India: 2018 Sea Cargo Manifest and Transshipment Regulations

As another step towards ease of doing business in India, the Central Board of Indirect Taxes and Customs has made some changes in the regulation for filing Sea Cargo Manifest for Import, Export and Transshipment cargo. These changes are scheduled to come into force effective 01st August 2018.

As per the key highlights of the revised regulation, it is compulsory for ship owners, importers and exporters to adhere to the defined timelines for manifest filing of import cargo arriving in India, exports out of India and transhipments made via Indian ports.

Import Shipments to India (Arrival Manifest): Import Manifest is required to be submitted to customs prior to departure of vessel from the last port of calling. To adhere to these time lines, full details of Bills of Lading and all other manifest information needs to be made available for manifest filing, at least 24 hours PRIOR to departure of vessel from the last foreign port.

Exports Shipment from India (Departure Manifest): The Vessel Agent is required to submit the export manifest details to Indian Customs Prior Vessel Sailing from Indian Port of Loading. To be able to adhere to these timelines, the shipper must submit the original Shipping Bill with LEO (Let Export Order) to the Vessel Agent at least 48 hours prior to the Estimate Time of Arrival (ETA) of the export vessel.

Gladstone Port – Planned Maintenance Notice

Planned Shutdown 23 July To 27 July 2018
Terminal: R G Tanna Coal Terminal
Plant: Shiploader No.2 on Berth No.1.
Duration: 5 days.

The main work for the Shiploader No.2 Shutdown includes:

  • Inspect and repair SL2 telescopic chute.
  • Repair oil leak on gearbox, CC7A Gladstone side.
  • Upgrade CC7A drive coupling on Gladstone and Rocky sides.
  • Install new steelwork to support replacement Transformer on SL2.
  • Abrasive blast and paint underside of SL2 MCC Room.
  • Structural repairs on SL2 Tripper upper end.
  • Cold repairs on CC6 belt.
  • Repair, abrasive blast and paint SL2 Tripper rail between CC6 and CC6A.
  • Service and calibrate CC5 belt weighers.
  • Tiling repairs in transfer chutes in SL2 system.
  • Sample Plant 1 maintenance.
  • Belt cleaner maintenance.
  • General maintenance of the Shiploader No.2 system and conveyors.

Ben Line Agencies Indonesia Advisory: Sailing Delay for Coal Vessels

Recently we have received the request for clarification from our Principals relating to the below statement:

This is to inform you that due to some sudden changes in Indonesian Government Policies, export procedures has been changed with immediate effect. Exports being previously cleared on trade license now has to be processed under Miners Licenses along with export duties. Even the same is immediately functional for the shipments already loaded and therefore, no ship can sail or load further unless export duties and mine license documentation been done and therefore, all cargo already loaded has to be unloaded back to jetty.

All these has severely impacted the business in Indonesia, almost 20 ‐ 25 shipments are now held at East Kalimantan and 10 ‐15 at South Kalimantan. We regret to inform you this but as implies, many shipments are stuck in these changed policies with uncertain consequent hereafter. (As per letter from Ministry of Finance Republic Indonesian narrating same.

Be advised that from our local checking we have determined that there is no new regulation as highlighted above, but instead there has been a crackdown on longstanding law implemented by the Ministry of Trade in 2014.

All shippers export cargoes are required to pay government tax (Pph22) for completion of the export procedure:

  • Purchase tax locally of 1,5% before SKAB issued
  • Royalty tax of 5%
  • Customs tax of 1,5% before PEB issued

If the above items are not paid in full the holder of the ET under which the cargo has been declared will not be able gain PEB (Export Permit) to enable Agents to process the clearance documents to receive sailing permit.

We understand that some shippers/suppliers who have IUP/OP permit have faced issues with vessels being delayed due to non‐payment in full of local tax (1.5%) prior to SKAB is issued.

Recently Jakarta Head Customs Office have begun to crackdown on these practices by blocking system to stop PEB issuance until all taxes / royalties are paid in full for all previous shipments.

The Coal Export regulation remains the same as per Trade Ministry 2014.

  • Coal Shipper / Supplier should hold ET (Listed Exporter)
  • Payment duty tax & royalty required in full after completion of loading
  • Sending Coal Export report on monthly basis

If all the above requirements are complete, then there will there is no issue to receive PEB (export permit). PEB is required by agent to arrange Sailing Permit at Harbour Master. The vessel cannot sail without holding Sailing Permit.