The Office of the Commissioner of Customs, Chennai-IV issued Public Notice No. 27/2026 under Section 143AA of the Customs Act, 1962 prescribing procedures for handling export containers returned to India due to disruptions caused by closure of the Strait of Hormuz. The notice provides simplified processes for verification, offloading, and clearance of such cargo without filing a Bill of Entry where container seals are intact and match declared details. It mandates verification of SAM filings and seal integrity, cancellation of Shipping Bills and LEO through EDI systems, and recovery of export incentives such as IGST refunds and drawback before granting “Back to Town” clearance. In cases of tampered seals, 100% examination and re-import procedures apply. Detailed coordination mechanisms between Preventive and Export Commissionerates, along with procedures for transshipped cargo and record maintenance, are specified to ensure trade facilitation while safeguarding revenue interests.
Govt. of India
Ministry of Finance
Dept. of Revenue
Telephone: 25231217
Fax : 25221861
Email : commr4-cuschn@gov.in
OFFICE OF THE COMMISSIONER OF CUSTOMS
CHENNAI-IV, CUSTOM HOUSE, NO.60,
RAJAJI SALAI, CHENNAI 600 001.
F. No. CUS/DOCK/42/2022-Docks-Admn Dated: 20-04-2026
PUBLIC NOTICE NO. 27 /2026
Subject: Procedure to handle export cargo containers offloaded at foreign ports and subsequently returned to India, in view of disruption in maritime routes due to closure of the Strait of Hormuz – Section 143AA of the Customs Act, 1962 – reg.
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The attention of all Exporters, Customs Brokers, Shipping Lines, Terminal Operators, and other stakeholders is invited to CBIC Circular No. 21/2026-Customs dated 15.04.2026, issued by the Board in exercise of powers conferred under Section 143AA of the Customs Act, 1962. Reference is also invited to Circulars No. 09/2026-Customs dated 08.03.2026, No. 10/2026-Customs dated 10.03.2026, No. 12/2026-Customs dated 17.03.2026, No. 15/2026-Customs dated 27.03.2026, and No. 19/2026-Customs dated 10.04.2026, issued by the Board earlier in this context. Ongoing war conditions in the Middle East have led to the closure of the Strait of Hormuz and the consequent disruption in maritime routes, suspension of bookings by major shipping lines, and closure of key ports in the Gulf region. Consequently, a large volume of export shipments destined for these regions is unable to reach their destination ports and are returning to Indian ports. Representations have been received from trade and field formations highlighting procedural and legal challenges in respect of export containers originating from India, which have been offloaded at intermediate foreign ports, particularly at Sri Lanka, and are being returned to India without delivery at the final destination.
2 . The Board has prescribed simplified procedures for expeditious handling of such returning cargo, as detailed below:
i. SAM shall be filed by the Shipping Line or the authorised representative, as there would be a change in the vessel, consignor-consignee, and the Bill of Lading details on account of discharge and return of cargo to the Indian port.
ii. The container particulars shall be verified with the corresponding details in Shipping Bills and other documents. During such verification, for factory-stuffed Self Seal containers having RFID e-seal as per Circular No. 26/2017-Customs dated 01.07.2017 and No. 36/2017-Customs dated 28.08.2017, the integrity of seals shall be checked and matched with seal details declared in the Shipping Bills and other documents. For containers stuffed in CFS/ICD with RFID e-seal or Customs bottle seal having a unique number, the field formations shall coordinate with DG Systems and get details of the seal entered in ICES while entering the stuffing report for the export container for the purpose of matching and verification, if it cannot be retrieved by the officer in the System.
iii. The containers may be offloaded at the port terminal without filing a Bill of Entry, subject to verification of SAM and other related shipping documents. The relaxation in filing of the Bill of Entry shall be allowed only where the integrity of the container seal is found to be intact and the seal particulars are verified to be in conformity with the declared details as mentioned in para 2(ii) above.
iv. Shipping Bills/LEO shall be cancelled using the “Post EGM SB Cancellation” module in the EDI system as per ICES Advisory 16/2026 dated 24.03.2026.
v. Back to Town of such cargo shall be permitted as per the procedures in Circulars No. 09/2026-Customs dated 08.03.2026, No. 10/2026-Customs dated 10.03.2026, No. 12/2026-Customs dated 17.03.2026, No. 15/2026-Customs dated 27.03.2026, and No. 19/2026-Customs dated 10.04.2026, as applicable.
vi. If the seal is found tampered or not intact, the container shall be subjected to 100% examination and the existing procedures for re-import shall be followed for such containers.
3. Recovery of Export Incentives
The EDC Section, IGST Refund Section, and Drawback Section of Chennai IV (Export) Commissionerate shall initiate the required recovery process or ensure manual recovery of all export incentives, including IGST, Drawback, etc., wherever already disbursed, before cancellation of LEO. Transshipment of cargo shall be dealt with as per existing provisions. Field formations are advised to handle such cases with due diligence while ensuring trade facilitation and safeguarding revenue.
4. Local Procedure for Implementation – Inter-Commissionerate Coordination
The local procedure to be followed for implementation of the above, given that terminal and port operations fall under the jurisdiction of Chennai III (Preventive) Commissionerate while export-related functions including the EDC Section vest with this Commissionerate, is prescribed as under:
A. In case the container is lying at Port/Terminal
a. Submission of Request by Trade
The Exporter or Customs Broker shall submit a request letter along with all requisite documents, including the relevant shipping documents and details (Shipping Bill Number and date, Port Code, Gate Way Port Code, Container Number, Seal Number, Bill of Lading details, etc.) to the Preventive Section under Chennai III (Preventive) Commissionerate.
b. SAM Verification and Seal Verification
On receipt of the request, the Preventive Section shall first verify the SAM filed by the Shipping Line or its authorised representative, including the vessel, consignor-consignee, and Bill of Lading details. Thereafter, a Preventive Officer shall be deputed for physical verification of the seal on the returned container at the port terminal, in accordance with the procedure set out in Para 2(ii) above.
c. Where the integrity of the container seal is found to be intact and matches with the seal details declared in the Shipping Bill:
i. The Preventive Section shall forward the seal verification report through e-Office through proper channel to the AC/DC, EDC Section, Chennai IV (Export) Commissionerate, for processing the cancellation of the Shipping Bill and LEO.
ii. On receipt of the file, the EDC Section shall forward the e-file to the Drawback Section and IGST Refund Section of Chennai IV (Export) Commissionerate, so that recovery of export incentives including Drawback and IGST refund, if any, wherever already disbursed, may be effected before further action, and revert the file back to the EDC Section.
iii. After confirming recovery of all export incentives, the EDC Section shall cancel the Shipping Bill and LEO using the “Post EGM SB Cancellation” module in the EDI system, as per ICES Advisory 16/2026 dated 24.03.2026.
iv. After cancellation of the Shipping Bill and LEO, the EDC Section shall issue a communication to the concerned Exporter/Customs Broker, with a copy marked to the AC/DC (Preventive), Chennai III (Preventive) Commissionerate, and shall forward the file back to the concerned AC/DC (Preventive), Chennai III (Preventive) Commissionerate, for release of the container to ‘Back to Town’.
d. Where the container seal is found to be tampered or not intact:
The Preventive Section shall record the findings in the seal verification report. The container shall be subjected to 100% examination and the existing procedures for re-import shall be followed for such containers, as prescribed in para 2(vi) of CBIC Circular No. 21/2026-Customs dated 15.04.2026.
B. In case the container has been moved to a CFS under PNR movement
a. Submission of Request by Trade
The Exporter or Customs Broker shall submit a request letter along with all requisite documents, including the relevant shipping documents and details (Shipping Bill Number and date, Port Code, Gate Way Port Code, Container Number, Seal Number, PNR details, Bill of Lading details, etc.) to AC/DC posted at the respective CFS.
b. SAM Verification and Seal Verification
On receipt of the request, the AC/DC CFS shall direct the Preventive Officer posted at the CFS to first verify the SAM filed by the Shipping Line or its authorised representative, including the vessel, consignor-consignee, and Bill of Lading details. Thereafter, the Preventive Officer shall carry out physical verification of the seal on the returned container at the CFS, in accordance with the procedure set out in Para 2(ii) above.
c. Where the integrity of the container seal is found to be intact and matches with the seal details declared in the Shipping Bill:
i. The Preventive Officer posted at the CFS shall forward the seal verification report through e-Office through proper channel (through AC/DCCFS) to the AC/DC, EDC Section, Chennai IV (Export) Commissionerate, for processing the cancellation of the Shipping Bill and LEO.
ii. On receipt of the file, the EDC Section shall forward the e-file to the Drawback Section and IGST Refund Section of Chennai IV (Export) Commissionerate, so that recovery of export incentives including Drawback and IGST refund, if any, wherever already disbursed, may be effected before further action, and revert the file back to the EDC Section.
iii. After confirming recovery of all export incentives, the EDC Section shall cancel the Shipping Bill and LEO using the “Post EGM SB Cancellation” module in the EDI system, as per ICES Advisory 16/2026 dated 24.03.2026.
iv. After cancellation of the Shipping Bill and LEO, the EDC Section shall issue a communication to the concerned Exporter/Customs Broker, with a copy marked to the AC/DC (CFS), Chennai IV (Export) Commissionerate, and shall forward the file back to the AC/DC (CFS), Chennai IV (Export) Commissionerate, for release of the container to ‘Back to Town’.
d. Where the container seal is found to be tampered or not intact:
The Preventive Officer posted at the CFS shall record the findings in the seal verification report. The container shall be subjected to 100% examination and the existing procedures for re-import shall be followed for such containers, as prescribed in Para 2(vi) of CBIC Circular No. 21/2026-Customs dated 15.04.2026.
C. Transshipped cargo originating from other Customs formations (Ports/SEZs/ICDs) and lying at Port/Terminal
On receiving a No Objection Certificate (NOC) from the originating Customs Formation, the Preventive Section, Chennai III shall have the SAM verified and the seal checked, and shall allow the movement of the container to the originating Customs Formation so that they can cancel the LEO after receiving the container. However, in case the seal is found broken or tampered, the Preventive Section shall arrange to seal the container with a fresh Customs OTL and communicate the same to the concerned Customs Formation for information and necessary action, as per existing procedures for re-import containers.
D. Transshipped cargo originating from other Customs formations (Ports/SEZs/ICDs) and moved to any CFS
On receiving a No Objection Certificate (NOC) from the originating Customs Formation, the Preventive Officer posted at the respective CFS shall verify the SAM and the seal, and with the approval of the respective AC/DC (CFS), Chennai IV (Export) Commissionerate, through e-Office, shall allow the movement of the container to the originating Customs Formation so that they can cancel the LEO after receiving the container. However, in case the seal is found broken or tampered, the Preventive Officer shall arrange to seal the container with a fresh Customs OTL and communicate the same to the concerned Customs Formation, with the approval of the respective AC/DC (CFS), Chennai IV (Export) Commissionerate, through e-Office, for information and necessary action, as per existing procedures for re-import containers.
E. Maintenance of Registers
Separate registers shall be maintained to record all such requests and process completion date/time by Customs at each Terminal, CFS/Port Examination Area, EDC Section, and Drawback/IGST Refund Section, with all steps in the process duly recorded therein, on a daily basis, for future reference.
5. This Public Notice shall also be construed as a Standing Order for all officers of Chennai IV (Export) Commissionerate and officers of Chennai III (Preventive) Commissionerate posted at Terminals, Ports, and CFSs, who are hereby directed to follow the procedures prescribed herein strictly and without deviation.
6. The above relaxation shall remain in force till 04.2026, as specified in CBIC Circular No. 21/2026-Customs dated 15.04.2026.
7. All concerned stakeholders are requested to ensure strict compliance with the procedures prescribed above. Difficulties, if any, in implementation may be brought to the notice of the Commissioner of Customs, Chennai IV (Export) Commissionerate, by email at commr4-cuschn@gov.in.
8. This Public Notice shall come into effect from the date of its issue.
(A. MANIMARAN)
COMMISSIONER OF CUSTOMS
CHENNAI IV (EXPORT) COMMISSIONERATE
To,
1. National Association of Container Freight Stations (NACFS) – For circulation among members.
2. The Custodians of all Container Freight Stations/Ports under this Commissionerate.
3. The Chennai Customs Brokers’ Association – For circulation among members.
4. Chennai and Ennore Ports Steamer Agents Association (CHENSAA) – For circulation among members.
5. Federation of Indian Export Organizations (FIEO).
6. The Port Terminals (Chennai, Ennore and Kattupalli Ports).
7. The Additional Commissioners of Customs, in-charge of CFSs, EDC, Drawback, IGST, Chennai IV (Export) Commissionerate.
8. The Assistant/Deputy Commissioners of Customs, in-charge of CFSs, EDC, Drawback, IGST, Chennai IV (Export) Commissionerate.
9. The Assistant/Deputy Commissioners of Customs, in-charge of Terminals, Chennai III (Preventive) Commissionerate.
10. All CFS/Shed Officers, Chennai IV (Export) Commissionerate.
11. All Officers posted at Terminals/Ports, Chennai III (Preventive) Commissionerate.
12. The AC/DC (CHS) – for display on the Notice Board.
13. The DC/AC (EDI) – for uploading on the Chennai Customs Website.
Copy to:
1. The Principal Chief Commissioner of Customs, Chennai Customs Zone – For kind information.
2. The Chief Commissioner of Customs, Bengaluru Customs Zone, Bengaluru.
3. The Chief Commissioner of Customs, Trichy Customs (Preventive) Zone, Bengaluru.
4. The Chief Commisisoner of Customs, Vizag Zone.
5. The Chief Commisisoner of Customs, Thiruvananthapuram Zone.
6. The Development Commissioner, MPEZ, Chennai.
7. The Principal Commissioner/Commissioner of Customs, Chennai-I, II, III, VIII, Air Cargo, Audit, Appeal-I & II.
8. All Additional Commissioners/Joint Commissioners/Deputy Commissioners/Assistant Commissioners of Chennai Customs Zone.
9. Guard file.
