More sectors must use ATA Carnet for duty-free export/ import: Customs official

In Hyderabad mainly media, cinema and entertainment sectors have been using ATA Carnet and other sectors should also explore using this facility for duty-free export and import of their goods, said DP Naidu, Principal Commissioner, Hyderabad Customs Commissionerate, while delivering the keynote address at a workshop hosted by Federation of Indian Chambers of Commerce & Industry (FICCI).

ATA Carnet is an International uniform customs convention issued in 79 countries including India and is considered as a passport for goods, which facilitates green-channel route for doing business in India and abroad. Assuring that Hyderabad customs will be in the forefront in facilitating ATA Carnet utilisation, he said, “With this awareness initiative of the FICCI, more companies will come forward to use this facility.”

Naidu said, “Hyderabad air cargo has International courier terminal for export at International airport, shortly we are facilitating courier imports also in a couple of weeks, currently import courier comes through Bangalore. Lot of trade facilitation measures have been undertaken by the Indian Customs Department, as part of Government of India reforms towards trade liberalisation or globalisation.”

Starting from the electronic data the EDI system, electronic portal for import and export, risk management system, where instead of physical examination of each and every consignment, 90 per cent of consignments are cleared through risk management system, where the system identifies and gives clearance, only few cases, system selects for examination or assessment.

Satish Kumar Reddy, Trade Facilitation Expert and Consultant of ADB, said: “ATA Carnet is not very popular yet in India, so there is huge potential for it. ATA Carnet is an instrument for temporary admission of goods into one or more countries and bring them back to India and send them back. It’s a globally recognised instrument by about hundred countries and usage is widespread in many countries.”

Carnet provides for duty free temporary import and temporary export, no duties involved and is a very simple custom formality. Carnet serves as a custom declaration, bill of entry and shipping document and one need not file any other document, this itself is a bond or bank guarantee. Carnet is valid for one year and the goods have to be retuned in a year.