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Import Trade Documentation By-Divya SoniKrishna KantVanshali SanwalkaCustom clearance procedureImport Clearance Procedure:-Upon Cargo Arrival, the Importer has two options: To Clear immediately, orTo Store under Bond and clear later

Bonded warehousing:-Cargo is put in Bonded Warehouse and cleared later upon payment of applicable duties. Bonded Warehouse storage charges will be applicable during the period of storage. Clearance for home consumption:-Cargo is cleared for delivery upon payment of applicable duties.Importer takes away his cargo and no storage charge is applicable, if done so during the free period. Clearance for home consumptionExport clearance procedureFacility of export:-Factors stuffing of containers:-The Exporter has permission for stuffing the container (FCL) at his factory premise under supervision from Central Excise Official. Permission is given by Central Excise & Customs.Dock stuffing:-The Exporter does not have permission for stuffing container (FCL) at his factory premise. LCL cargo also fall under this categoryAir cargo carting:-The export cargo is carted at the airport nominated warehouse of the airline.

Dock stuffing of containersAir cargo exportImport documentationCommercial Invoice This is the most important document that certifies the sale as well as gives the description of the items as well as reflects the pricing or the value of the cargo.Customs valuation is based on the value reflected on the Commercial Invoice. Customs also verifies the rates charged in the commercial invoice and can question the rates applied incase it has sufficient cause to believe that the rates charged as not as per international market rates or the invoice is under valued to avoid duties.

Packing list:-It is mandatory to put the shipping marks on all the cargo covering each and every individual piece or parcel. The details of the number of parcels in the consignment, their dimension, the shipping marks, the gross and net weights of each of the parcels along with the number of units contained in each parcel is catalogued in the form of packing list.Packing List is used to identify the parcels as belonging to the particular consignment under the said Invoice.

Certificate of origin:-Certain bilateral agreements and multi lateral agreements would enjoy favorable tariffs for import duties. In such cases when the consignments are exported from such member countries, the designated Export Agency issues Certificate of Origin to the importer for submission to Customs. Based on this certificate the Customs Department of the Importing Country classifies the cargo under specific schedule.Certificate of Origin also helps to avoid third party countries from routing imports through member countries and effecting third party exports to avoid duty, quantity or license restrictions.

Bill of lading or airway bill:-Bill of Lading is a negotiable multi modal transport document issued by the Shipping Line certifying carriage of the said cargo under the specific invoice on behalf of the exporter or importer depending upon the terms of sale. An On Board Bill of Lading is usually considered to be the apt Bill of Lading that signifies that the cargo has been loaded On Board the vessel or the ship. This is one of the documents required for negotiations of payment from importer to the exporter.Air way Bill is the negotiable transport document issued by an Airline or a Freight Forwarder who consolidates the airfreight cargo.Role Of Authorized Dealer in Import

Letters of AuthorityAuthorized dealers may open letters of credit or make remittances towards imports, permitted without license on behalf of agents appointed by eligible importers.

The responsibility for production of the Customs Bills of Entry, will rest on the letter of authority holder or agent and an undertaking to do this must be taken from him.

Authorized dealers may open letters of credit or make remittances where the Exchange Control copy of relative import license has been issued in the name of a party.Attestation of Invoices by Authorised Dealers Under Customs regulations, importers have to submit a copy of invoice attested by authorized dealer to Customs at the time of clearance of goods.

Authorized dealers may allow advance remittances for import of goods without any ceiling.

Interest on Import Bills Authorized dealers may make remittances on account of interest accrued.

Normal interest clause' or of overdue interest paid on sight bills for a period not exceeding six months from the date of shipment.

In case of pre-payment of usance import bills, remittances may be made only after reducing the proportionate interest for the unexpired portion of usance at the rate at which the interest has been claimed.

Appointment of Buying Agents Abroad Authorized dealers may, on application and supported by particulars including relevant correspondence/buying agency agreement, allow remittance of commission to overseas buying agents.

Rate of commission does not exceed 2.5 per cent of f.o.b. value of imports. The amount remitted should be endorsed on Import License.

The details of letters of credit opened or forward contracts booked or remittances made in foreign currency as also the amount of insurance, freight and commission paid by the importer locally in rupees.THANK YOU