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© Diony Teixeira

Indian Customs has implemented a long-awaited rule revision to tighten export/import cargo manifests.

The Sea Cargo Manifest and Transhipment Regulations (SCMTR) were announced in 2018, but industry has taken years to prepare and pave the way for a countrywide launch.

SCMTR, which is objectively akin to the US advanced manifest or 24-hour rule, went live across Indian ports on 16 January, after authorities had ironed-out industry concerns in stages.

The updated regulations aim to speed up customs clearance and make the process more transparent and predictable. They require ocean carriers to complete their advanced manifest submissions ahead of the vessel arrival or departure at Indian ports.

Previously, carriers generally had two to three days to file cargo manifests after vessel arrival or departure, and the new regime will make compliance an arduous task for all in the supply chain, it is said.

SCMTR says: “The authorised sea carrier/authorised sea agent shall submit an arrival manifest electronically, prior to departure from the last port of call to the Indian port of call. And submit a departure manifest electronically before departure from the Indian port of call.”

The container lines serving Indian trades have told customers to comply with the stricter customs requirements to avoid potential cargo flow disruption and penalties.

“Non-adherence or violation of customs regulations will lead to penalties and fines, which will be to the cargo’s account,” MSC (India) said in a trade advisory.

ONE said: “SCMTR seeks to bring about transparency, predictability of movement and advance collection of information for expeditious risk-based customs clearance for all cargo arriving on the vessels calling India.”

Mumbai-based logistics provider Teamglobal, which had been at the forefront of customs’ implementation efforts, told The Loadstar: “The SCMTR marks a significant milestone in digitising logistics operations, replacing outdated manifest filing practices that have been in place for 50–60 years.

“Any non-compliance with the requirements will lead to cargo not being considered for loading, and/or issuance of the bill of lading may be withheld where the entire risk, cost and consequence remain on account of [the] merchant,” it cautioned customers.

According to an Indian government advisory, SCMTR was designed to replace three outdated trade policies: the Import Manifest (Vessels) Regulations of 1971; Export Manifest (Vessels) Regulation of 1976; and Transportation of Goods (Through Foreign Territory) Regulations of 1965.

However, given the complexities of international trade, industry observers generally believe tighter regulations could pose significant compliance challenges, with potential cost risks for cargo owners and their service partners.

You can contact the writer at [email protected].

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