1. on 27 th november, 2015 at Custom House, Chennai

3.  To identify bottlenecks affecting customs release.  Assessing newly introduced and modified techniques, procedure & technologies.  Establishment of baseline trade facilitation performance measurement.  Identifying opportunities for trade facilitation improvements.  Facilitates ‘ease of doing business’. OBJECTIVES of TRS

4. Measures the mean average time taken in each process of Customs clearance from arrival of goods to the release of the goods (Out of Charge – OOC). Is based on the declarations filed and processed electronically. About 99.75% of import declarations are filed electronically in Custom House. SCOPE of TRS

5. METHODOLOGY ADOPTED Sampling methodology.  As per WCO guidelines, the sample should ideally include all the declarations processed in a period of at least 7 consecutive working days.  The period chosen for the study of should be one of the normal traffic periods.  Time period of 03.11.2015 to 09.11.2015,from Tuesday to next Monday was undertaken for this Analysis.  During this period, there was no slowdown or break down of EDI System. Hence data collected reflects a fairly representative sample.

6. WORKFLOW OF CUSTOMS CLEARANCE Customs clearance can be broadly classified into following stages : 1. Filing of IGM ACTION OWNER : SHIPPING LINER 2. Filing of BE ACTION OWNER : IMPORTER / CB 3. Processing of declaration automatically by Risk Management System (RMS), which decides to facilitate the BE or send the BE for scrutiny by Assessment Group. ACTION OWNER : ICES 1.5 4. Scrutiny is done either through 1 st check or 2 nd check assessment, which is done at the behest of importer or Customs; ACTION OWNER : CUSTOMS 5. 1 st check assessment ACTION OWNER: CUSTOMS

7. WORKFLOW OF CUSTOMS CLEARANCE 6. 2 nd Check Assessment ACTION OWNER : CUSTOMS 7. Payment of Duty ACTION OWNER : IMPORTER / BANK 8. Goods Registration ACTION OWNER : IMPORTER / CB 9. Examination of goods ACTION OWNER : CUSTOMS 10. Out of Charge (OOC) in ICES. ACTION OWNER : CUSTOMS Cntd... Stage 3 to 6 and 9 & 10 : Processing attributable to Customs Aggregate of Stages 1 to 10 : Total time taken for the goods to be released to the importer

8. RMS MONITORING SYSTEM TOTAL NUMBER OF BILLS OF ENTRY FILED6828 NUMBER OF BILLS OF ENTRY FACILITATED4101(60.06%) NUMBER OF BILLS OF ENTRY NON FACILITATED2727(39.94%) FIRST CHECK BILLS OF ENTRY346(4.34%) SECOND CHECK BILLS OF ENTRY2381(94.93%)

9. For the period 03/11/15 to 09/11/15

10. ANALYSIS OF STAGES 1 & 2 A.VESSEL ARRIVALTO FILING OF BE - Action Owner : Importer / CB Time taken in HoursNo. of Bs/E Cumulative %age of Total Documents Filed < 08127818.84 < 1637324.34 < 2452932.13 < 3241638.27 < 4039144.03 < 4852351.74 < 7287964.70 > 722395100 Total6784 AnalysisHow do we move forward  32% of BsE were filed within 24 hrs from grant of entry inwards. 1.The Importer / CB needs to be ready with all the documents and file maximum possible Bs/E within 24 hrs of arrival of the vessel. 2.They can also avail the facility of filing prior entry or advance bill of entry in terms of Section 46 (3) of the Customs Act, 1962.

11. B. TIME TAKEN IN FILING TO ASSESSMENT - Action Owner : CUSTOMS Time taken in HoursNo. of Bs/E Cumulative %age of Total Documents Filed < 08436764.37 < 162664.76 < 2430969.31 < 3231373.92 < 401674.16 < 4816176.53 < 7244083.02 > 721152100 Total6784 AnalysisHow do we move forward  69% Bs/E have been assessed within 24 hrs. 1.BsE filed in the evening of last working day of the week. 2. If maximum number of BsE are filed in the early hours of the day, there is a likelihood of the %age of assessment of BsE in the first 8 hours shall substantially be high. ANALYSIS OF STAGES 2 TO 6

12. C. TIME TAKEN IN FOR PAYMENT OF DUTY AFTER ASSESSMENT - Action Owner : IMPORTER/ CB Time taken in HoursNo. of Bs/E Cumulative %age of Total Documents Filed < 082337 34.45 < 161237 52.68 < 2415 52.90 < 32364 58.27 < 40343 63.33 < 4834 63.83 < 72352 69.02 > 72522 76.71 Total5204 AnalysisHow do we move forward  53 % Bs/E, duty payment has been made within 24 hrs. As e-payment is made mandatory and the facility is available round the clock i.e., on 24x7 basis, the Importers/CBs are advised to plan duty payment well in time to avoid payment of Interest, detention and demurrage charges. ANALYSIS OF STAGES 6 & 7

13. D. TIME TAKEN FOR REGISTRATION AFTER PAYMENT OF DUTY - Action Owner : Custodian/ CB, Terminal Operator / IMPORTER Time taken in HoursNo. of Bs/E Cumulative %age of Total Documents Filed < 08366 5.40 < 161429 26.46 < 24208 29.53 < 320 60.14 < 402077 60.89 < 4851 68.94 < 72546 76.71 > 72527 Total 5204 AnalysisHow do we move forward It can be noticed that in only 30% of the cases goods have been registered within 24 hrs. 1.Keep all documents ready as per CCRs. 2.The CB / Custodian / Terminal Operator to synchronise their activities to reduce the dwell time and stagnation in Terminal / CFS 3.Effective message exchange among all the stakeholders. ANALYSIS OF STAGES 7 & 8

14. E. TIME TAKEN FOR OUT OF CHARGE FROM REGISTRATION - : Action Owner - CUSTOMS Time taken in HoursNo. of Bs/E Cumulative %age of Total Documents Filed < 08576584.98 < 16285.01 < 248486.25 < 3232691.05 < 40091.05 < 482691.44 < 7214493.56 > 72437100 Total6784 AnalysisHow do we move forward  Out of Charge has been granted in 87%cases within 24 hrs.  The average time taken from arrival of vessel to Out of charge has been reduced to 219.91 hrs vis-à-vis 279.92 hrs when compared with the corresponding period for last year 1.Keep CCR documents ready. 2. Importers / CBs are suggested to maintain data quality so that amendments can be reduced and OOC is given within 24 hours for all the Bills. ANALYSIS OF STAGES 8 TO 10

15. ANALYSIS OF TIME TAKEN FOR OOC BY CUSTOMS / IMPORTER 03/11/15 to 09/11/1503/11/14 to 09/11/1401/07/15 to 07/07/1501/07/14 to 07/07/14 Customs 64.8774.4763.0974.4 Importer 210.24294242.15229.44

16. Vessel Arrival to filing of BE Filing to assessment Assessment to duty payment Payment to registration Registration to OOC of BE 4.05 Vis -a -vis 4.58 Assessment to Registration 1.70 Vis- a -vis 1.77 1.68 Vis-à-vis 2.39 0.67 Vis-à-vis 1.36 2.27 Vis-à-vis 3.76 0.88 Vis-à-vis 1.17 COMPARATIVE ANALYSIS / PERFORMANCE WITH RESPECT TO PREVIOUS YEAR. Average No of Days taken 8.9 Vis-à-vis 11.28 Days taken for the corresponding previous year.

17. OUTCOMES 1.Major Contributors to performance/dwell time identified & quantified. 2. Potential opportunities for improvement from Customs side identified. 3. There are several factors that affect trade facilitation.

18. What cannot be measured cannot be improved Do away with the Baggage of avoidable litigations. Eliminating/Reducing printouts in Customs Viz., TR6 Challans, Transshipment Permit (TP), Exchange control copy Operationalization of “RFID” for seamless flow of containers. To broad base ACP status holder for startup companies also. TAKEAWAY FOR CUSTOMS

21. SUGGESTIONS/RECOMMENDATIONS FOR YOUR KIND ATTENTION