Launch of Exchange Rate Automation Module (ERAM) - Reg - Customs - PUBLIC NOTICE. 38/2024

GOVT OF INDIA MINISTRY OF FINANCE DEPT OF REVENUE Telephone: 044- 25254419 Email : [email protected] OFFICE OF THE PRINCIPAL COMMISSIONER OF CUSTOMS (GENERAL) CHENNAI CUSTOMS ZONE CUSTOM HOUSE, NO.60, RAJAJI SALAI, CHENNAI 600 001. F No: GEN/EDI/ADV/1/2024-EDI Date: 05-08-2024 PUBLIC NOTICE. 38/2024 Subject : Launch of Exchange Rate Automation Module (ERAM) - Reg ***** Kind attention of the Officers, Importers, Exporters, Customs Brokers and trading public is invited. It is informed that the Exchange Rate Automation Module (ERAM) has been launched by the Central Board of Indirect Taxes and Customs (CBIC) in ICEGATE Portal to automate the process of publishing exchange rates. 2. In terms of Section 14 of the Customs Act 1962, the value of any imported goods or export goods shall be calculated with reference to the rate of exchange as in force on the date on which a Bill of Entry is presented under Section 46, or a Shipping Bill/Bill of Export is presented under Section 50. For this purpose, Board currently notifies exchange rates of 22 currencies twice a month, i.e. every 1st and 3rd Thursdays. These notified exchange rates become effective from midnight of the following day. Where a due date, i.e. 1st or 3rd Thursday, falls on a holiday, the rates are notified on the previous working day. 3. Further, on a given day, if it is noticed that exchange rate of a currency has fluctuated more than 5% vis-a-vis the notified rate, the rate for that currency is renotified with effect from the following day. 4. These notifications are based on the rates obtained from the State Bank of India (SBI) on a daily basis. The SBI communicates card rates which include Bill rates , TT rates and TC rates to CBIC every day. While the Bill rates are used in transactions related to Letters of Credit, the TT rates are used in telegraphic transfers and TC rates for travelers cheques. The rates notified by the Board are the Bill rates (for transaction up to Rs. 10 lakh) received from SBI, adjusted to the nearest five paise. 5. The existing process of notifying exchange rates is manual. Also, the rates so notified are manually incorporated in the Indian Customs EDI System (ICES) by an officer designated for this purpose. 6. It has now been decided to automate the aforesaid process of issuing exchange rates, beginning with forwarding of exchange rate data by SBI to ICEGATE through message exchange. The exchange rates received from SBI shall be adjusted to the nearest five paise and integrated with ICES. These exchange rates shall be published on ICEGATE website at 6:00 p.m. as per the existing frequency and shall be accessible for public viewing on ICEGATE website i.e. https://www.icegate.gov.in. 7. These rates, so published online, shall come into effect from midnight of the following day. For instance, exchange rates published on the evening of 11th July 2024 shall come into force from 00:00 hrs of 12th July 2024 and shall remain in force till the next revision. 8. The published exchange rates will be stored and shall remain accessible on ICEGATE for future reference, so as to enable a user to check the exchange rates for a previous date. 9. As a contingency plan for catering to any technical snag, the following procedure shall be followed for ensuring uninterrupted accessibility of exchange rates at any given time : i. Nodal Officers have been appointed in the SBI, Board, ICD (Patparganj), Air Cargo Complex (Bengaluru) and DG (Systems) to monitor and manually intervene, where needed. ii. Nodal Officer at ICD (Patparganj) shall continue to monitor the exchange rates in ICES as per the current practice. If any issue is noticed or in case of any unforeseen exigencies, he shall inform the Nodal Officer in DG (System) to take corrective action. iii. Where, on a due date when the rates are to be published, there is a failure in electronic transmission from SBI or an incomplete message is received, the last updated rates shall remain in force for the following day and the rates shall be revised the following day by 6:00 p.m. to apply from 00:00 hrs of the next day. iv. Where, on a due date when the rates are to be published, the exchange rates received from SBI fail to get integrated on ICES by 6:00 p.m., the message received from SBI shall be discarded and the last updated rates shall remain in force for the following day. The rates shall be revised the following day by 6:00 p.m. to apply from 00:00 hrs of the next day. v. As soon as the situation indicated at (iii) or (iv) above is encountered, an automated email and SMS alert will be sent to the Nodal Officers at ICD (Patparganj), Air Cargo Complex (Bengaluru), DG (System), SBI and the Board for corrective action. If the issue remains unresolved for consecutive two days, the exchange rates shall be updated on the System through manual intervention using the admin interface by the Nodal Officer at ICD (Patparganj). 10. The automated system of ascertaining and publishing of exchange rates, as above, came into effect from 1st Thursday of July 2024, i.e., 4 th July 2024, upon which the existing system of notifying exchange rates through a notification has been dispensed with. A link has also been provided on the CBIC website which will take the user to the ICEGATE website, where the published rates will be available for viewing. 11. The exchange rates published in the ICEGATE website can be accessed by clicking here. It is advised to refer to the User Manual on ERAM (enclosed as Annexure) for further details. 12. For clarifications, if any, w.r.t this Public Notice, can be sought from the Additional Commissioner of Customs (EDI), General Commissionerate, Chennai by Email ID: [email protected] or [email protected]. GEN/EDI/ADV/1/2024-EDI-O/o-Comm-Cus-Gen-Chennai I/2184000/2024 (Authority: Circular No. 07/2024-Customs dated 25.06.2024) R. SRINIVASA NAIK PRINCIPAL COMMISSIONER OF CUSTOMS CHENNAI GENERAL COMMISSIONERATE