted before concerned Assessment Groups/Import Docks. 3. In terms of para 2.24 of the Foreign Trade Policy (2004-2009) [para 2.38 of the Foreign Trade Policy (2015-2020)], sale of goods on high seas for importation into India is permitted subject to the said policy or any other law for the time being in the force. In order to reduce transaction cost, delay and provide further ease of doing business, it has been decided to prescribe following new procedure as regards import involving High Sea Sale transactions: - i) Bill of Entry / Integrated declaration filed by the Customs Broker/Importer should contain correct and complete details of the High Seas Sale Buyer Seller along with High Seas Sale Commission . ii) The following documents should be mandatorily produced along with other shipping documents before proper officer (Assessment Group/ Import Docks Officer) a) High Seas Sales contract signed by both the buyer and seller and duly notarized. In the cases where the HSS contract is not notarized, the same is required to be attested by the authorized signatory of Bankers. The date of Contract/Notarization/Attestation by the bankers should be not later than the date of the IGM; b) Non-negotiable copy of Bill of Lading in original. If same is not available, then a photocopy of such Bill of Lading (duly authenticated by Shipping Line/Steamer Agent/Custom Broker); c) High Seas Sale Invoice and Commercial Invoice in original or a duly attested copy therof; d)Authority letter for Customs Broker (CB) from High Seas Sales buyer in original (if CB is appointed) or application from High Seas Sale buyer, addressed to the Deputy/Assistant Commissioner of Customs/Concerned Group/Docks (as the case may be); e)IEC copies of both the buyer and the seller; iii) Proper Officer of Customs During verification of Self- Assessment of Bill of Entry/integrated declaration and during Out of Charge (in case of RMS facilitated Bill of Entry/integrated declaration) will check (besides all other checks normally checked /verified) the correctness of the details/particulars regarding High Seas Sale as mentioned in the Bill of Entry viz. Correctness of calculation of High Seas Sale Commission, duly Notarized Agreement Between Buyer Seller, Copy of Invoice, Date of High Seas Sale, endorsement on the Bill of Lading copy and any other relevant documents. iv) Where more than one HSS agreement were executed, authorized Customs Broker will provide details of all these HSS along with relevant documents before Proper Officer. v) Henceforth, there would not be any requirement for prior registration of HSS in the Import Noting Section as all such checks would be conducted by proper officer either during verification of assessment or before giving Out of Charge (OOC) in the manner as prescribed above. 4. Aforesaid new procedure will come into force with effect from 22/05/2018 Difficulties, if any, in this regard may be brought to the notice of the Additional / Joint Commissioner of Customs (Import). 5. This issues with the approval of Chief Commissioner of Customs, Chennai Commissionerate, Chennai. (R. SRINWASA NAIK) COMMISSIONER OF CUSTOMS IMPORTS COMMISSIONERATE