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on 27 th november, 2015 at Custom House, Chennai

on 27 th november, 2015 at Custom House, Chennai. OBJECTIVES of TRS. To identify bottlenecks affecting customs release. Assessing newly introduced and modified techniques, procedure & technologies. Establishment of baseline trade facilitation performance measurement .

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on 27 th november, 2015 at Custom House, Chennai

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  1. on 27th november, 2015 at Custom House, Chennai

  2. OBJECTIVES of TRS • To identify bottlenecks affecting customs release. • Assessing newly introduced and modified techniques, procedure & technologies. • Establishment of baseline trade facilitation performance measurement . • Identifying opportunities for trade facilitation improvements. • Facilitates ‘ease of doing business’.

  3. SCOPE of TRS • Measures the mean average time taken in each process of Customs clearance from arrival of goods to the release of the goods (Out of Charge – OOC). • Is based on the declarations filed and processed electronically. • About 99.75% of import declarations are filed electronically in Custom House.

  4. METHODOLOGY ADOPTED Sampling methodology. • As per WCO guidelines, the sample should ideally include all the declarations processed in a period of at least 7 consecutive working days. • The period chosen for the study of should be one of the normal traffic periods. • Time period of 03.11.2015 to 09.11.2015,from Tuesday to next Monday was undertaken for this Analysis. • During this period, there was no slowdown or break down of EDI System. Hence data collected reflects a fairly representative sample.

  5. WORKFLOW OF CUSTOMS CLEARANCE • Customs clearance can be broadly classified into following stages: • 1. Filing of IGM ACTION OWNER : SHIPPING LINER • 2. Filing of BE ACTION OWNER : IMPORTER / CB • 3. Processing of declaration automatically by Risk Management System (RMS), which decides • to facilitate the BE or send the BE for scrutiny by Assessment Group. • ACTION OWNER : ICES 1.5 • 4. Scrutiny is done either through 1st check or 2nd check assessment, which is done at the • behest of importer or Customs; • ACTION OWNER : CUSTOMS • 5. 1st check assessment ACTION OWNER: CUSTOMS

  6. WORKFLOW OF CUSTOMS CLEARANCE Cntd... 6. 2nd Check Assessment ACTION OWNER : CUSTOMS 7. Payment of Duty ACTION OWNER : IMPORTER / BANK 8. Goods Registration ACTION OWNER : IMPORTER / CB 9. Examination of goods ACTION OWNER : CUSTOMS 10. Out of Charge (OOC) in ICES. ACTION OWNER : CUSTOMS Stage 3 to 6 and 9 & 10 : Processing attributable to Customs Aggregate of Stages 1 to 10 : Total time taken for the goods to be released to the importer

  7. RMS MONITORING SYSTEM

  8. For the period 03/11/15 to 09/11/15

  9. ANALYSIS OF STAGES 1 & 2 • VESSEL ARRIVALTO FILING OF BE • - Action Owner : Importer / CB

  10. ANALYSIS OF STAGES 2 TO 6 B. TIME TAKEN IN FILING TO ASSESSMENT - Action Owner : CUSTOMS

  11. ANALYSIS OF STAGES 6 & 7 C. TIME TAKEN IN FOR PAYMENT OF DUTY AFTER ASSESSMENT - Action Owner : IMPORTER/ CB

  12. ANALYSIS OF STAGES 7 & 8 D. TIME TAKEN FOR REGISTRATION AFTER PAYMENT OF DUTY - Action Owner : Custodian/ CB , Terminal Operator / IMPORTER

  13. ANALYSIS OF STAGES 8 TO 10 E. TIME TAKEN FOR OUT OF CHARGE FROM REGISTRATION - : Action Owner - CUSTOMS

  14. ANALYSIS OF TIME TAKEN FOR OOC BY CUSTOMS / IMPORTER

  15. COMPARATIVE ANALYSIS / PERFORMANCE WITH RESPECT TO PREVIOUS YEAR. Vessel Arrival to filing of BE Filing to assessment Assessment to duty payment Payment to registration Assessment to Registration Registration to OOC of BE 1.70 Vis- a -vis 1.77 1.68 Vis-à-vis 2.39 0.67 Vis-à-vis 1.36 2.27 Vis-à-vis 3.76 0.88 Vis-à-vis1.17 4.05 Vis -a -vis 4.58 Average No of Days taken 8.9 Vis-à-vis 11.28 Days taken for the corresponding previous year.

  16. OUTCOMES 1.Major Contributors to performance/dwell time identified & quantified. 2. Potential opportunities for improvement from Customs side identified. 3. There are several factors that affect trade facilitation.

  17. TAKEAWAY FOR CUSTOMS • What cannot be measured cannot be improved • Do away with the Baggage of avoidable litigations. • Eliminating/Reducing printouts in Customs Viz., TR6 Challans, Transshipment Permit (TP), Exchange control copy • Operationalization of “RFID” for seamless flow of containers. • To broad base ACP status holder for startup companies also.

  18. SUGGESTIONS/RECOMMENDATIONS FOR YOUR KIND ATTENTION

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