Licensing of Private Bonded Warehouses and Renewal thereof in case of EOU/EHTP/STPI - Customs - Public Notice No. 07/2016

OFFICE OF THE COMMISSIONER OF CENTRAL EXCISE, GURGAON - I, PLOT NO. 36 37, OPPOSITE MEDANTA MEDICITY, SECTOR 32, GURGAON 122001 C. No. IV(16)/HQ Tech./Ggn-I/TN PN/7/2016 Dated: July, 2016 Public Notice No. 07/2016 Sub: Licensing of Private Bonded Warehouses and Renewal thereof in case of EOU/EHTP/STPI - reg. Attention of the EOU/EHTP/STPI and the public is invited towards Section 58 of the Customs Act, 1962 as amended vide Finance Act, 2016 and Private Warehousing Licensing Regulations, 2016 issued vide Notification No. 71/2016-Customs (NT) dated 14.05.2016, which provide that Private Warehousing License shall be issued by the Principal Commissioner of Customs or the Commissioner of Customs, as the case may be and that such License, once granted, shall remain valid until and unless it is cancelled in terms of the provisions of Section 58B of Customs Act, 1962 or sub-regulation (2) of regulation 8 of Private Warehousing Licensing Regulations, 2016. 2. As per the aforesaid Regulations, an applicant needs to submit an undertaking while applying for the private warehousing license wherein he has to undertake to comply with such terms and conditions as may be specified by the Principal Commissioner of Customs or Commissioner of Customs, as the case may be. Accordingly, a format of such undertaking and conditions has been prescribed at 'Annexure A' to this Public Notice. The same may be taken into account by the applicants while making application under the aforesaid regulations. The format of Application Form is given in the annexure to Circular No. 26/2016-Customs dated 09.06.2016. 3. Further, in terms of para 4 of the aforesaid notification i.e. Notification No. 71/2016- Customs (NT) dated 14.05.2016, the applicant shall be required to submit following further documents, namely: (i) The applicant will be required to submit an all risk insurance policy that includes natural calamities, riots, fire, theft, skillful pilferage and commercial crime, in favour of the President of India, for a sum equivalent to the amount of duty involved on the dutiable goods proposed to be stored in the private warehouse at any point of time. (ii) An undertaking binding himself to pay any duties, interest, fine and penalties payable in respect of warehoused goods under sub-section (3) of section 73A or under the Warehouse (Custody and Handling of Goods) Regulations, 2016. The format of this undertaking is given at 'Annexure B' (iii) An undertaking in the format at 'Annexure C' indemnifying the Principal Commissioner of Customs or Commissioner of Customs, as the case may be, from any liability arising on account of loss suffered in respect of warehoused goods due to accident, damage, deterioration, destruction or any other unnatural cause during their receipt, delivery, storage, dispatch or handling. (iv) In addition to the above, the applicant will be required to appoint a person who has sufficient experience in warehousing operations and customs procedures as warehouse keeper. Evidence would be required to be submitted by the applicant in this regard. (v) In case of EOUs/EHTP/STPI units, the conditions regarding furnishing of Bank Guarantee / Security as specified in Chapter 6 of Foreign Trade Policy shall apply. 4. All existing private warehousing license holders are required to get themselves validated in accordance to the new procedures within a period of three months from the date of commencement of Private Warehousing Licensing Regulations, 2016 i.e. latest by 14.08.2016. (Yogendra Garg) Commissioner