No. CLE-HO/POLICY/CIRCULAR/2017

October 5, 2017

Members of the Council,

Dear Sir,

Sub:    Implementing Electronic Sealing for containers by exporters under self-sealing procedure prescribed vide Circular No.26/2017-Customs dated 1.7.2017

This is in continuation to our earlier circular of Sept.1, 2017 on the above subject. The Central Board of Excise and Customs (CBEC) has subsequently issued a Circular No.37/2017-Customs dated 20.9.2017 highlights the following.

• In order to ensure that electronic seals deployed are of a reliable quality, the Board has adopted international standards laid down under ISO 17712:2013 for high security seals and prescribed that vendors intending to offer RFID seals should furnish certifications required under the ISO standard (para 3 of circular No.36/2017 dated 28.8.2017 refers).

• Considering the difficulties expressed by trade associations in locating vendors of RFID seals, the Board has decided that the date for mandatory self-sealing and use of RFID container seals is deferred to 1st November, 2017. The existing practice may continue till such time. It is also provided that exporters are free to voluntarily adopt the new self-sealing procedure based upon RFID sealing, if readers are in place at the customs station of export from 1.10.2017.

Thanks and regards
R.Ramesh Kumar

Executive Director

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No. CLE-HO/POLICY/CIRCULAR/2017
Sept. 1, 2017

Members of the Council,

Sub : Implementing Electronic Sealing for Containers by exporters under self-sealing procedure prescribed vide Circular No. 26/2017- Customs dated 1.7.2017

Dear Sirs,

This is in continuation to our circular dated 11/7/2017 forwarding there with various issues in connection with exports under Bond/LUT, without payment of IGST. In this circular, we had also forwarded Customs Circular No.26/2017-Customs dated 1^st July 2017 regarding export procedure and sealing of containerized cargo.

The Central Board of Excise and Customs (CBEC) has now issued a Customs Circular No.36/2017 dated 28^th Aug 2017 (copy enclosed) regarding Implementing Electronic Sealing for containers by exporters under self-sealing procedure prescribed vide circular No.26/2017-Customs dated 1^st July 2017. This circular states that exporters were were availing sealing at the factory premises under the system of supervised factory stuffing and all exporters under Authorised Economic Operator (AEO) programme will be eligible for self-sealing.

Members may kindly note the above.

Thanks and regards

R.Ramesh Kumar
Executive Director

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No:CLE/HO/POLICY/GST/2017

July 11, 2017

Members of the Council,

Sub : Exports under Bond/ LUT – Issue of Customs and GST circulars

Dear Sir,

Members may kindly note the following with regard to procedure for execution of bond/letter of undertaking for exports without payment of IGST.

·        Customs Circular No.26/2017-Customs dated 1^st July 2017 specifies the format of GST RFD-11 towards Furnishing of bond or Letter of Undertaking for export of goods or services.
·        GST Circular No.2/2/2017-GST dated 4^th July 2017 clarifies that the acceptance of the Bond/Letter of Undertaking required to be furnished by the exporter while exporting shall be done by the jurisdictional Deputy/Assistant Commissioner. The Bond/Letter of Undertaking required to be furnished under rule 96A of the said rules may be furnished manually to the jurisdictional Deputy/Assistant Commissioner in the format specified in FORM RFD-II till the module for furnishing of FORM RFD-11 is available on the common portal. The exporters may download the FORM GST RFD-11 from the website of the Central Board of Excise & Customs (www.cbec.gov.in) and furnish the duly filled form to the jurisdictional Deputy/Assistant Commissioner.
·        GST Notification No.16/2017-Central Tax dated 7^th July 2017 states that the following registered person shall be eligible for submission of Letter of Undertaking in place of a bond for exports:-

a.      a status holder (one star to five star export houses) as specified in paragraph 5 of the Foreign Trade Policy 2015-2020; or

b.      who has received the due foreign inward remittances amounting to a minimum of 10% of the export turnover, which should not be less than one crore rupees, in the preceding financial year.

·        GST Circular No.4/4/2017 dated 7^th July 2017 states that LUT shall be valid for twelve months. If the exporter fails to comply with the conditions of the LUT he may be asked to furnish a bond. Exports may be allowed under existing LUTs/Bonds till 31^st July 2017. Exporters shall submit the LUTs/bond in the revised format latest by 31^st July 2017.

The above 4 circulars are enclosed herewith for kind information of members.

Thanks & regards,

R.Ramesh Kumar
Executive Director
COUNCIL FOR LEATHER EXPORTS

BG LUT Circular || Circular Revised || Circular