The Hindu : Tamil Nadu News : Software glitch delays cargo movement

Online edition of India's National Newspaper
Wednesday, Jul 14, 2004

Tamil Nadu

Tamil Nadu

Software glitch delays cargo movement

By N. Ravi Kumar

CHENNAI, JULY 13. Importers using the Chennai port have been experiencing delays for the past few days in getting Customs clearance for their cargo.

Trade sources said many bills of entry - a document issued for clearing goods — were awaiting clearance as the Electronic Data Interchange software faced problems in accommodating the impact of the education cess on the duty. The two per cent cess was announced in the recent Budget.

Though senior officials of Customs and Chennai Port Trust denied this, sources said the delay affected the raw material inventory of manufacturing units, dependent on imports. They said the software was imposing the cess even on 100 per cent export-oriented units eligible for duty-free imports.

The problem began on July 9 and continued till this afternoon, the sources said. However, suitable changes were made to the software, they said.

When contacted, B.S.V. Murthy, Commissioner of Customs (Exports), who also handles EDI and docks, said the "initial minor hiccups" were overcome and the software stabilised. Refuting the trade's claim that at least 2,000 bills were pending, he said that as on Tuesday they numbered 564 and pertained to cargo not more than three days old. However, the importers were allowed to file bills manually.

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