Home India Ministry of Ports, Shipping and Waterways Simplification of the clearance procedure by dispensing with...
Date: 2016-11-30 Category: DGS Order State: Union Government Country: India

Simplification of the clearance procedure by dispensing with the requirement of submission of various certificates to customs authorities, under the provisions of the Merchant Shipping Act, 1958, as amended-reg.,

Issued by Ministry of Ports, Shipping and Waterways · Directorate General of Shipping

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Executive Summary & Key Takeaways

**Executive Summary** DG Shipping Order No. 08 of 2016, issued on 30.11.16, simplifies port clearance procedures for Indian flag merchant ships/vessels registered under the Merchant Shipping Act, 1958, as amended. It dispenses with the requirement of submitting various certificates to customs authorities, subject to specific conditions. This order is effective immediately. **Key Points / Main Content** * **Purpose:** To simplify the port clearance procedure. * **Dispensation:** Waives the requirement of producing statutory certificates and documents for port clearance at all Indian ports for Indian flag merchant ships/vessels registered under the MS Act, 1958. * **Condition for Dispensation:** A declaration-cum-undertaking must be submitted to the jurisdictional customs authorities. This declaration, signed by the ship's Master or a formally authorized person, must state that all statutory certificates are valid and that no surveys or audits are overdue. * **Record Keeping:** Jurisdictional customs authorities must maintain records of submitted declarations-cum-undertakings for verification by the Mercantile Marine Departments (MMDs). * **Scope:** This order applies to all types of Indian ships/vessels registered under the MS Act, 1958, and encompasses all sections of the Act related to port clearance. * **Objective:** To foster ease of doing business, facilitate trade, and ensure the smooth movement of Indian flag ships/vessels. **Impact Analysis** **Stakeholder:** Indian Flag Merchant Ships/Vessels **Impact:** * Reduced administrative burden during port clearance. * Faster turnaround times. **Action Required:** * The Master of the ship (or authorized representative) must provide a declaration-cum-undertaking to customs authorities confirming the validity of statutory certificates and absence of overdue surveys/audits. **Stakeholder:** Jurisdictional Customs Authorities **Impact:** * New procedure for port clearance verification. * Responsibility to maintain official records of declarations. **Action Required:** * Maintain records of the declarations-cum-undertakings submitted by ships. * Make records available for inspection by Mercantile Marine Departments (MMDs). **Stakeholder:** Mercantile Marine Departments (MMDs) **Impact:** * Potential for verification of submitted declarations. **Action Required:** * Inspect and verify the declarations-cum-undertakings held by customs authorities, as required.

Key Entities Referenced

Merchant Shipping Act, 1958: The principal act governing merchant shipping in India, repeatedly referenced as amended. Directorate General of Shipping [DGS]: The national maritime administration responsible for administering the Merchant Shipping Act, 1958, and issuing the order. Ministry of Shipping: The ministry overseeing the Directorate General of Shipping. Indian Ports: Location where the policy changes regarding port clearance procedures are implemented. Customs Authorities: Authorities that previously required the submission of certificates which is being simplified under this order.
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€-iciq -ITi qT(d q-CS.R / GOVERNMENT OF INDIA ma qfuq-{q riTrct / MrNrsrRy oF sHrpprNc fiaqr r6rft?rrcr+ / DTRECToRATE G ENERAL oF sHrpprNc L6+d: -22-gl25752o4oll/213 *frEr Rfu{r' 9 ,* riftq I "BETA BUILDING", 9,h FLOOR Tete:9t-22-25752040lt28 k1'e: 022-25752029t3s qrq-fit+ H +{q's / I-THINK TECHNO CAMpus Fax:022-257s2029t35 €-te: dgship-dgs@nic.in si-${ qr,f) qW( / KANJUR MARG(EAST) E-mair: dgship-dgs@nic.in *<I: www.dgshipping.gov.in tqt042 400 - / MUMBAI - 400 042 Web: rvnrv.deshiopins.sov.in F. No. SD-13/POL (1)/14 Dated : 30.11.16 DG Shippinq Order No. 08 of 2016 Merchant Shippine Act. 1958. as amended-ree. Whereas the objective of the Merchant Shipping Act, 1958, as amended, is to, inter-alia, foster the holistic development & growth of the merchant shipping sector and ensure a safe & efficient lndian mercantile marine in a manner best suited to serve the lndian national interests; 2. Whereas the Directorate General of Shipping IDGS], Ministry of Shipping, Govt. of lndia [Gol] is the designated National Maritime Administration of the country to administer the Merchant Shipping Act, 1.958, as amended, as the facilitator and regulator of the merchant shipping industry in tndia; 3. Whereas numerous lndian and foreign flag vessels are calling on various lndian ports, for trading purposes, through a large number of voyages; 4. Whereas in the case of lndian flag/registered ships, and other ships the requirement of producing statutory certificates and documents [prescribed under section 410 & various other sections/provisions, amongst others, of the Merchant Shipping [MS] Act, Lg5g, as amendedl, for the purpose of port clearance needs to be followed. However, this requirement has been revisited, re-examined, and now is considered for being dispensed with at all lndian ports. 5' Now, therefore, in pursuance of the powers conferred on the Director General of Shipping, Govt' of lndia, under section 456 of the Merchant Shipping Act 195g, as amended, read with the Ministry of Shipping, Govt. of lndia's S.O. No. 3144 dated t7.t;-.tg6}. the undersigned hereby issues the following dispensation, from the requirements of the submission/production of certificates, mandated by the MS Act, 195g, as amended, subject to the conditions mentioned in para 5.1 herein below; ...2/- Wl t,n:2: 5.1. ln the case of lndian flag merchant ships/vessels, registered under the MS Act, 1958, as amended, the requirement of producing statutory certificates and documents [prescribed under the various sections/provisions, inter-alia, of the said Act], for the purpose of port clearance, is hereby dispensed with, provided that a declaration-cum-undertaking, duly signed by the Master of the ship/vessel concerned, statinS, amongst other things, that all the said statutory certificates are valid and also that there are no overdue survey(s) or audit(s), in respect ofthat ship/vessel, as may be required under the Merchant Shipping Act, 1958 or the Rules framed there-under, as amended, is submitted by a person formally authorized by such Master, to the jurisdictional customs authorities, on the day the port clearance is sought/on the day ofthe sailing ofthe ship / vessel concerned. 6. The jurisdictional customs authorities will maintain an official record of such declarations- cum-undertakings submitted to them for the perusal / examination of the authorized officer(s) of the jurisdictional Mercantile Marine Departments (MMDs), under this office, for verification, if required. 7. This order is issued for all types of lndian ships/vessels, registered under the MS Act, 1958, as amended, and will encompass not merely section 410 ibid, but also allthe other sections of the extant MS Act that may enjoin port clearance from the jurisdictional customs authorities. 8. The foregoing measures have been put in place for fostering an ease of doing business, due facilitation of trade, hassle-free movement of lndian flag ships/vessels, [so registered], across lndian ports and in public interest. I (Dee etty 'bb Director General of Shipping & Secretary, Govt. of lndia. I. 1. All the stakeholders concerned, through the official website ofthe DGS, Got. 2. Member [Customs] & Special Secretary to the Govt. of lndia, Central Board of Excise & Customs, Department of Revenue, Ministry of Finance, North Block, Central Secretariat, New Delhi-110001, with a request to please arrange to disseminate this order amongst all the field formations concerned under the CBEC, Gol. 3. Chairmen of all major & non-major ports. 4. MD & CEO, lndian Ports Association / lndian private ports & Terminals Association. 5. CEOS of all State Maritime Boards & Secretaries [ShippinC] of all Maritime States/Union Territories. 6. CEO, lndian National Ship-owners Association IINSA], Mumbai. 7. President, ICC Shipping Association IICCSA], Mumbai. IL Copy furnished for an information to the secretary to the Gow. of lndia, Minlstry of Shipping, Gow. of lndia, New Delhi, w.r.t. the said Ministry's letter No. SD-11018/13/2015- MD dated 14.06.16, on the subject.

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