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Glitches in new software introduced by Customs delay clearance of goods

N. Anand

CHENNAI: Several trade bodies and representatives of export-import trade in the city have expressed concern over the delay in clearance of goods for the last few weeks due to use of new Icegate 1.5v software by the Central Board of Excise and Customs.

According to trade sources, the delay in processing documents has resulted in trailers stranded from Kasimedu to Ennore Annai Sivakami Nagar. It takes a week for Central Excise-sealed containers to obtain Customs seal verification at Madhavaram CWC and to enter the Chennai port.

Madras Chamber of Commerce and Industry (MCCI) president, T.T. Srinivasaraghavan, said: “Right from introduction of this software on March 14, there have been problems. Some rectified within a day or two and many remain to be sorted out.

For over two weeks now, the entire import-export trade has been affected very badly; companies are unable to process the documents due to the failure of the system be it at local or national level.”

Tamil Chamber of Commerce (TCC) president, Chozha Naachiar Rajasekar, said that the EXIM trade was crippled for the last few weeks due to glitches in the system.

He called for constitution of a high-level committee to sort out the problems relating to documentation, processing and clearance of the goods.

The implementation of Icegate 1.5v not only complicated the filing process of bill of entries, shipping bills, Export General Manifest and Import General Manifest by steamer agents but also delayed the clearance of cargo by the EXIM trade. Due to the delay, the exporters and importers were asked to pay demurrage and detention charges, he said.

“We request the Central government and the Customs Department to look into this issue immediately and give instructions to the Steamer agents, CFS operators and the custodian of the cargo to waive the demurrage and detention charges as it has been levied on us for no fault of us,” Mr. Rajasekar said.

MCCI, co-chairman of expert committee on Logistics, Udayakumar Bhaskar Reddy, said: “Till recently regional Commissioners were empowered to solve the issues. After the implementation of the new software, we have to approach the Delhi help desk. It is taking time. We urge the Centre to address the issue at the earliest.”

Sindhi Chamber of Commerce, president, Danesh Kumar, said the situation has improved slightly, but not fully. “With computers not working, the bills are being cleared manually, which takes a long time. The industrial units relaying on just-in-time concept are affected badly.”

A senior Customs official said that the situation was coming back to normal.

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