MONDAY EXPORT CLASS With DR GODWIN OYEFESO (SUCCESSEDGE EXPORTERS NETWORK)

MONDAY EXPORT CLASS

With

DR GODWIN OYEFESO (SUCCESSEDGE EXPORTERS NETWORK)

Topic: CUSTOM CLEARANCE OF EXPORT CARGO (Part 2)

INDIAN CUSTOMS ELECTRONIC DATA INTERCHANGE SYSTEM (ICES)

The computerized processing of Shipping Bills under the Indian Customs EDI (Electronic Data Interchange) System- (Exports) has come into force w.e.f. 15.09.2004. The system is known as ICES (Exports).

Indian Customs EDI System (ICES) has initiated a new era in the country, an era of Paperless Trade. The objective is Trade facilitation rather then control. Now, Indian trading community can exchange documents electronically with Customs and other Government Agencies. This had been made possible by joint design, development and implementation of ICES by the officers of Central Board of Excise and Customs and National Informatics Centre.

Customs authorities have introduced computerised processing of export documents, replacing manual processing at many customs centres. The main objective is to ensure expeditious processing and provide efficient customs clearance service to exporters. This system is known as Indian customs EDI System (Electronic Data Inter-Change System).

Computerised processing of shipping bills is in vogue at over 19 ports in India. Under the system, there would be no processing of paper documents except statutory declarations. Customs clearance is almost the same irrespective of the mode of shipment as already detailed in beginning of the chapter, barring minor variations.

Main Objectives of Indian Customs EDI System

To simplify customs laws, regulations, administrative guidelines and procedures to the extent possible so that customs clearance is expedited without undue burden;
Respond more quickly to the needs of trade;
Computerization of customs related functions including import/export general manifest control, ex-bond clearance of warehoused goods, goods imported against export promotion schemes, monitoring of export promotion schemes;

Reduce interaction of trade with Government agencies;
Provide retrieval of information from other custom locations to have uniformity in assessment and valuation;
Provide management information system for policy making and its effective revenue collection;
Monitoring pendency and
Provide quick and correct information on import/export

Advantages to Trading Partners and Department

Less Hassles: The trading community is not required to travel physically to the Custom House for submitting documents except at the last stage for physical examination of
Control: ICES allows exporter/importer to find out status of any document in the system and answer queries raised to make way for early
Time and Cost Savings: Computerisation of customs procedures has resulted in time and cost savings due to reduced need to prepare, handle, store and deliver customs Improvements in communications, access to information and transparency of customs processes and appeals increases level of certainty and fairness.
Transparency: A good compliance track record results in faster clearance and less intrusive verification Importers know the amount of duties and taxes owing as a result of clear and consistent rules. More efficient clearance produces time and cost savings and provides certainty required to exploit modern business practices such as “just-in-time” inventory. Customs brokers have the opportunity to refocus their services from dealing with forms and complexity to using their expertise and knowledge to bring a new range of professional services to clients, operating in an expanding and evolving trade market.
Faster Service: Carriers of goods benefit from faster service, lower costs and ability to use their equipment to its utmost capacity rather than having it delayed at
Security: ICES provides security at all levels of access to the
Trade becomes Competitive: Improved customs clearance and inspection procedures have been generating faster, more certain and, ultimately, less costly trade transactions, making exports globally competitive.
Faster Operations: Fully automated process with little or no intervention by either party has provided a virtual on-line scenario. Declarations can be accepted round the clock automatically, resulting in maximum Quicker retrieval of cargo has become possible through reduction of clearance times. Reduction in manual administrative processes has resulted in fewer errors and no duplication with harmonised business relationships with other bodies such as Ports, DGFT, Airlines, Container Depots etc.
Help to Department: System includes powerful help features that can be invoked by the Assessing Officers from their respective screens to facilitate their assessment