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Apr

Technology Initiative by Indian Customs April, 2023

The Indian Customs department has implemented several technology initiatives in recent years to improve the ease of doing business and increase import-export trade. Here are some of the key initiatives and their impact:
 

1. Single Window Interface for Facilitating Trade (SWIFT): SWIFT is an online platform that allows businesses to submit all required documents for customs clearance in a single interface. This has streamlined the customs clearance process and reduced the time and cost involved in importing and exporting goods.

2. Direct Port Delivery (DPD): DPD is a process that allows importers to take delivery of their goods directly from the port, without the need for intermediaries such as freight forwarders or customs brokers. This has reduced the time and cost involved in importing goods and has also improved transparency in the import process.

JNPT DPD Data July 2022

DPD CONTAINERS DATA FROM 01st TO 31th  July’2022 (Based on Ports / Terminals Data)
PORTDPDTOTAL LADENDPD %
DPDDPD 48 HrsFROM CFSTOTAL DPD
JNPT3649354815938975760.86
GTI428455533777386165997464.39
NSICT & NSIGT253728931181340074914269.2
BMCT242023026845294954499065.56
Total960511679728410805616386365.94

Source: JNCH website.

Trade Facilitation Agreement: Sea change in shipping cargo at Jawaharlal Nehru Port Trust – The Economic Times (indiatimes.com)

 

3. Customs Electronic Gateway (ICEGATE):
Indian Customs Electronic Gateway (ICEGATE) is the national portal of Indian Customs of Central Board of Indirect Taxes and Customs (CBIC) that provides e-filing services to the Trade, Cargo Carriers and other Trading Partners electronically.

At present, more than 1.6 lacs users are registered with ICEGATE who are serving about more than 12.5 lacs importer/exporter. Through this facility Indian Customs offers a host of services, including electronic filing of the Bill of Entry (import goods declaration), Shipping Bills (export goods declaration), e-Payment of Customs Duty, a free of cost web-based Common Signer utility for signing all the Customs Documents, facility to file online supporting documents through e Sanchit, end to end electronic IGST Refund and etc.
Source: www.icegate.gov.in

 

4. Risk Management System (RMS): RMS is a system that uses data analytics and risk assessment tools to identify high-risk consignments for inspection. This has reduced the need for physical inspections of low-risk consignments, which has improved the speed and efficiency of customs clearance.

The implementation of these technology initiatives has had a significant impact on the ease of doing business and the volume of import-export trade in India. According to the World Bank’s Ease of Doing Business report, India’s ranking improved from 142 in 2014 to 63 in 2019, largely due to improvements in customs clearance procedures. In addition, the volume of India’s trade has increased significantly, with the country’s total merchandise trade increasing from USD 660 billion in 2017-18 to USD 840 billion in 2019-20. These technology initiatives have also improved transparency and reduced corruption in the customs clearance process, which has further improved the business environment in India.

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