Circular No. 53/2018 - Custom Dated 28/12/2018
Procedure to be followed in cases of manufacturing or other operations undertaken in bonded warehouses under section 65 of the Customs Act-
Please refer to Circular 38/2018 customs dated 18.10.2018 issued on the above
subject. Certain sections of trade have represented that that they were hitherto
permitted to undertake operations under Section 65 of the Customs Act, 1962 in a
public bonded warehouse, licensed under section 57 of the Act, ibid. The
jurisdictional customs authorities have not renewed their permission to
undertake section 65 operations in a public bonded warehouse, in view of
Circular 38/2018. This has jeopardized their packing operations and put the
trade in difficulty. They have requested for relief in this regard to ease the
difficulty of trade.
2. The matter has been examined. Circular 38/2018 was issued to streamline the
operations under Section 65 of the Customs Act, 1962, including the process of
application, maintenance of records, manner of discharging duty liability of
imported goods and resultant products etc. vide the Circular, it was clarified
that operations under Section 65 should be undertaken in private bonded
warehouses licensed under Section 58 of the Act.
3. In this connection, to enable a proper examination of the matter without
sudden disruption to any activities that were permitted in the past under
Section 65, Board has decided to allow operations under section 65 to be
continued in public bonded warehouses up to 31st January 2019. in respect of
such operations and for such operators, who had been permitted such facility by
jurisdictional authorities, as on the date of issue of Circular 38/2018-Customs
dated 18.10.2018.
4. Clarification required, if any, may be sought from the Board
5.Hindi version follows.
(Temsunaro Jamir)
Joint Commissioner (ICD)