Exporters get major customs support as Hormuz Crisis disrupts trade routes

The government has introduced several customs and logistics measures to support exporters whose cargo has been delayed, stranded or returned due to disruptions in shipping routes. The crisis has emerged after the Strait of Hormuz was closed during the current Middle Eastern conflict.

The procedures assist exporters by enabling them to handle returned shipments and prevent their financial losses. The new system will decrease delays that occur when cargo needs to be redirected or returned to Indian ports.

New customs procedures for returning cargo

Shipping companies now have permission to submit new arrival documentation at the port when the cargo reaches its destination.

Customs officials will execute container inspections after they finish checking security seals before they permit containers to leave the facility.

Authorities will perform full cargo inspections whenever they find damaged or tampered seals to verify safety and compliance with regulations, IANS reported.

Special rules for ships returning to Indian ports

Shipping lines must submit a Sea Arrival Manifest document when their ship arrives at an Indian port after visiting no international ports. The customs office will use a temporary system code to handle these specific cases.

Exporters will also be allowed to bring their returned cargo back into the domestic market through a process known as “Back to Town” clearance. However, officials will ensure that any export incentives already given are reversed or recovered if the goods are not ultimately exported.

Coordination with financial and trade authorities

The government has also permitted the cancellation of shipping bills even after export documentation has been filed. Details of such cancellations will be shared with institutions like the Reserve Bank of India and the Directorate General of Foreign Trade through the customs electronic data system.

Customs offices at all ports must continue to use manual record-keeping until digital systems reach complete operational capacity.

Temporary relief in cargo handling and storage

The circular provides a temporary international transhipment facility expansion to exporters who need assistance with their operations. All major ports and airports will allow movement of less-than-container load cargo until March 31, when safety checks have been completed.

Indian ports have received permission to unload and store liquid bulk and break-bulk cargo that has been redirected from international ports. The process will follow strict monitoring procedures, which will prevent unauthorised distribution of goods to the domestic market.

CONCOR announces additional support measures

The Container Corporation of India (CONCOR) has established relief programs through its inland container depots to support exporters who experienced shipping delays.

The company provides 30 days of additional free storage for containers that remain stuck in transit and offers a 30 per cent discount on plug-in fees for refrigerated containers. The company has decreased particular port fees while eliminating some operating charges for exporters who return their containers within the designated timeframe.

Exporters will also receive a five per cent discount on rail freight charges when they return containers from ports to inland depots.

Short-term measures to manage trade impact

The government explained that the facilitation measures will be implemented for cargo operations during March because shipping disruptions directly affected India's export industry.

The measures will deliver essential relief to exporters while sustaining supply chain operations and enabling India to conduct international trade without disruptions from global uncertainty.