Procedure for clearance of steel imports in india


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For many the process of custom clearing goods can be a tough task to deal with. In this presentation, I have attempted to elicit in simple way the procedure involved in clearing imported goods, which is common for most of the industrial products. Since focuses on steel, emphasis is given on steel imports.

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Procedure for clearance of steel imports in india

  1. 1. Procedure for clearance of Steel Imports in India By Madhusoodhanan Sayeenathan
  2. 2. Contents • • • • • Acronyms used in Customs parlance Documents required Sequence of custom clearance process Procedure Steel Import Duty Structure in India
  3. 3. Acronyms used in Customs Parlance IEC – Import Export Code DGFT - Director General of Foreign Trade NICNET – National Informatics Centre Nationwide Network EDI – Electronic Data Interchange RES - Remote EDI System ICES – Indian Customs EDI System CHA – Customs House Agent IGM – Import General Manifest B/E – Bill of Entry
  4. 4. Documents Required The CHA/Importer to ensure the following documents are available before custom clearing a consignment 1. 2. 3. 4. 5. 6. 7. Signed Invoice. Bill of Lading Packing List Material Test Certificate Certificate of Origin Insurance document CHA/ Importer’s signed declaration ( in the prescribed format)
  5. 5. Sequence of Processes in Custom Clearing IEC code for Importer from DGFT CHA / Importer submits declaration + invoice+ packing list online in RES Checklist If there are any errors, correct them If no errors are found, upload the signed check list Bill of Entry number is generated and information is sent to customs house Group Appraiser assesses Bill of Entry Audit Appraiser assesses Bill of Entry Audit is approved by Assistant Commissioner – TR-6 is printed Duty Payment at the bank Examination of goods by Shed/ Dock Appraiser Out of Charge is issued
  6. 6. Procedure – Filing Bill of Entry • RES enables CHAs to file import data from their offices (or) service canters of NIC. • Registration at • ICEGATE ID is generated following registration • Download and Install RES in system. • File the import data to get Bill of Entry Number (B/E).
  7. 7. Procedure Filing Bill of Entry • Import Data contains 1. Self assessed signed declaration in prescribed format. 2. Invoice 3. Packing list Check list is generated by system. • If there any errors are highlighted by system correct them and re-upload the documents. • Sign the check list and upload it in system. • Bill of Entry number is generated & information will reach customs house.
  8. 8. Procedure Assessment & Examination • Upon B/E number generation, the appraisers audits the B/E in system and this is approved by Assistant Commissioner. • If the appraisers find any discrepancy in the self-assessment/ declaration for duty payment, the same would be corrected. • Upon approval, TR-6 Bill can be printed for duty payment. • Duty to be paid at the prescribed bank (online or by person). • Bank informs customs house upon receipt of duty payment.
  9. 9. Procedure Assessment & Examination • Duty paid B/E will appear in screen of Dock Appraiser. • CHA should carry all original documents along with B/E, duty payment receipt while examining the goods. • Shed appraiser examines the goods on sample basis. • Upon examination shed appraiser issues “ Out of Charge” order in the system. • Goods can be cleared from the port.
  10. 10. Steel Products Import Duty Structure S.No Item CTH No. Existing Import Duty 1 Pig Iron 72.01 5% 2 Semis 72.07 5% 3 Bars & Rods 72.13 5% 4 Structurals 72.16 5% 5 HR Sheets/ Plates (Nonalloy) 72.11 7.5% 6 HR Coils (Non-alloy) 72.08 7.5% 7 CR Coils/ Sheets (Nonalloy) 72.09 7.5% 8 GP/GC Sheets (Non-alloy) 72.10 7.5% 9 HRGO/HRNGO (Non-alloy) 72.08 72.11 7.5%
  11. 11. Steel Products Import Duty Structure S.No Item CTH No. 10 HR/CR alloy steel (flat rolled) other than Headings No. 72253090, 72254019, 722550 and 72259900 11 Flat Rolled Alloy products of heading 7225 3090, 72254019, 722550 & 72259900 12 Tinplates W/W and TFS seconds 13 Existing Import Duty 5% 7.5% 72.10 72.12 10% Defectives CR/coils 72.09 10% 14 Stainless steel HR coils for coin blanks 72.19 5% 15 Melting scrap (iron, steel & stainless steel) 72.04 0% 16 Re-rollable scrap 72.07 5%
  12. 12. Happy Steeling !!