Office of the Commissioner of Customs, Kandla,
Custom House, Near Balaji Temple, Kandla (Kachchh).
Phone: 02836- 271 468 Fax: 02836- 271 467
PUBLIC NOTICE NO. 14/2006 dated 10 .02.2006
Sub: Testing of samples of goods imported and exported
This Public Notice is being issued with a view to consolidating the procedure for drawal transport and testing of sample and with a view to streamlining the process of testing for assessment purposes and to ensure speedier clearance of goods. This supercedes the existing instructions except the ones issued for specific products like Crude Palmoil/ Palmolien, export of textile materials etc.
TESTING
1. IMPORTS
Nothing contained in the Public Notice would apply in respect of goods falling under Chapter 27 of Customs Tariff Act, 1975 and goods requiring analysis for the purpose of any Allied Act compliance, like clearance by PHO etc.
The following goods would not require testing:-
a) Well-defined chemicals which are imported from reputed manufacturers and supplied directly by them to actual users with analysis certificate of the manufacturer. This facility would, however, be not available for imports on bulk basis but only to import by individual packing’s duly marked with manufacturer’s product description.
b) Goods in respect of which samples have been tested in the Custom house within the last one year. For such goods assessment will be made on the basis of previous test report. For qualifying as a valid P.T., the goods should be from the same source i.e. the same commodity, from the same country, same manufacturer/supplier, at comparable prices. Price variation upto 10% is acceptable for adopting the previous test report.
In all other cases, where testing is necessary for the purpose of classification, valuation or licensing, sample will be drawn and tested. Except where there is doubt, samples will be drawn on second check. Assessment will be completed on the basis of importer’s declaration and goods released by adopting one of the following procedures at the option of the importer:-
Depending on the value of the consignment and duty structure, and subject to protection of the interests of Revenue, minimum 20% of the cargo may be detained pending test and rest of the goods released. The detained cargo would also be released once the test results confirm the declaration and assessment. Otherwise, penal proceedings will ensue in addition to recovery of duty short levied. Under this procedure there is no need for any Bank Guarantee/Security for Test Bond.
The goods may be released on execution of a Test Bond backed by cash security/bank guarantee for 10 - 30% of duty depending on the value of the consignment and duty structure and track record of the importer. In this case full cargo will be released and the Test Bond will be cancelled on receipt of the Test Result and Bank Guarantee/Cash Security returned in case the Test Result confirms to the declaration. In case of any discrepancy, the Bond will be acted upon alongwith other penal actions.
2. EXPORTS:
I) Manufacturer-exporters who have been awarded GMP (Good Manufacturing Practices) certificate by the concerned Drug Controller, whose in-house-testing facilities are approved by BSI, CSIR. Department of Science & Technology or the nodal Ministry or who have been awarded ISO 9000 certification, may claim exemption from testing on production of a copy of the certificate. A copy of the certificate of Analysis should be attached to the shipping bill alongwith the Accredition Certificate of the testing facility by the appropriate authority.
I I) The general principle for drawl of samples for the purpose of drawback are as follows:-
a) For goods exported and for brand name of manufacturer and for which brand rate has been obtained, the samples may be drawn once in a year.
b) For goods of generic nature but brand rate has been obtained by an individual exporter, the samples may be drawn once in six months.
c) For
items not falling in (a) or (b) above, but where all industry rates of drawback
prescribed are based on parameters such as count of fabric, composition etc.,
samples may be drawn for every
consignment. However, the sample should be drawn once in six months if any specification certificate is produced from usually reputed agencies,
such as SASMIRA, CLRI, etc.
d) For other generic items, in respect
of which alt industry rates of drawback have been
prescribed, reliance may be placed on manufacturer's certificate, declaration
of the
product in the Shipping Bill, manufacturer's literature and samples may be
drawn
once in six months.
e) In all cases referred at (a) to (d)
above, if specifications prescribed, for drawback
purpose are available in ARE-1 and verified by the Central Excise Officers, no
sample
needs to be tested.
3. GENERAL:-
Nothing contained above shall preclude the right of the department to draw sample from any consignment, on a surprise check or for any other purpose.
(i) With the .objective of completing the testing formalities within a week, the Chemical Examiner may, taking into account the workload and testing facilities available in the laboratory, refer the samples to outside laboratories including private ones, in consultation with Additional Commissioner of the Group concerned.
(ii) Test conducted by outside laboratories would be subject to random and surprises re-test.
(iii)
Wherever testing is required, documents relevant for testing should be filed
along with the Bill of Entry. Precise and specific details of the nature and
type of
chemical/product shall be furnished, generic description like dyes, vitamins,
etc.. should be avoided. Where applicable, the technical literature should also
be furnished.
(iv) Importers can have a sample tested within the validity period of the earlier test result, in which case the procedure of detention of a part of the cargo or test bond can be waived. The test result in that case of the fresh test will be available for a further period of one year.
4 DRAWAL OF SAMPLE:-
4.1 Samples will be drawn in duplicate. One sample will be used for testing and the other retained in the laboratory as control sample. If so desired by the importer/exporter, a sample may be drawn and furnished to them. The fact of drawl of samples should be indicated in the Bill of Entry or Shipping Bill and entered by the Preventive Officer with time and date.
4.2 A list showing quantities of samples to be drawn for the purpose of test is given in Annexure-A.
4.3 All samples drawn should be kept in custody, control and supervision of the Preventive Officer between the time they are drawn and they are sealed. Bill of Entry and Shipping Bill involving drawal of samples should be attended to separately at the end of each visit to the sheds/CFS.
5. TRANSPORTATION: -
5.1 Officers in the Docks shall ensure that the samples drawn reach the Docks Office in batches two times in a day.
5.2 Assistant Commissioner(Docks)/Asstt. Commissioner in-charge of CFS shall ensure that samples drawn are forwarded without delay to the laboratory the same day or morning of next working day only through departmental channels.
6 PROCEDURE FOR NOTING THE TEST RESULTS, EXECUTION OF TEST BOND AND ENDORSING THE PREVIOUS TEST REPORTS :
All test memos which are issued by the Groups shall bear a running Sr.No. This number would be the basic reference number for all matters pertaining to test and the trade should ensure that this number is indicated on the test memo before accepting the same. This test memo shall be presented to Docks for enabling drawal of sample. After due drawal the Dock staff would register the test memos indicating the number allotted by the Group and the date of drawal of sample and these memos alongwith sample would be forwarded by the Dock staff to the laboratory. The test result of the consignment would be henceforth centralized at the bond department. The trade can enquire with the bond department about the receipt of test results. On receipt of the test results the bond department would take necessary action to finalise the test bond and also liaise with the Group to endorse the same on the system and to grant release of the detained cargo or cancelling the bond and security. The bond department would also handover to the trade the test memo number and date and date of testing the sample, the Bill of Entry Number, description of goods, the importer's name, supplier's name, country of origin and unit price. This would enable the trade to quote the same whenever they have to clear any further consignment on previous test result.
In case of any imports for which there is a valid Previous Test Result available at the time of lodging the Bill of Entry at the Service Centre, it should be clearly indicated in the field for item description of goods that the P.T. is available vide No. ___ as is known to the importer/CHA. In such cases the Group will assess the Bill of Entry based on the declaration and endorse in the examination order to Dock Examination to verify the P.T. before clearing the goods out of charge.
In such cases the custom copy of Bill of Entry generated at the Service Centre after assessment has to be presented by the CHA to the Bond Department, who would verify the P.T. Number from the test memo register and verify the coverage of the goods under the previous test results available with the department. The trade should also hand over a copy of the invoice relating to the consignment with the Bond Department indicating on the invoice the Bill of Entry Number and date and P.T. reference No. The Bond Department would endorse the Bill of Entry copy with the test results as noted in their register and the same should be presented at the Dock Examination for verification of assessment and for satisfaction of the test results confirming the assessment. The Superintendent (Dock Examination) would then issue out of charge to the Bill of Entry if he is satisfied about the goods being covered by P.T. In case of any doubt regarding the goods being not covered by the P.T,, the Bill of Entry would be returned to the Group concerned for further action in the matter.
7. REDRESSAL OF GRIEVANCES:
7.1 In respect of delay in testing of goods, Additional Commissioner concerned may be approached with full details.
7.2 Where grievance is not redressed within a week, the matter may be taken up with the Commissioner.
Any difficulty in implementation may please be brought to the notice of the Additional Commissioner, Appraising General.
commissioner
F.No. S/20-lO/2006/Appg.(G) Kandla. Dt: 10.02.2006
To,
As per mailing list.
Notice Board.