Page 151 - DMGT546_INTERNATIONAL_TRADE_PROCEDURE_AND_DOCUMENTATION

International Trade Procedures and Documentation

Notes In case the importer has imported the goods for personal use, he can get his cargo cleared
by payment of duty as assessed for home consumption after payment of the duties leviable.

The Customs Department is very particular about the genuineness of import documents
submitted by the importer and asks him/CHA for misdeclarations/or incorrect
information is found, Customs has the right to take legal course of action against such
importers.
As per customs provisions, all imported goods in India are subject to be examined so as to
judge the correctness of description/classification as given by the importer in the bill of
entry. Such examination is not through hence a part of the consignment is selected and
examined randomly.
In case of export of cargo, the exporters will have to obtain mandatory PAN-based Import
Export Code no (IEC Code) from the Directorate General of Foreign Trade as it is essential
and legal to mention the IEC code number on the shipping bill, which will be submitted by
exporter or his freight forwarder to the customs authorities for Let Export Order (L.E.O.).

The Harmonized Commodity Description and Coding System generally referred to as
“Harmonized System” or simply “HS” is a multipurpose international product
nomenclature developed by the World Customs Organization (WCO).
A carnet may refer to: in international law: A document allowing the importation of
certain goods to countries without paying customs duty.

6.8 Keywords

A carnet de passages en douanes: is an internationally recognised customs document entitling
the holder to temporarily import a vehicle duty-free into countries
ATA Carnet is an international Customs document that a traveler may use temporarily to
import certain goods into a country without having to engage in the Customs formalities
usually required for the importation of goods, and without having to pay duty or value-added
taxes on the goods.
Carnet: document allowing the importation of certain goods to countries without paying customs
duty.
Harmonised System: contributes to the harmonization of Customs and trade procedures, and
the non-documentary trade data interchange in connection with such procedures, thus reducing
the costs related to international trade
Landed Value: It means the assessable value as determined under the Customs Act, 1962 (52 of
1962)
The TIR Carnet: It is a customs transit document used to prove the existence of the international
guarantee for duties and taxes for the goods transported under the TIR system,
6.9 Review Questions

1. Explain the custom clearance of imported cargo under non-EDI system of clearance. What
documents are needed? Explain the rationale of each of them.

2. Explain the custom clearance procedure of exportable cargo under the Electronic Data
Interchange System of cargo clearance.
3. Discuss the custom clearance of imported cargo under EDI system of cargo clearance.

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