IGNOU : M.COM : IBO 4 : UNIT 14 : Q - 3. Write short notes on the following: a) Stages of customs clearance of import cargo b) EDI (Electronic Data Interchange)

 

Ans. STAGES OF CUSTOM CLEARANCE

you have learnt the objectives, legal framework and the basic information related to the custom clearance. Let LIS now learn the stages of custom clearance. They are as follows:

1. presentation of bill of entry along with the relevant documents to the import  department of the Custom House i.e. the concerned group.

2. The bill of entry is checked by the concerned official with the IGM submitted by the carrier and it is notified.

3. Documents and the information are checked and scrutinized.

4. The bill of entry is marked for assessment and appraisement to the concerned appraiser.

5. Tile appraiser makes an assessment on the basis of information given in the documents and with reference to the classification and value of the goods. The Examination Order is given.

6. The custom; assessed bill of entry is returned to the 1mporterICHA for depositing duty within a period of 7 days.

 7. Duty is deposited with the cash department and at this stage the original COPY of the bill of entry is detached and sent for record purposes.

8, The documents are given to the Importer ICHA for presentation to the Dock Superintendent for physical examination of goods as per Examination Order.

9. The Dock Superintendent marks the documents to one of the Examiner/Inspector for physical examination. The Examiner after examination writes the report and signs on the reverse of the bill of entry, sends it back to the superintendent for counter signature and the "out of charge" order is given.

 10. The CHA presents the documents to the Port Manager who ensures about any charges / demurrages ,if any to be paid by the Importer. The same is deposited with the cash department. Thereafter the Pan Manager issues release order on the basis i of which goods are taken out of the Customs Area.

ELECTRONIC DATA INTERCHANGE (EDI)

You have learnt the objectives, legal aspect, basic information, documents, duties, stages and procedure of custom clearance of import cargo. Let us now discuss the Electronic Data Interchange System.

To streamline and facilitate custom operations, a system has been introduced far processing the bill of entry electronically. It replaces all operations done manually. It is a communication from computer to computer. The system has been experimented and operated in most of the Air Cargo complexes, ICDs and tile Sea Ports. The steps involved in processing of bill of entry are as follows:

a) Data is entered in the computer of the Importer of his CHA or in the computer in the common facility centre arranged by the department for those importers who do not have their own computer.

b) This computer is connected with the computer of the Customs department. he data is transferred to the Customs Computer System. The check list is generated from the computer of the customs and is handed over to the CHA for scrutiny/check O ascertain that the information is fed correctly. The check list is submitted back to the customs, after verification the check list can be generated electronically in one's own computer and after verification, O.K. is given by the Importer l CHA in the computer itself.

c) Bill of entry is electronically sent to the terminal of the concerned Appraiser (Chapter wise) for assessment and thereafter to the Audit Appraiser. Certain categories of bill of entry are sent to AC and others are appraised by the Appraiser himself, as per guidelines in operation.

d) After approval the bill of entry comes back to the computer centre where three copies of duty challan are generated.

e) Duty is deposited in bank/treasury.

 f) The electronically processed bill of entry is transferred to the computer of the Shed Superintendent who transfers it to one of the Examiner/Inspector for examination of goods. The documents if need be, are checked at the time of physical examination. The examination report is fed in the computer and the same is endorsed by Shed Appraiser. "Out of charge" is given by the Shed Appraiser.

g) At this stage three copies of the electronically processed bill of entry are generated. Original is customs copy, duplicate in this case is the owner copy and triplicate is the Exchange control copy to be submitted to the Bank for remittance to the supplier. All copies must be signed by the Shed Appraiser.