Electronic sealing-Deposit in and removal of goods from Custom bonded Warehouses - Customs - PUBLIC NOTICE NO. 08/2020

OFFICE OF THE COMMISSIONER OF CUSTOMS (EXPORT) AIR CARGO EXPORT NEW CUSTOMS HOUSE NEW DELHI-110037 C. No. VIII(12)ACE/Tech/PN/27/2018-19/16347 Date:- 04.03.2020 PUBLIC NOTICE NO. 08/2020 Subject : Electronic sealing-Deposit in and removal of goods from Custom bonded Warehouses -reg. Attention of the Exporters, Importers, Customs Brokers and all other stakeholders is invited to Circular No. 10/2020-Customs dated 07.02.2020 issued by the OSD (Land Customs), CBIC, New regarding Electronic sealing-which has been revised as follows. The Warehouse (Custody and Handing of Goods) Regulations, 2016 the Special Warehouse (Custody and Handing of goods) Regulations, 2016 Warehoused Goods (Removal) Regulations 2016, Manufacture and Other Operations in Warehouse (No.2) Regulations, 2019 and Circular No. 17 / 2016-Cus prescribe the affixation of one-time -Jock for transport of goods to be deposited in a warehouse or removed therefrom. 2. The regulations require that goods arriving at the warehouse from a Customs Station shall be affixed with a one-time lock with its Serial Number endorsed upon the Bill of Entry for Warehousing and the transport document. The warehouse keeper or bond Officer, as the case may be, is required to inspect the seal and when it is found intact, permit the goods to be unloaded at the warehouse. Circular 17/2016-Cus dated 14.5.2016 prescribes that in case of removal of goods from a Customs Station for deposit into a warehouse, the container or means of transport (closed trucks) should be affixed with a one-time lock by the proper officer at the Customs Station. A similar procedure has been provided under the Warehoused Goods (Removal) Regulations, 2016, for removal of warehoused goods from one warehouse to another and from a warehouse to customs station for export and also the manufacture and other operations in warehouse (no.2) Regulations, 2019. Also, the Principal Commissioner of Customs/ Commissioner of Customs is duly empowered to permit movement of goods without affixation of OTLs, Where the nature of goods or their manner of transport so warrant (e.g. Liquid Bulk Cargo transported through pipe lines and over dimensional Cargo). 3 Subsequently, the Board has prescribed the RFID self-sealing for export of containerized cargo. Circulars 36/2017, 37/2017 and 41/2017- Customs prescribe the use of RFID tamper proof one-time bolt seal and providing of readers/ procedure for its use by customs. It has now been decided by the Board that RFID sealing shall be extended to transport of goods for deposit in a warehouse as well as removal therefrom. Therefore, wherever the warehousing regulations (referred in para I above) prescribe affixing of a One time-lock , the importer or owner of the goods shall use RFID anti tamper one-time locks (hereinafter referred as RFID OTL ). 4 The RFID OTLs shall be sourced from the vendors whose names appear in the list placed on the website of the CBIC (Please see web link alongside to circular 36 37 of 2017 on www.cbic.gov.in). 4.1. Considering the fact that the goods may be removed through a variety of vehicles, different types of RFID OTLs, such as bolt seals (already specified by Circular No. 36/2017 -Cus) or wire cable seal shall be used. The specification, data elements and procedures to be used under the Regulations for warehousing shall be as follows:- 4.2. Seals i. For Container (REID One- Time Bolt Seal ) As prescribed under Circular 36/2017-Customs dated 28.08.2017 ii. For closed body vehicles (RFID Wire Cable Seal) (a) Each seal shall be a one-time lock bearing a unique serial number and brand of the vendor m the tormat ABCD XXXX XXXX, where ABCD stands for the brand of the vendor and X (8 digit) is a numerical digit from 0-9. (b) The REID seal shall conform to ISO 17712 : 2013 and ISO TEC 18000- 6 Class I Gen 2 which is globally accepted in industrial applications and can be read with the use of UHF (i.e. 860 MHz to 960 MHz) Reader Scanners. (c) The manufacturer or vendor, as the case may be, shall be in possession of certifications required for conformance of the ISO standard ISO 17712:2013 namely, clauses 4, 5 and 6 (as applicable to cable wire seals). (d) Before commencement of seals, the vendor shall submit self-certified copies of the above certifications to the Fisk Manaaement Division (RMD). 4.3. Reader The specification of readers to be deployed shall be prescribed under Circular No. 41/2017-cus dated 30.10.2017. 4.4. Software App1ication (a) The data elements to be captured in the web application in the case of removal goods from a Customs station to a Bonded Warehouse shall be as follows: i. IEC (importer exporter code) ii. Bill of Entry Number iii. Date iv. RFLD OLT number v. Date of sealing vi. Time of sealing vii. Container number (where cargo is containerized or else not required) viii. Registration number of vehicle ix. Customs Location Code x. Warehouse Code (b) The data elements to be captured in the web application in the case of removal of goods from a warehouse to a customs station for export shall be as follows: i. IEC (importer exporter code) ii. Shipping Bill Number iii. Date iv. REID OTL number v. Date of sealing vi. Time of sealing vii. Container number (where cargo is containerized or else not required) viii. Registration number of vehicle ix. Customs Location Code x. Warehouse Code (c) The data elements to be captured in the web application in the case of removal of goods from a warehouse to another warehouse (section 67): i. IEC (importer exporter code) ii. Bill of Entry number iii. Date iv. Warehouse Code (Origin) v. Warehouse code (Destination) vi. RFID OTL Number vii. Date of Sealing viii. Time of Sealing ix. Container number (where cargo is containerized or else not required) x. Registration number of Vehicle 4.5. Procedure (a) All licensees of Customs bonded warehouses shall have to procure Readers for scanning of REID OTLs at the Bonded warehouse at their own cost. (b) The licencee shall also procure RFID OTLs from the vendor for providing the same to importer, owner, exporter or in case of private bonded warehouses for their own use. It is clarified that the licensees are free to procure REID OTLs from any one or more vendors. (c) The vendors shall be required to prove readers to the Customs locations. Readers already deployed by vendors to port and TCDs for RFID sealing can be used for this procedure Air Cargo Complexes, CFS and LCSs are also covered under this procedure for transport of bonded goods. (d) Any importer permitted to remove goods for deposit in a warehouse shall obtain an RFID seal from the Warehouse where the goods are to be deposited. Provided that for Warehouse to Warehouse transfer the owner of the goods shall procure RFID seal from the destination Warehouse. (e) Vendors shall ensure that TID number is captured in their data base and warehouse code of the licensee is linked to the same at the time of sale of seals. (f) Vendors shall ensure that data can be unloaded from internet enabled Readers as well as desktops. (g) Circular No. 1'9/2016- Cus dated 20th May 2016 prescribes that the importer shall declare the warehouse code in the Bill of Entry of warehousing. The out of Charge officer releasing the cargo for deposit in a warehouse is advised to match the warehouse code declared in the bill of entry with that linked to the seal. This procedure shall dispense the need for securing any space availability certificates by importers. (h) The exporter of warehoused goods will be obligated to declare the physical serial number of the RFID OTL at the time of filling the online integrated shipping bill or in case of manual shipping bill, before the container or cargo is dispatched from, the warehouse. (i) In case the REID OTL is found to be tampered at the Customs Station at the time of export, then mandatory examination would be carried out by the Customs authorities. (j) In case at the time of arrival of goods at the warehouse, the RFID OTL is found to be tampered, then the licencee shall not permit unloading of the goods and shall inform the bond officer (Please refer sub regulations 5(1) and (7) of the Warehouse Custody Handling of Goods) Regulations, 2016 and Regulation 10 (1) (ii) and 11 (ii) of Manufacture and Other Operations in Warehouse (no.2) Regulations, 2019). (k) Under Regulations (5) of the Warehoused goods (Removal) Regulations 2016, and Regulation 10 of Manufacturer and Other Operations (no.2) Regulations, 2019, the importer or owner is required to produce an acknowledgement of the due arrival of goods, With the introduction of the procedure contained in this circular, the trip report generated by scanning the RFID OTL at the destination customs station or warehouse, shall be printed and retained for records by the customs station, bond officer and licensee. This will enable discharge of the requirement of acknowledgement enjoined under the aforesaid Regulations (5) and Regulation 10 of the respective Regulations. (l) For the purpose of risk management, if there is any inordinate delay in the due arrival of goods, the bond officer may be alerted by the Customs station or vice versa. (m) Where any procedure requires that goods removed from a warehouse shall move under physical escort by customs (e.g prescribed by circular 32/2016 regarding Duty Free Shops), the use of RFID OTL shall not apply. 5. The Principal Commissioner of Customs [Commissioner of Customs is duly empowered to permit movement of goods without affixation of RFID OTLs, where the nature of goods or their manner of transport so warrant (e.g. Liquid Bulk Cargo transported through Pipe Lines and Over Dimensional Cargo). 6. The above procedure shall come in to force with effect from 15th March, 2020. 7. Difficulties if any should be brought to the notice of the Additional Commissioner (Bond) Air Cargo Export, New Delhi This issues with the approval of the Commissioner , Air Cargo Export, NCH, New Delhi Yours faithfully (S. K. Mishra) Additional Commissioner Air Cargo Export