Customs Brokergae Process Flow

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Customs brokerage
AIR / sea Import export
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CUSTOMS BROKERAGE
Introduction Customs brokerage is a
profession that involves 'clearing' of goods
through customs barriers for Importers and
Exporters... This involves the preparation of
documents, electronic submissions, the
calculation and payment of duties and excises,
and facilitating communication between Government
authorities, Importers and Exporters.
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mandatory documents

• KYC Documents
• IEC Certificate (Valid IEC code)
• TIN Number
• PAN Card
• Photograph of Proprietor
• Passport copy
• Voters Identity Card
• Bank Account statement

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Client / Customer Identification Procedure
Features to be verified and documents to be
obtained from clients / customers Form of
organization

• Sole Proprietorship
• Partnership Firm
• Private Limited / Limited Company
• Trusts, Foundations

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Customer Identification procedure
Geographies to be verified (i) Legal name and
any other names used (ii) Present and Permanent
address, in full, complete and
correct. Documents to be obtained (i) Passport
. (ii) PAN card. (iii) Voters Identity
card. (iv) Driving license. (v) Bank account
statement. (vi) Ration card. NOTE Any two of
the documents listed above, which provides
customer information to the satisfaction of the
CHA will suffice.
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Customer Identification procedure
Geographies to be verified (i) Legal name (ii)
Permanent address, in full, complete and
correct. (iii) Name of all partners and their
addresses, in full complete and correct. (iv)
Telephone, fax number, e-mail address of the
firm and partners. Documents to be
obtained (i) Registration certificate, if
registered (ii) Partnership deed (iii) Power of
Attorney granted to a partner or an employee of
the firm to transact business on its
behalf (iv) Any officially valid document
identifying the partners and the person
holding the Power of Attorney and their
addresses. (v) Telephone bill in the name of
firm/partners.
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Customer Identification procedure
Features to be verified (i) Name of the
company (ii) Principal place of business (iii)
Mailing address of the company (iv) Telephone,
fax number, e-mail address. Documents
to be obtained (i) Certificate of incorporation
. (ii) Memorandum of Association. (iii) Articles
of Association. (iv) Power of Attorney granted to
its managers, officers or employees to transact
business on its behalf. (v) Copy of PAN allotment
letter. (vi) Copy of telephone bill.
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Client / Customer Identification procedure

• Features to be verified
• (i) Name of trustees, settlers, beneficiaries and
  signatories.
• (ii) Name and address of the founder, the
  managers, Directors and the
• beneficiaries, in full, complete and
  correct.
• (iii) Telephone and fax number, e-mail address of
  the trust, founder and
• trustees.
• Documents to be obtained
• Certificate of Registration,
• Power of Attorney granted to transact business on
  its behalf.
• (iii) Any officially valid document to identify
  the trustees, settlers,
• beneficiaries and those holding the Power
  of Attorney, founders/
• managers/ directors and their addresses.
• (iv) Resolution of the managing body of the
  association.
• (v) Telephone bill.

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Green channel facility AEO client
Clearance time FCL - on the same day of landing
or 2nd day, Air Shipment on landing / LCL 1
working days after De-stuffing.

• KYC
• GATT Declaration / Importers Declaration
• Commercial Invoice
• Packing List
• Catalogue / Analytical Certificate / Leaf let
  /Test report etc..
• 6) Duty Exemption benefit, documents if required
  
• Note AEO AUTHORISED ECONOMIC OPERATOR.

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100 eou / stpi / htpi REGISTRATION
EDI Registration 2 to 3 working days

• KYC
• STPI Approval Letter
• Development approval letter
• B-17 Bond (3-in-1 Bond)
• LUT Bond Letter of under taking
• In bond Manufacturing license under section 65 of
  customs Act
• Private Bonded warehouse license under section 58
  of customs Act
• Customs permission letter
• Green Card copy
• Bonded warehouse insurance copy
• NOTE
• For verification - All above documents original
  needed

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100 eou / stpi / htpi clearance
Clearance time- Sea shipments 2 to 3 working
days , air shipment 2 working

• Documents required
• KYC
• GATT / Importers declaration
• Commercial Invoice
• Packing List
• Certificate of Origin
• STPI Approval letter (list of approved materials)
• Letter from Consignee for Transfer Bond (Cover
  Letter)
• Procurement Certificate for duty free
• NOTE
• Star Status EOUs can apply for Wavier of open
  Inspection of shipment at port customs.

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Fabric Garments
First time import including testing (without
prior test report) 7 working days , with test
report FCL -3 days / air 2 days

• KYC
• GATT / Importers declaration
• VAT Registration Certificate
• Legal Metrology registration certificate
• MRP Declaration
• Commercial Invoice
• Packing List
• Certificate of Origin
• FTA (Free Trade Agreement) of Origin is
  applicable to avail basic customs duty exemption
• 9) Test report to confirm whether any Hazardous
  chemical been used for the process of said fabric
  / garments.
• NOTE
• Test report can be used for another Six
  months if the supplier, value description, part
  number are one and the same

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Fabric under Advance LICENSE SCHEME
Registration of Advance license can be done (2
working days) Clearance from date of registration
3 to 4 working days

• Documents required for Registration
• Advance license original with Import products in
  annexure
• Under taking Bond, if Importer is Star status
  holder (or) paid more than 1 crore excise duty in
  the previous year (excise certificate)
• Bank Guarantee with simple Bond for the duty
  saved amount other category Importer
• 4) Covering Letter for Registration

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machinery
Clearance of New Machinery under duty Mode
Clearance time - 4 working days on submission
below listed Documents

• KYC
• GATT / Importers declaration
• Commercial Invoice
• Packing List
• Certificate of Origin
• Catalog / Technical Write up

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E.P.C.G LICENSE REGISTRATION

• E.P.C.G registration formalities will be 2
  working days on submission of below listed
  documents
• Clearance under E.P.C.G Scheme will be 3 working
  days for Air Sea 4 working days after
  completion of registration formalities

• Documents required
• E.P.C.G original license with Annexure
• Under taking Bond if Importer is Star Status
  holder (or) paid more than 1 crore excise duty in
  the previous year (excise certificate)
• Bank Guarantee with Simple Bond other category
  Importer
• Covering Letter for Registration
• Invoice packing list
• Bill of lading or AWB
• KYC documents.

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Repair and return goods
Clearance time will be 7 working days for Air
Shipment 10 working days for Sea Shipment

• Documents required
• KYC
• GATT / Importers declaration
• Re -Import Invoice (should have the reference of
  Exports also indicate goods are supplied after
  Repair )
• Packing List
• Certificate of Origin
• Original Export Documents like Shipping Bill,
  Export certificate, HAWB/HBL Copy
• (All required documents should be
  mentioned as goods are Exported for repairs and
  return)
• NOTE
• Goods Identity Establishment is Mandatory, If not
  customs Duty is applicable
• also adjudication with fine and penalty

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Second hand - used machinery clearance
Clearance time will be 7 to 8 working days for
Air shipment 12 working days for Sea shipment
from the date of filing Bill Of Entry

• Documents required
• KYC
• GATT / Importers declaration
• Commercial Invoice(should have used machinery
• with Year of MFG, Model Number, Serial
  Number Make )
• Detailed Packing List
• Certificate of Origin (to confirm anti-dumping
  duty)
• VAT Registration Certificate
• CE Cerficate from load port (or)
• Port of Delivery by
• Government Authority Agencies
• 8) Photos of Machinery

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Clearance for Food Beverage
Clearance time will be 3 working days for Air
shipment 5 working days for Sea shipment
(provided with NOC from FSSAI)

• Documents required
• KYC
• GATT / Importers declaration
• Commercial Invoice
• Packing List
• Certificate of Origin
• VAT Registration Certificate
• Registration with (FSSAI) before importation
• Import NOC from FSSAI after testing of samples
  from Import shipment min 10 to 15 working days
• Note FSSAI ( Food Safety Standards Authority
  of India)

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Clearance for pharmaceutical
Clearance time will be 3 working days for Air
shipment 5 working days for Sea shipment

• Documents required
• KYC
• GATT / Importers declaration
• Commercial Invoice
• Packing List
• Certificate of Origin
• VAT Registration Certificate
• Form 10
• 8) Analytical Certificate from supplier
• 9) ADC Approval Assistant Drugs Controller

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Clearance for chemical goods
Clearance time will be 3 to 4 working days for
Air shipment 4 to 5 working days for Sea
shipment on Receipt of Chemical Analysis
Certificate

• Documents required
• KYC
• GATT / Importers declaration
• Commercial Invoice
• Packing List
• Certificate of Origin
• VAT Registration Certificate
• Chemical Composition Certificate issued
• by supplier
• 8) MSDS Certificate
• 9) MRP Certificate

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Clearance of cosmetic and perfumes
Clearance time will be 3 working days for Air
shipment 5 working days for Sea shipment

• Documents required
• KYC
• GATT / Importers declaration
• Commercial Invoice
• Packing List
• Certificate of Origin
• VAT Registration Certificate
• ADC Approval
• Registration with Drugs and Cosmetic Controller
  rules
• Form 43
• Catalog / Technical Write up
• MRP Certificate

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Import of goods under trading / retail
seller
Clearance time will be 3 working days for Air
shipment 5 working days for Sea shipment

• Documents required
• KYC
• GATT / Importers declaration
• Commercial Invoice
• Packing List
• Certificate of Origin
• VAT Registration Certificate
• Value Evidence
• MRP Declaration for each Product
• Legal Metrology registration certificate
• Catalog / Technical Write up
• Electronic products (listed products need BIS
  certification (laptop, server, storage unit etc)
• NOTE
• Selection of Trading customers should have many
  parameters to confirm their back ground Good
  will in the market.

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Import under project
Clearance time will be 5 working days after
Registration of Project Import

• Documents required for Registration
• Project Bond for Provisional assessment
• Letter of Acceptance (Industrial License) from
  Ministry of Industrial Development
• Contract / purchase order
• Sponsoring Authority of concern Ministry (ex.
  State Electricity )Letter Copy
• Cash Deposit of 2 CIF VALUE of Project
• (If above 50 Lakhs Bank Guarantee )
• 6) Request Letter for Registration
• 7) Essentiality Certificate with
• Detailed List of Goods

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Import under project
Clearance time will be 5 working days after
Registration of Project Import

• Documents required
• KYC
• GATT / Importers declaration
• Commercial Invoice
• Packing List
• Certificate of Origin
• VAT Registration Certificate
• Project Registration Details
• Catalog / Technical Write up

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Exhibition
Clearance time will be 5 working days after
Registration of Project Import

• Documents required
• KYC
• This exhibition approved or sponsored by ITPO or
  in the Ministry of Commerce 100 duty
  exempted
• Stall allotment letter from the ITPO to consignee
• 100 duty Bank Guarantee bond to be given by
  consignee
• This show should be held for public interest and
  not for private.
• Lead time for customs clearance within 3 working
  days by air, sea 5 working if all documents are
  in order.
• All import documents should have the remark of  
  exhibition cargo and re-exported with 6 months
• Authorization letter to Expo to handle customs
  clearance
• Letter to Deputy Commissioner of customs
  explaining the exhibition and request for
  permission under customs notification 3/89.
•  
•  

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Exhibition

• Fair, Exhibition, Demonstration, Seminar,
  Congress Conference (or) Similar events
• Whole duty is exempted,
• CONDITION
• The events specified in this schedule do not
  include exhibition organized for private purpose
  in shops (or) business premises with a view to
  the sale of foreign goods
• A rank not below that of an under Secretary to
  the Government of India in the Ministry of
  Commerce approval
• 
  (or)
• Indian Trade Promotion Organization (ITPO)
  duly authorized by its chairman
• Is being held in the public interest
• Open to the general public (or) Delegates to the
  Public events
• Customers should produce a guarantee for
  equal to customs duty in means of Under taking
  bond / Bank guarantee (or) Deposit of money
  (Once goods been export with in Six months , the
  above said the guarantee will be realized from
  customs)

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Exhibition

• Not Covered in Exhibition
• Any consumables (or) one time part to be
  declared in the declaration Form with the value
  evidence, these items are cant be re-exported
  since it was consumed in the event.
• Goods are capable of identification on
  re-exportation
• Suppose if customer want to sell the same
  Equipment through Exhibition can pay the customs
  duty take approval to realize the goods to the
  local buyer

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ata carnet

• Documents required
• Original ATA Carnet book from supplier
• Original FICCI (Federation of Indian Chambers of
  Commerce and Industry)
• Certificate  for guaranteeing the customs duty
  from Delhi should obtained before the shipment
  landed.
• Authorization Letter from Supplier  to Consignee
  to customs clear the ATA carnet shipment.
• ITPO (India Trade Promotion Organization) sponsor
  letter
• Certificate of Participation from Exhibitor
• Original supplier  invoice with the details of
  description for Exhibition purpose
• Original supplier  packing slip
• Original catalogue
• Original technical write up
• Original HBL

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ATA CARNET

• ATA CARNET Exemption from customs duty
  additional duty
• Customs notification No 157/28.30.1990 as
  amended by 66/95
• CONDITION
• Public interest approval should be sponsored by
  the Government of India (or) The India Trade
  Promotion Organization
• The carnet is guaranteed by the Federation of
  India Chamber of Commerce Industry (FICCI),
  which has ben appointed as the guaranteeing
  association of ATA carnet in India.
• The description, quantity, quality, value and
  other specifications given in the ATA carnet duly
  certified by the customs authorities at the
  country of exportation
• It has to be sent back (re-export) to origin
  within six months after import clearance
• In the event of failure to export the goods
  within the period specified in above condition,
  the customs leviable on the goods as on date of
  clearance shall be paid by the Federation

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Customs Clearance Flow Chart For Import
Import Clearance -Flow Chart

• ACP / Green Channel
• 2) Second Hand Machinery
• 3) Rejected Goods

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Import clearance - acp/green channel
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Import clearance second hand machinery
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import clearance second hand machinery
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Import clearance second hand machinery
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Import clearance of re- imported rejected
goods
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Import clearance rejected goods
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Import clearance rejected goods
Import clearance rejected goods
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samples gifts
Samples Through courier, bonafide commercial
samples and prototypes of goods supplied free of
charge of a value not exceeding  ten thousand
rupees per consignment for imports, which are for
the time being not subject to any prohibition or
restriction on their import into India and for
which no transfer of foreign exchange is
involved. Gifts Shipper can courier the
products as a gift to a person in India with
maximum weight of 3-4 kgs /with value of
Rs.10,000, and consignee need to give a
declaration to customs that goods given are for
personal usage and not for sales, customs will
impose customs duty based on the value of the
goods.  
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Toys Books

• Toys
• A certificate of standards prescribed in ASTM
  F963 (International standards organization who
  define standards)
• A certificate of Conformance from the
  manufacturer that representative sample of the
  toys being imported have been tested by an
  independent laboratory which is accredited under
  ILAC, MRA and found to meet the specifications
  indicated above. The certificate would also link
  the toys in the consignment to the period of
  manufacture indicated in the Certificate of
  Conformity.
• Printed Books
• Printed reading books can be imported under nil
  duty and leaflet, catalogue are dutiable

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ftwz

• Each Zone would provide 'World Class'
  Infrastructure for
• Warehousing for various kinds of products
• Handling and Transportation Equipment
• Commercial office space
• All related utilities - telecom, power, water,
  etc
• One stop clearance of Import and Export of goods
• FTWZ would be a key Link in Logistic and Global
  Supply chains - servicing both India and the
  Globe.
• 100 Foreign Direct Investment is permitted in
  development and establishment of FTWZ
• FTWZ is a deemed foreign territory and all
  equipment's and materials sourced from the
  Domestic Tariff Area will be considered as
  Imports by the FTWZ and vice versa
• Minimum size of the warehousing stipulated at 1
  lakh Square Meter.

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Ftwz process flow
Inward Process Process flow
    Movement of cargo from Port to FTWZ
    De-stuffing and movement to inspection area
    Inspection, document verification
    System posting and MIS
    KPI (De-stuffing to put away) 24 hrs
Outward Process  
              Order processing
              Pick list generation as per ordered qty customer reference
              Document preparation for EXPORT in to DTA (BOE filing)
              MRP pasting and repacking as per customer location
              Pallet making whenever required
              Invoice printing and document preparation
              Duty payment and custom clearance
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• sez

• Duty free import/domestic procurement of goods
  for development, operation and maintenance of SEZ
  units
• 100 Income Tax exemption on export income for
  SEZ units under Section 10AA of the Income Tax
  Act for first 5 years
• External commercial borrowing by SEZ units up to
  US 500 million in a year without any maturity
  restriction through recognized banking channels.
• Exemption from Central Sales Tax.
• Exemption from Service Tax.
• Single window clearance for Central and State
  level approvals.
• Exemption from State sales tax and other levies
  as extended by the respective State Governments.  

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Sez process flow

• Collecting the pre-alert documents from agents
  /EFL to file online SEZ bill of entry
• Once on line BOE number obtained, BOE will appear
  in consignee system for their approval
• On approval of BOE from consignee, BOE will be
  assessed online and manual by assessment officer
  at SEZ
• Collection of delivery order from liner
  facilitating direct delivery from port within 3
  days.
• With assessed BOE, Import manifest to be closed
  for transshipment application (TSA)
• TSA will be completed on arrival of vessel
• Delivery of container from port to move consignee
  factory.
• Collect POD of delivery
• Prepare the re-warehousing certificate and get it
  signed from consignee and SEZ customs officer.

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Air export process flow
Open docket, entering the invoice detail in the
system
Collection o f shipping/KYC documents from
shipper
Forwarding Dockets cargo status to Air/Sea
ops-team for planning
Pre Alert to counterpart
Cargo movement in closed truck with AWB T.C
copy
Check truck seal , cargo Airline sticker
Cargo Receiving by our staff at ACC
Handing over the cargo doc's to Airlines
Cargo examination
Shipping docs to shipper
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Sea export process flow
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Sea export process flow