Circular No. 14/ 2023-Customs
F.No.450/109/2023-Cus-IV
Government of India
Ministry of Finance, Department of Revenue
Central Board of Indirect Taxes & Customs
*****
Room No.227B, North Block,
New Delhi, dated 3
rd
of June, 2023.
To,
All Principal Chief Commissioners/ Chief Commissioners of Customs/ Customs
(Preventive)/ Customs and Central Tax
All Principal Commissioners/ Commissioners of Customs/ Customs (Preventive),
All Principal Director Generals/ Director Generals, under CBIC.
Madam/Sir,
Subject: Electronic Repairs Services Outsourcing (ERSO) – initiation of pilot
at ACC Bengaluru- reg.
Electronic Repairs Services Outsourcing (ERSO) is an initiative of the Government
of India involving MeitY, MOEF&CC, DGFT, and CBIC working in convergence with the
industry [Manufacturers Association of Information Technology (MAIT)]. ERSO involves
import of goods (defective, damaged electronic goods) by designated repair service
entities in India, to reliably repair them and re-export the goods. The repairs services
outsourced to the service entities in India enables extension of the life of the electronic
goods which is in sync with India’s commitment to the environment.
2. To provide the regulatory environment, amongst other aspects, the DGFT has issued
Public Notice No. 31/2015-20 dated 14.10.2022 for allowing General Authorization for
Export after Repairs in India (GAER), the MOEF&CC has issued F.No. 23/151/2022-HSM
dated 02.01.2023 providing relaxation to dispose certain goods which are beyond repairs
up to specified limit. Further, the Commissioner of Customs Airport and Air Cargo,
Bengaluru has issued Public Notice No. 7 dated 27.05.2023 which is a procedure being
tested for import and re-export clearances under ERSO (by specified importers- exporters)
with aim of achieving the ecosystem conducive to providing quick and reduced turn-
around time imperative for being a repair destination for ICT products globally.
3. The above aspects are being validated for their efficiency and efficacy through ERSO
Pilot launched on 31.05.2023. The MeitY's press release with PIB PRID=1928643 may be
referred.
4. Few aspects of the Customs procedure for import and re-export via the Customs
Station at Air Cargo Complex, Bengaluru are –
a. bills of entry or shipping bills need to be filed in advance to enable processing to
the extent feasible prior to arrival of goods.
b. error free filing of above import or re-export declarations would obviate need for
amendment and minimize clearance time.
c. uploading of all the necessary documents in legible form in e-Sanchit would
obviate the need for customs seeking clarification through query module thereby
minimizing clearance time.
d. Importers to
1
use appropriate continuity/running re-export (RE) Bond [without
Bank Guarantee], which would be registered at ACC, Bengaluru. The EDI System
would debit the amount involved against each import. The importer would be able
to check the balance of the bond amount available on ICEGATE system to decide
the requirement to submit additional bond when the balance is insufficient. Once
the re-export is made, bond is re-credited by officer at ACC, Bengaluru.
e. A nodal officer in the grade of DC/AC, along with a core team of Superintendents/
Appraisers for ERSO, for specifically coordinating all ERSO matters is nominated by
the Commissioner of Customs, Bengaluru. The nodal officer and team shall pro-
actively fast track every stage post the filing of import/export declaration. These
stages include assessment including at faceless assessment groups, examination at
location etc. The fast-tracking shall be carried out at all locations in coordination
with respective faceless assessment groups and also at ACC, Bengaluru. The
concerned entity/ custom broker is expected to share in advance the details of
ERSO imports/exports.
f. Nature of goods being such as are regarded to have been taken into use before
import, and the re-export being of a nature that the goods exported are same as
the goods imported, examination is required. Therefore, the importer should opt
for first check
[1]
while filing the import declaration.
g. While the bill of entry would get assigned to a faceless assessment group, the nodal
officer shall ensure that, without waiting for the first check order on the bill of entry,
the examination in first check is begun immediately on arrival of goods, and
completed.
[1]
CBIC will explore developing automated standardized examination order for ERSO
imports.
h. an empaneled Chartered Engineer is involved with examination for purposes of
identity etc. of the ERSO imports. In exceptional cases, if during import process a
difficulty in identification of the product arises, then at the time of examination in
first check, the product may be made amenable to establishment of its identity on
re-export, through use of an appropriate technology. The procedure of this may be
laid out through Public Notice by the Commissioner of Customs, Airport and Air
Cargo, Bengaluru.
i. Provisioning of designated & earmarked areas with suitably controlled
environment for purposes of examination of the ERSO goods at
[2]
Air Cargo
Complex, Bengaluru during the inward and outward movements of the ERSO
goods, provides an enabling business ready environment for expeditious
processing in conduct of above Customs procedures.
5. The National Assessment Centre handling electronic goods/ ICT products and the
Faceless Assessment Groups' officers, as well as the officers of the Customs Zones are
sensitized that the ERSO eco system is one of import -> examine in first check –> repair –>
identify & re-export. Therefore, the NAC is to ensure expedited assessment in a standardized
manner.
6. The Bengaluru Customs Zone is expected to take all measures necessary in relation to
ERSO, including augmentation of resources, if necessary, in coordination with the Bengaluru
CGST Zone, and to resolve all issues that come up during the implementation. A log of such
aspects may be kept and Board kept informed. Progress in activities under ERSO may be
reported weekly during the pilot phase of first three months. A review will be carried out
based on the feedback and modifications made in the process etc. as necessary.
Hindi version follows.
(Ananth Rathakrishnan)
Director (Customs)
[2]
In a situation where, for reasons beyond the control of the entity, it becomes necessary
to explore alternative suitable controlled environment for examination, the Commissioner
would explore other options, including movement (as per section 49 of Customs Act, 1962)
to nearby public bonded warehouse with such facility or on-site inspection (with
suitable safeguards).
