Sanction of Drawback on the basis of ‘Truck Summary’ filed by the Custodian of ICD - Customs - PUBLIC NOTICE NO. 06/2017

OFFICE OF THE COMMISSIONER OF CUSTOMS (PREVENTIVE COMMISSIONERATE) 55-17-3, C-14, 2nd Floor, Road No.2, Industrial Estate, Autonagar Vijayawada - 520 007 C. No. VIII/48/07/2017-Cus.Tech. Date: 10.04.2017 PUBLIC NOTICE NO. 06/2017 Sub: Sanction of Drawback on the basis of Truck Summary filed by the Custodian of ICD Reg. Attention of the Trade is invited to Para 20.6 of the Public Notice No. 06/2010 dt 15.12.2010 issued by the Commissioner of Customs of erstwhile Guntur Commissionerate on the subject of launch of the EDI System [ICES 1.5V]. 2 At present, the procedure being followed at the ICD Marripalem for processing of the drawback claims is that on receipt of T R Copies and supporting documents (like freight, insurance and Bills of Lading etc), the Shipping Bills are finally closed In certain cases, the Shipping Bills are closed on the basis of the EGMS (filed by Shipping Liners) by the Custom Brokers Generally, these documents are submitted by the Customs Brokers for Vessel Endorsement to the Customs Inspector and after necessary verification, the same are handed over to the Service Centre for filing of EGMs. Once, the EGM is submitted at the Service Centre, the Shipping Bill will then move to the Superintendent (DBK) queue (if there are no EGM errors) The Shipping Bill is processed by the Customs Officers for DBK disbursal accordingly. 2. M/s Leaap International Private Ltd , the Custodian of ICD, Marripalem represented that above system of filing/submission of EGMS, TR Copies and then processing of Drawback claims is causing delay in sanctioning of Drawback amounts. The Custodian further represented that in Other ICDs, the Shipping Bills are closed immediately on filing of Truck Summary by the Custodian electronically and that duty Drawback are processed without waiting for receipt of EGP Copy or TR Copies from the concerned Gateway Ports. They stated that this procedure was envisaged in the referred Public Notice and accordingly requested for implementation of the said procedure at ICD, Marripalem to process the Drawback claims basing on Truck Summary . It is also observed that the Custodian has successfully registered and integrated with the ICEGATE for fling of Truck Summary electronically. 3. The issue has been examined with relevant provisions of Customs Act, 1962 read with RuIe-13 of Customs, Central Excise duties and Service Tax Drawback Rules, 1985. As per RuIe-13 of the Drawback Rules ibid, relevant date for filing drawback claim will be the date on which the proper officer of Customs makes an order permitting clearances and loading of goods for exportation under Section-51 of the Customs Act, 1962 and it implies that the exporters entitle for drawback the moment LEO is given. Further, the Para 20.6 of the Public Notice cited herein above envisages that . There is no need for filing separate drawback claim. The claims will be processed based on the Train Summary... 4. Dwell Time is playing a key role in successful implementation of the objectives of Ease of Doing Business in promoting the Exports and Imports. Considering the apprehensions of the trade and keeping in view the reduction of Dwell Time is prime objective, the following procedure is hereby prescribed for processing of Drawback Claims at ICD Marripalem. 5. After LEO is given, the Custodian submit Truck Summary in EDI. The Custodian shall ensure that the containers for which Truck Summary is filed have been actually shipped into vessel. Based on the Truck Summary , the Customs Officer shall immediately process the Shipping Bills for Drawback after due appraisal that the Containers (for which truck summary is filed) are actually shipped and exported. The processes of vessel endorsements , Closing of Shipping Bills, EGM submissions, drawback claim verification and drawback disbursal shall be completed within the barest possible Dwell Time without causing any hindrance to the Trade. The Trade is requested to ensure that the EGM filing is done immediately without any EGM Errors and if there are any errors they shall comply with the queries and rectify the EGM Errors without any delay. 6. The above procedure is brought to the notice of the Trade. Difficulties faced, if any, in implementation of the same may be brought to the notice of this Office. (S. K. RAHMAN) COMMISSIONER OF CUSTOMS.