Dear Members,

As you are aware,  CBIC has been coming out with various initiatives for contactless -Turant customs. The council has also  been sharing these details with the members regularly.

 

In continuation of the same and with a view to  apply these reforms on pan India basis,  CBIC has now issued Circular No. 32/2020 dated 6th July 2020  on Turant Customs regarding further measures  which are detailed as follows:-

 1.   Turant Suvidha Kendra in All Customs Formations:

3.1 Circular No.28/2020-Customs, dated 05.06.2020 provided for setting up Turant Suvidha Kendras (TSK) for the purpose of implementation of 1st Phase of Faceless Assessment at Bengaluru and Chennai and Instruction No.09/2020-Customs, dated 05.06.2020, details the roles and functions of TSKs. Considering the benefits ushered in by providing single point interface, Board has decided to extend TSKs to all the Customs formations for carrying out the functions mentioned in para 5 of the said Circular. The Principal Chief Commissioners of Customs/ Chief Commissioners of Customs are advised to set up the TSKs in all Customs stations by 15.07.2020. This step is being taken in advance of the pan-India rollout Faceless Assessment, which would be done in phases to be announced soon.

2.   Registration of Authorised Dealer Code, Bank Accounts through ICEGATE:

Exporters are presently required to register their Authorized Dealer (AD) Code and Bank Account(s) for purposes of remittances and availing export benefits respectively at every Customs station. Even though it is an one-time procedure, it requires physical interaction between the Customs and the trade and submission of physical documents by the latter. Being a manual process, it causes delays impacting exports besides requiring the exporters or their representatives to personally visit the Customs Houses. Same is the case for the process of updation of Bank Account details. On review, this procedure has been done away with.

 

The Directorate General of Systems, CBIC has now enabled a functionality within ICEGATE login which allows the exporters to make an online request for registration/modification of their AD Code / Bank Account(s) and also electronically submit the Passbook copy or Bank Authorisation letter through e-Sanchit. The exporters would also have access to a Dashboard to view the status of approval and acceptance at PFMS, for quick rectification at their end. The detailed step-by-step guide is available on the ICEGATE portal at https://www.icegate.gov.in/Download/Bank_Account_Management_Advisory.pdf

 

The Principal Commissioner/Commissioner of Customs is advised to ensure that the concerned Customs officer completes the approval process for registration/updation of the Authorised Dealer (AD) Code and Bank Account(s) details in ICES within the same working day of receiving the applications, if all requirements are submitted in ICEGATE. Further, if any deficiencies are noticed, the same shall be communicated to the exporter via the Customs Automated system, who would then make required rectification through ICEGATE portal.

 

3.   Automated debit of bond after Assessment:

Presently, importers or their representatives are required to physically visit Customs House for physical debit of Bonds after the Bill of Entry is returned (to the importer) for the payment of duty. On review, it has been decided to do away with this requirement. Instead, ICES would automatically debit the Bond and reflect the same in the first copy of the Bill of Entry, provided the details of the Bond are provided during submission of the Bill of Entry. As has been re-iterated earlier, trade is encouraged to use a continuity bond to avoid procedures related to repeat submission of Bonds.

 

4.   Simplified Registration of Importers/Exporters in ICEGATE:

Although simplified Registration module for importers / exporters based on verification provided in associated GSTIN has been provided without the requirement of digital signature, since many importers / exporters have not availed the same, various functionalities available in the ICEGATE portal cannot be accessed by them. These functionalities are useful to the importers / exporters and would help them in their management of imports and exports. Some of these functionalities are Management of Bank Accounts, Ledger View, IGST Refund status, Query Reply etc. Therefore, importers / exporters are advised to register on ICEGATE and conduct their Customs clearances through electronic interface. The simplified registration on ICEGATE can be done easily in few moments by following the steps given in the link at 

https://www.icegate.gov.in/Download/Advisory_for_Simplified_%20Registration_at_ICEGATE_v1.pdf

The aforementioned initiatives are expected to enhance trade facilitation as well as improve the efficiency of the Customs processes. Therefore, the trade is advised to make full use of the new initiatives and make their Customs clearance process a pleasant experience.

 

Members are requested to take note of this  trade facilitation measure.  The said CBIC  circular  is available for reference using below link-

https://www.cbic.gov.in/resources//htdocs-cbec/customs/cs-circulars/cs-circulars-2020/Circular-No-32-2020.pdf

 

 

Take care and stay safe!

Thanking you.

 

Yours faithfully,

 

As you might be aware, Government has recently announced “Emergency Credit Line Guarantee Scheme"  to provide liquidity to the MSMEs in the wake of COVID-19 related economic stress.

 

 

 

Under the Scheme, 100% guarantee coverage to be provided by National Credit Guarantee Trustee Company Limited (NCGTC) for additional funding of up to Rs. three lakh crore to eligible MSMEs and interested MUDRA. borrowers, in the form of a Guaranteed Emergency Credit Line (GECL) facility.

 

 

 

 

 

Details/ Salient Features of the Scheme

 

 

 

The Emergency Credit Line Guarantee Scheme (ECLGS) has been formulated as a specific response to the unprecedented situation caused by COVID-19 and the consequent lockdown, which has severely impacted manufacturing and other activities in the MSME sector.

 

 

 

The Scheme aims at mitigating the economic distress being faced by MSMEs by providing them additional funding of up to Rs. 3 lakh crore in the form of a fully guaranteed emergency credit line.

 

 

 

The main objective of the Scheme is to provide an incentive to Member Lending Institutions (MLIs), i.e., Banks, Financial Institutions (FIs) and Non-Banking Financial Companies (NBFCs) to increase access to, and enable availability of additional funding facility to MSME borrowers, in view of the economic distress caused by the COVID-19 crisis, by providing them 100 per cent guarantee for any losses suffered by them due to non-repayment of the GECL funding by borrowers.

 

 

 

The salient features of the Scheme include –

 

 

 

i. All MSME borrower accounts with outstanding credit of up to Rs. 25 crore as on 29.2.2020 which were less than or equal to 60 days past due as on that date, i.e., regular, SMA0 and SMA 1 accounts, and with an annual turnover of up to Rs. 100 crore would be eligible for GECL funding under the Scheme.

 

 

 

ii. The amount of GECL funding to eligible MSME borrowers either in the form of additional working capital term loans (in case of banks and FIs), or additional term loans (in case of NBFCs) would be up to 20% of their entire outstanding credit up to Rs. 25 crore as on 29th February, 2020.

 

 

 

iii. The entire funding provided under GECL shall be provided with a 100% credit guarantee by NCGTC to MLIs under ECLGS.

 

 

 

iv. Tenor of loan under Scheme shall be four years with moratorium period of one year on the principal amount.

 

 

 

v. No Guarantee Fee shall be charged by NCGTC from the Member Lending Institutions (MLIs) under the Scheme.

 

 

 

vi. Interest rates under the Scheme shall be capped at 9.25% for banks and FIs, and at 14% for NBFCs.

 

 

 

 

 

Implementation schedule:

 

The Scheme would be applicable to all loans sanctioned under GECL during the period from the date of announcement of the Scheme to 31.10.2020, or till an amount of Rs three lakh crore is sanctioned under the GECL, whichever is earlier.

 

 

 

Members are requested to take note of above features of the ECLGS Scheme and  may avail, if applicable.

 

 

 

For operational guidelines and FAQs, please use below links on NCGTC site-

 

 

 

 

 

https://www.eclgs.com/documents/ECLGS%20-%20Operational%20Guidelines-Updated%20-%2002.06.2020.pdf

 

 

 

 

 

https://www.eclgs.com/documents/FAQs_on_ECLGS-Updated_as_on_06.06.2020.pdf

 

 

 

 

 

Please note that above information is being provided only as a service to the members in good faith.  For further details/ queries, Please contact your bank and financial institutions.

 

 

 

You may also send your feedback to the council on info@chemexcil.gov.in .

 

 

 

 

 

Thanks and Regards,

 

 

 

 

 

S G Bharadi

 

Executive Director

This is with reference in view of the disruption in supply chains due to the Corona virus. As you aware that Coronavirus epidemic is a matter of grave concern for the entire world, it is incumbent on larger economies like India to fill up the gaps in the global market. Countries which had been depending on China have learnt a lesson they should have an alternative market for sourcing and India was expected to be their preferred destination. So in the coming few months can provide our exporters greater market access in the absence of usually aggressive and competitive Chinese suppliers.

 

 

 

As a part of special measures under the national emergency to combat the spread of COVID-19 in Peru, has announced a zero per cent import duty on 65 products which include organic and inorganic chemicals, medicament, medical appliances, articles of vulcanised rubber, super absorbent polymers, etc. this is to overcome the likely supply chain disruption. Though a temporary measure intended for 90 days with effect from 13 March, it is likely to be extended for a longer period. Peru currently imports these items from China, USA, and EU countries, with which it has Free Trade Agreements, while imports from India attract 6% duty. According to Lima Chamber of Commerce (LCC) and the Association of National Pharmaceutical Industries, the measure (to remove duty) would incentivize Peruvian importers to source these products from other markets such as India.

 

 

 

In this context on our request we have received tremendous support from the High Commission of India in Peru and we have received information from them that President of Anders Peru S.A.C., Mr. Peter Anders – which has major presence in Peru as distributor of chemicals and intermediate products in different industrial sectors, has expressed interest in establishing contacts with potential suppliers in India. Mr. Anders approached the Embassy for support and guidance for sourcing chemicals and ingredients in the following sectors:

 

 

 

•        Coatings and adhesives

 

•        Plastics

 

•        Flexo painting

 

•        Home and personal care (cosmetics and perfumes)

 

•        Industrial and institutional hygiene

 

•        Electroplating

 

•        Textiles

 

•        Paper industry

 

•        Food additives

 

 

 

Mr. Anders has stated that they are currently importing dyes from India for the paper industry, and that they are keen to build and expand company’s trade relations with Indian suppliers.

 

 

 

Anders Group is a well reputed Peruvian company in the chemicals sector and it is a regional South American distributor of specialty chemicals, ingredients and industrial equipment. It was founded in 1964 and has 56 years of market experience. Its headquarters is located in Lima, Peru. The group with more than 150 employees and a turnover of over US$ 60 million, has commercial offices and warehouses in Peru, Bolivia, Ecuador, Chile and Colombia. The group company presentation is attached herewith for your ready reference. Mr. Anders also informed that he would like to use company’s distribution centre in Lima as a hub for supplies to countries in the region.

 

 

 

Mr. Anders’ proposal offers a good opportunity to tap into the Peruvian market, especially when exports of organic chemicals from a major supplier to Peru has dropped by 17%  and those of inorganic chemicals by 13% during the period January – April 2020.

 

 

 

We may request to our members to contact directly with Anders Peru S.A.C to expand business in Peruvian market. The details are mentioned below

 

 

 

            Mr. Peter Anders

 

            President of the Board

 

            Anders Peru S.A.C.

 

            E.mail: peter.anders@qanders.com 

 

 

 

Further, as desired, please find attached Lists of potential importers in Peru under Chapters 28, 29, 32, 33, 34, and 38.

 

 

 

We may request to our member exporters to take advantage of this opportunity and export to Peru.

 

 

 

Members  may also  send their comments / feed-back  on  our e-mail id’s:  ed@chemexcil.gov.in;  adreach@chemexcil.gov.in; deepak.gupta@chemexcil.gov.in; rokolkata@chemexcil.gov.in & robengaluru@chemexcil.gov.in  

 

 

 

Thanks and best regards,

 

 

 

S G BHARADI

 

EXECUTIVE DIRECTOR

 

CHEMEXCIL

 

BASIC CHEMICALS, COSMETICS & DYES EXPORT PROMOTION COUNCIL