Government of India’s Central Board of Indirect Taxes & Customs (CBIC) has taken significant steps to enhance trade and enforcement. Last week, CBIC signed a Mutual Recognition Arrangement (MRA) with Japanese Customs, facilitating more efficient and cost-effective trade for Authorized Economic Operators (AEO) between India and Japan. This move is part of India’s broader efforts to negotiate similar agreements with other nations. Additionally, the ICEGATE e-Payment Platform now supports electronic payments for Voluntary/Self-Initiated Payments (SIP), replacing manual TR-6 payments. Registered users can now make payments related to imports, exports, penalties, and more via multiple modes, effective from December 31, 2024. Enforcement activities also saw success, with the interception of a truck carrying 26 kg of methamphetamine valued at Rs. 26 crore, likely smuggled through the Indo-Myanmar border. Another operation in Muzaffarpur led to the seizure of 8,49,040 foreign-origin cigarettes worth Rs. 1.26 crore, hidden behind bamboo sticks in a truck. These actions reflect CBIC’s continued commitment to securing borders and streamlining procedures for international trade.
Weekly newsletter from Chairman, CBIC, Dated: 30.12.2024
Government of India
Ministry of Finance
Department of Revenue
Central Board of Indirect Taxes & Customs
DO No. 53/News Letter/CH(IC)/2024 Dated: 30th December, 2024
Dear Colleague,
Last week, the virtual signing of the Mutual Recognition Arrangement (MRA) between CBIC and Japanese Customs took place, marking another major milestone in fostering secure and efficient cross-border trade. This MRA will enable enhanced facilitation and reduced transaction costs for AEO-certified entities engaged in India-Japan EXIM trade. Looking ahead, India is proactively pursuing negotiations with other nations to establish AEO MRAs resonating with the WCO’s theme this year – Customs Engaging Traditional and New Partners with Purpose.
In line with the Government’s commitment towards digitization, the ICEGATE e-Payment Platform has been enabled with electronic collection of Voluntary/Self-Initiated Payment (SIP) facility. This facility replaces the manual TR-6 payments currently used at Customs locations, streamlining procedures and enhancing efficiency. Registered users on ICEGATE can now generate self-initiated challans using multiple payment modes for payments related to past imports, exports, audits, investigations, penalties, etc. without requiring intervention from Customs officers. The officers may take note of the fact that the current procedure of making Over-the-Counter (OTC) payments using TR-6 Challan by such users shall cease to be operational after 31st December 2024 unless explicitly approved by the Pr. Commissioner/ Commissioner of Customs. Further, it may be advisable to handhold the stakeholders to make payments through this new facility.
Last week witnessed some fine enforcement actions. In one of the case, officers from DRI Guwahati Zonal Unit, acting on precise intelligence inputs, successfully intercepted a truck at Khanapara on the outskirts of Guwahati. The truck, en route from Silchar to Guwahati, was found to have a custom-built cavity in the driver’s cabin, concealing 26 brick-sized packages of orange tablets marked with ‘R’ and ‘WY.’ Field test kit confirmed the presence of methamphetamine, a potent stimulant. The contraband, weighing 26 kg and valued at Rs. 26 crores in the international grey market, was believed to have been smuggled through the Indo-Myanmar border. Excellent intervention by the officers!
In another case, based on specific intelligence, the officers of DRI Muzaffarpur intercepted a container truck near Maithi Toll Plaza, Muzaffarpur. The truck, transporting bamboo sticks as cover cargo, was found to have a specially built cavity behind the driver’s seat. A thorough search led to the seizure of 8,49,040 sticks of foreign-origin cigarettes valued at around Rs. 1.26 Crore. Well done!
Until next week!
Yours sincerely,
(Sanjay Kumar Agarwal)
All Officers and Staff of the Central Board of Indirect Taxes 86 Customs.
