Electronic sealing – Deposit in and removal of goods from Customs bonded Warehouses, clarification

Circular No. ES/ 259/2018-19 October 25, 2018

To: Members of the Council

Sub: Electronic sealing – Deposit in and removal of goods from Customs bonded Warehouses, clarification

Dear Member,

We would like to inform you that CBIC has issued Circular No. 39/2018- Customs dated 23^rd October, 2018 clarifying that RFID seals should be procured from the destination warehouse in case of warehouse to warehouse transfer.

In this connection, it is to refer to CBIC’s Circular 19/2018-Customs dated 18^th June 2018, wherein the Board had introduced electronic sealing for deposit in and removal of goods from Customs bonded Warehouses.

The trade had reprsentated in this matter requesting for warehouse to warehouse transfer, the owner of the goods should be allowed to procure a RFID seal from the destination warehouse instead of originating warehouse.

This issue was examined by CBIC and have clarified the following-

As per Para 4.5(d) of Circular 19/2018-Customs, any importer permitted to remove goods for deposit in a warehouse shall obtain a RFID seal from the warehouse, where the goods are to be deposited. Thus, the RFID seals are to be procured from the destination warehouse.

Allowing the owner of the goods to procure a RFID seal from the destination warehouse also obviate the need for development of any universal application by all vendors or the need for procuring multiple readers by warehouse owners.