CBIC lays down Procedure for Export of Cargo in Closed Containers ICDs to Bangladesh using Inland Waterways

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The Central Board of Indirect Taxes and Customs (CBIC) has laid down the procedure for the export of cargo in closed containers ICDs to Bangladesh using inland waterways.

The circular issued on Friday was in the light of references received from line Ministries as well as trade to allow the export of goods in closed containers from an Inland Container Depot (ICD) to Bangladesh using inland waterways.

“It has been suggested that goods cleared at an ICD for export may be transported to the gateway port of Kolkata or Haldia by road or rail, and further from the gateway port to Bangladesh utilising the inland waterways route as agreed under the Protocol on Inland Water Transit and Trade (PIWTT) between India and Bangladesh. Recently, in the ‘Waterways Conclave 2022’ organised by the Inland Waterways Authority of India (IWAI) in April 2022, several stakeholders had evinced interest in using the inland waterways for exports to Bangladesh,” the circular said.

Earlier, with a view to decongesting border points, minimize interventions at the border, and provide speedier clearance to exports to neighboring countries. The Board has issued Circular 52/2017-Customs, as amended, lays down the procedure for off-border export clearance at an ICD/CFS and subsequent movement of cargo in containers or closed bodied trucks under ECTS seal from the said ICD/CFS to Bangladesh, Nepal or Bhutan through specified Land Customs Stations (LCS). The said Circular envisages movement of cargo by road or rail, but does not provide for use of inland waterways.

Relying on the above circular, the Board clarified that “Therefore, to augment multi-modal connectivity approach and leverage the bilaterally agreed inland waterways routes between India and Bangladesh under the PIWTT (hereinafter referred as ‘IBP routes’), the Board has now decided to extend the provision of off-border clearance at ICDs for containerised movement of export cargo under e-seal to Bangladesh using inland waterways, as an additional measure towards trade facilitation. The goods cleared at the ICDs shall be first brought by road or rail to the gateway ports of Kolkata or Haldia, from where the containers shall be loaded on a barge/vessel for further journey by riverine route to Bangladesh through Land Customs Station of Hemnagar.”

Based on the border crossing report shared by Customs officer of LCS Hemnagar, the Customs officer at the gate way port (Kolkata / Haldia) shall enter the sailing date in the EDI system for reconciliation of the Export General Manifest (EGM), upon which the bond for safe movement from ICD till LCS Hemnagar shall be re-credited / discharged at the ICD.

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