Customs clearance now claims to be done in 12 minutes instead of 12 hours

Mumbai, Ta. 20 November 2019, Thursday

India's customs clearance is no longer an hour away rather than hours. Next month, the government is setting up an automatic system that requires no intervention from a customs staff. This will be possible through the use of blockchain, machine learning and artificial intelligence in which the government is expected to complete customs clearance in 5 minutes instead of three hours.

Initially this arrangement will be applicable only to certain importers. Six of them are recognized by the Customs Department under the Authorized Economic Operator Scheme.

These importers account for about 5% of the country's total imports. We are moving towards a drastic improvement in which the testing of the consignment will be passed through the machine and only through it will the consignment be discharged and this method is considered absolutely risk-free, ”a government official said.

Initially, this operation will be implemented for members of the Authorized Economic Operator Scheme, which has a good record of compliance. The consignment of these importers will be able to exit without a customs officer's inquiry.

The move will save India's importers cost and time and boost India's ranking in the Is of Doing Business, a government official has claimed. India is currently ranked 5th in the Is of Doing Business.

The Authorized Economic Operator Program is a trade management scheme that provides members with a means to reduce scrutiny and arrange for import declaration before the arrival of goods.

The Customs Department will use image scanners at airports while X-ray scanners at Sea Ports for goods that are not eligible for machine clearance and are considered hazardous.