Circular No. 41 / 2017-Customs
F. No: 450/08/2015-Cus.IV
Government of India
Ministry of Finance
Dept. of Revenue
Central Board of Excise and Customs
*****
Dated, the 30
th
October, 2017
North Block, New Delhi
To,
All Principal Chief Commissioners/Chief Commissioners of Customs/Customs(Preventive)
All Principal Chief Commissioners/Chief Commissioners of Customs & Central Excise
All Principal Commissioners/Commissioners of Customs/Customs (Preventive)
All Principal Commissioners/Commissioners of Customs & Central Excise
Subject: Implementing Electronic Sealing for Containers by exporters under self-sealing
procedure prescribed by circular 26/2017-Cus dated 1
st
July 2017, circular 36/2017 dated
28.8.2017 and 37/2017 dated 20.9.2017 – reg.
Madam/Sir,
With the introduction of self-sealing using RFID e-seals, the Board has sought to enhance
export facilitation by dispensing the need for exporters seeking the presence of jurisdictional
officer for the purposes of supervising stuffing of the cargo at approved premises. This measure
is expected to reduce transaction costs of exporters since they do not have to incur MoT charges
in respect of such supervision as well as improve their timeliness of their exports. Such facilitation
is proposed to be backed by application of technology in the form of exporters using RFID e-
seals since it has the potential to improve visibility and enhance cargo security during
transportation to Ports & ICDs as well as during holding time.
2. Attention is drawn to para 5 of circular 37/2017-Customs dated 20
th
September 2017
stating the date for mandatory e-sealing shall be 1
st
November 2017. In order to take stock of the
preparedness of the trade, field formations, the Board has held consultations with the vendors.
It is understood that the fixed Readers are already in place at Chennai port and are being already
used to monitor the movement of trucks from CFSs to the Port. During the consultations, it has
also been informed that installation of fixed readers at Mangalore and Cochin will be completed
by 31
st
October 2017. It is also learnt that hand held Readers have been provided to Kolkata Port
and to all ICDs in the NCR region. It has been informed that handheld readers have been
dispatched to over 50 customs stations including JNCH, Mumbai, Mundra, Pipavav, Hazira etc.
Commissioner of Customs, ICD, Patparganj and Kolkata have already had a familiarisation
program for the officers.
3. Trade associations and field formations have queried about the procedures to be followed
for export of goods under RFID self-sealing prescribed under the above circulars. The following
clarifications are provided for the sake of uniformity and better understanding of the new
procedure.
4. Circulars 26/2017 and 36/2017 have obligated following classes of exporters to adopt
RFID e-sealing:
(a) exporters already enjoying the facility of self-sealing after having been
approved by jurisdictional formations under the erstwhile procedures;
(b) exporters who have hitherto been availing of supervised sealing and have
been automatically entitled to avail of self-sealing using RFID e-seals, without
having to expressly seek any permission/approval of the jurisdictional
commissioner for this purpose;
(c) AEOs, regardless of whether they were self-sealing or undertaking
supervised sealing, have also been entitled to avail of the new procedure;
(d) Lastly, all exporters have been extended this facility subject to their filing
GST returns but after seeking permission for self-sealing from the jurisdictional
Commissioner as per procedure prescribed under para 9(iii) of circular
26/2017-Cus dated 1
st
July 2017.
5. The procedure prescribed under the above circulars applies only to cargo in full container
load, sealed at an approved premise, by an entitled exporter. In case of an FCL being received
at a Port or ICD under self-sealing using RFID e-seals, prescribed under circular 36/2017-
Customs dated 28
th
August 2017, it shall be deemed to be equivalent to a container sealed under
the erstwhile system of officer supervised sealing. Unless and until there are good reasons or
intelligence to warrant inspection of such containers, there shall be no need for examination of
such containers once the RFID e – seal is read as intact or not tampered.
5.1 In case an RFID seal affixed on a self-sealed container is found tampered, the same shall
be subject to examination as already prescribed under para 2(f) of Circular 36/2017-Cus dated
28
th
August 2017. However, after examination, the further movement of such a container shall
not be under the RFID e-seal procedure. The existing system of using the traditional bottle seals
by customs shall continue for such movements.
5.2 Full containers brought to Ports without RFID e-seals shall be taken to a CFS or allowed
direct port entry, as the case may be, and will be subject to usual RMS treatment. Similarly, Full
Containers Loads arriving at ICDs, but without RFID e-seals, will be subject to usual risk
management parameters.
5.3 The procedure under the subject circulars does not apply to export of non-containerized
cargo or Air cargo or for movement of cargo from CFSs to ICDs/Ports or cargo exported through
Land Customs Stations. Extant practices in respect of such cargo shall continue.
6. The issue of the type of readers that vendor shall provide to customs has also been
raised. The Board has permitted vendors to either provide fixed readers, in consultation with
custodians at Ports and ICDs, or provide handheld Readers. Due to the flexibility provided by
Handheld Readers, in as much as officers can use them to read seals at the point of entry or at
the place of stacking or when containers are being loaded for further movement, the same are
preferred. Vendors are advised that when they provide fixed readers, services must be supported
with handheld readers so that officers can carry out additional checks at any point within the
Port/ICD. Accordingly, the readers to be provided shall be:
(a) Rugged and capable of withstanding shocks and vibrations and be
generally adapted to outdoor/industrial environment.
(b) Integrated devices with a large display screen for viewing of data fields
specified in para 4 of circular 36/2017 customs.
(c) The aforesaid data elements shall be displayed on the Reader display, on
scanning of the e-seal by Customs.
6.1 Furthermore, all vendors shall provide an application on a desktop computer to be made
available by field formations so that e-sealing data pushed to the destination customs port / ICD
is searchable in terms of any of the data elements prescribed under para 4 (a) of circular 36/2017
customs. The said application may be made available in reasonable time but not exceeding 30
days from the date of this circular. In the meantime, the data elements shall be transmitted in
excel format to risk management division (RMD) and the concerned field formation from where
the cargo is to be exported. Field formations and RMD are advised to immediately communicate
the email IDs for this purpose to vendors.
6.2 It is also re-iterated that data once uploaded by the exporter should not be capable of
edited or deleted.
6.3 The web application shall capture the location where the RFID e-seal is read.
6.4 The vendors shall transmit the IEC details of such exporters who have purchased the
RFID e-seals to RMD on a daily basis. The IEC number and the name of exporter shall be
provided only when the vendor makes the first sale to the exporter; there is no need transmit the
details of the exporter each time a sale is made.
6.5 The vendors shall make all efforts to serve the requirements of maximum number of
exporters by providing the RFID e-seals. They shall also provide Readers to all the customs
stations from where the client exporters are exporting their cargo. The department reserves its
right to direct vendors to provide Readers at any particular port/ICD.
7. The list of stations where Readers have been provided by Vendors is annexed to this
circular. As and when coverage is extended by vendors to more customs stations, they shall be
included in the list of Ports / ICDs where e-sealing would be mandatory. While for the benefit of
the trade, Board shall update the list of Customs stations from time to time, field formations are
advised to issue trade notices regarding availability of Readers as soon as these are available
at their Port/ICD.
8. While the progress made in the coverage of reader network across ports and ICDs is well
recognised, but factoring that it may take some time for the field formations to fully set up systems
and procedures for handling RFID e-sealed containers as well as receipt of data, the Board has
decided that mandatory e-sealing for different classes of exporters shall be brought in a phased
manner as indicated below:
8.1 In respect of all exporters who have been permitted self-sealing facilities under erstwhile
procedures and exporters who are AEOs, it would be mandatory to seal their export containers
with prescribed RFID e-seal w.e.f 8
th
Nov. 2017. Any non-compliance will subject the containers
to usual RMS parameters.
8.2 In respect of the category of exporters who are availing supervised stuffing at their
premises, extant practice of supervised stuffing may continue till 19
th
November 2017. With
effect from 20
th
November 2017, they shall have to switch to RFID e-sealing procedures.
8.3 Regarding the exporters who have newly applied to the jurisdictional customs authority
for self-sealing permission under circular 26/2017-Cus dated 1
st
July 2017, they shall commence
use of the facility subject to grant of permission and upon adoption of RFID e-sealing.
9. The applicable date for RFID e-sealing implies that exporters are required to use this
procedure from the prescribed date. Any container sealed at the exporters premises before the
prescribed date, shall not be required to be brought with RFID e-seal.
9.1 It is also clarified that those exporters who are in possession of RFID e-seals are at liberty
to commence availing the facilitative procedures forthwith. It may be recalled that vide circular
37/2017-Cus, the e-sealing procedure had been made voluntary subject to availability of reader
facilities.
10. As the RFID e-seal based self-sealing procedure has been introduced as a measure of
export facilitation, the field formations are advised to guide the exporters and work closely with
the private service providers for smooth roll-out of the system.
11. The procedures in respect of customs stations where readers have not been provided by
any vendor so far shall continue till 31
st
December 2017, as per existing practice. Board shall
take necessary steps to make sure that the readers are made available at such customs stations
by 1
st
January 2018.
12. Difficulties if any should be brought to the notice of the Board
13. Hindi version follows.
(Maninder Kumar)
OSD (Customs)
List of Customs stations (as declared by Vendors)
S.No. Ports Covered Type Location Code
1 Ankhleswar ICD INAKV6
2 APL Dadri ICD INAPL6
3 Bawal ICD INBAW6
4 Buddi ICD INBDI6
5 Ginnaur Sonepat ICD INBDM6
6 GRFL Piala Faridabad ICD INBFR6
7 Bhagat Ki Kothi,
Jodhpur
ICD INBGK6
8 Moti Mahal Agra ICD INBLJ6
9 Tarapur Thane ICD INBNG6
10 Mumbai Port PORT INBOM1
11 Vadodra Dashrath ICD INBRC6
12 CONCOR Fridabad ICD INBVC6
13 Kolkata Port PORT INCCU1
14 Tirupur Coimbatore ICD INCHE6
15 Khatuwas ICD INCML6
16 Cochin Port PORT INCOK1
17 CPL DADRI ICD INCPL6
18 Chawa Payal ICD INCPR6
19 OWPL Ludhiana ICD INDDL6
20 PSWC Dhandai Kalan ICD INDDL6
21 Dadri ICD INDER6
22 CONCOR Dadri ICD INDER6
23 Jatipur Panipat ICD INDWN6
24 Ennore Port PORT INENR1
25 Balabgarh ICD INFBD6
26 Garhi Harsru ICD INGHR6
27 Adani Hazira Port PORT INHZA1
28 Pithampur Dhar MP ICD ININD6
29 Kandla Port PORT INIXY1
30 Jalandhar ICD INJUC6
31 Kattuapalli PORT INKAT1
32 Kanakpura Jaipur ICD INKKU6
33 JRY Kanpur ICD INKNU6
34 Krishnapatnam Port PORT INKRI1
35 Kota ICD INKTT6
36 Concor Ludhiana ICD INLDH6
37 Loni ICD INLON6
38 Chennai Port PORT INMAA1
39 Moradabad ICD INMBD6
40 Mandideep Bhopal ICD INMDD6
41 Mundra Port PORT INMUN1
42 Maliwada Aurangabad ICD INMWA6
43 Ajni Nagpur ICD INNGP6
44 Nagpur ICD INNGP6
45 JNPT Nava Sheva PORT INNSA1
46 Pipavav Port PORT INPAV1
47 Pali ICD INPKR6
48 Panki Kanpur ICD INPNK6
49 Panipat ICD INPNP6
50 PPG ICD INPPG6
51 Patli ICD INPTL6
52 Palwal ICD INPWL6
53 Rewari ICD INREA6
54 Sanad ICD INSAU6
55 Khodiyar ICD INSBI6
56 GRFL Ludhiana ICD INSGF6
57 Sanatnagar Hyd ICD INSNF6
58 Kanech Ludhiana ICD INSNI6
59 Star Track Dadri ICD INSTT6
60 Thar Dry Jodhpur ICD INTHA6
61 TKD Delhi ICD INTKD6
62 Talegaon ICD INTLG6
63 TTP Dadri ICD INTTP6
64 Custom House
Tuticorin
PORT INTUT1
65 Vishakhapatnam Port PORT INVTZ1
64 Waluj Aurngabad ICD INWAL6
65 Whitefield Banglore ICD INWFD6
66 Valsad ICD INSAJ6
67 Valsad ICD INVPI6
68 New Custom House,
Panambur, Mangalore
SEA INNML1
69 Old Mangalore Port,
Mangalore
SEA INIXE1
