Government of India
Ministry of Finance
Department of Revenue
Central Board of Excise & Customs
North Block, New Delhi.
Circular No. 4/2010-Customs
15th February, 2010.
To
All Chief Commissioners of Customs / Customs (Prev.).
All Chief Commissioners of Customs & Central Excise.
All Commissioners of Customs / Customs (Prev.).
All Commissioners of Customs & Central Excise
All Commissioners of Customs (Appeals)
All Commissioners of Customs & Central Excise (Appeals).
Subject: Carriage of domestic cargo on international flights – regarding.
Sir / Madam,
Reference is invited to the Board’s Circular No.15/99-Customs dated 22.3.1999,
whereby the facility of carriage of domestic cargo between domestic airports on
international flights was extended to M/s. Air India. In this regard, the Board
had received certain requests for providing such a facility by other private
airlines also.
- The Board had examined the matter in consultation with various Customs field
formations. It was seen that initially when the facility was first extended,
M/s. Air India was the only airline that was undertaking carriage of both
international and domestic cargo. However, presently a number of other private
airlines have also started providing such a service. Therefore, it was felt that
the facility of carriage of domestic cargo in international flights between two
domestic airports may be allowed to other private airlines as well, subject to fulfilment of certain safeguards so as to prevent any misuse.
- In this regard, it is stated that the Board has decided to allow domestic
private airlines as well as M/s. Air India and Indian Airlines, to carry
domestic cargo between domestic airports on their international flights subject
to the fulfilment of the following conditions:
- Separate space shall be assigned by the airlines or custodian in the cargo
complex / area of the airport for receipt and storage of domestic cargo till
these are delivered or dispatched.
- Domestic cargo will be received by the airlines in the designated area
during the normal working hours of Customs at the respective airport.
- The containers/ Unit Load Devices (ULDs) used for carrying the domestic or
international cargo shall be clearly marked or coloured or strapped, for its
identification, distinction at the time of loading/ unloading, transportation.
- Domestic tags shall be prepared for identification of the domestic cargo
with separate colour coding.
- Loading or unloading of domestic cargo in any international flight/ aircraft
shall be carried under the supervision of Customs officers.
- Domestic and international cargo will be loaded separately, and shall be
carried in hold area onboard the aircraft distinctly identifying these cargoes.
- On arrival of the domestic cargo, at the destination airport, the airlines
shall make necessary arrangements to deliver the domestic cargo.
- In respect of transhipment of international cargo by airlines, they shall
be required to execute necessary bond and bank guarantee as prescribed vide
Circular No.78/2001-Customs dated 7.12.2001. Further, those persons who fulfill
the threshold limit of annual transshipment volume specified shall be exempt
from the requirement of furnishing bank guarantee as specified Circular
No.45/2005-Customs dated 24.11.2005. Accordingly, no separate bond or bank
guarantee shall be required in respect of domestic cargo. In addition,
transshipment procedure as specified in Board’s Circular No. 06/2007-Cus dated
22.01.2007 may be strictly adhered to.
- In case of any violation of the conditions prescribed here above or by any
other regulations providing for the manner in which the imported goods/ export
goods shall be received, stored, delivered or otherwise handled in a customs
area, necessary action may be taken against the person including withdrawal of
the facility and imposition of penalty under the Handling of Cargo in Customs
Areas Regulations, 2009.
- In view of the above, the jurisdictional Commissioner of Customs are
requested to implement the above said procedure, while permitting the facility
of carriage of domestic cargo between domestic airports on international flights
by private airlines as well as M/s Air India and Indian Airlines. Difficulties,
if any, experienced while implementing the above matter may be taken up for
appropriate action with the Board.
- The Board’s Circular No.15/1999-Customs dated 22.3.1999 stands superseded by
the aforesaid Circular
- The Commissioner of Customs may issue a Public Notice bringing the above to
the notice of the trade and industry.
Yours faithfully,
(Navraj Goyal)
Under Secretary
Internal Circulation as usual.
F.No.450/122/2009-Cus.IV