Chennai Customs waives charges on containers hit by SCMTR glitch

Chennai Customs has ordered custodians and shipping lines not to levy demurrage, detention or storage charges on containers whose delay is due to technical issues under the Sea Cargo Manifest and Transhipment…

Chennai Customs has ordered custodians and shipping lines not to levy demurrage, detention or storage charges on containers whose delay is due to technical issues under the Sea Cargo Manifest and Transhipment Regulations (SCMTR). The relief covers the period between September 6 and 30 and is a one-time measure for those affected by the compliance glitch.

Chennai Customs waives charges on containers hit by SCMTR glitch

The order comes as nearly 300 import consignments, mostly less-than-container-load (LCL) cargo, remain stuck at Chennai Port. Importers and brokers reported difficulties in filing amendments and split manifests under SCMTR, leading to containers not moving from the port or remaining uncleared at Container Freight Stations.

The Customs Preventive Commissionerate said the problems are being addressed through system amendments but described the situation as unprecedented and beyond importers' control. The waiver applies only where the delay is attributable to SCMTR-related technical issues.

Indian Opinion Analysis

The SCMTR, which replaced the 50-year-old Sea Cargo Manifest Regulations in 2024, requires electronic filing of cargo details before arrival. Implementation glitches have hit LCL cargo hardest because each consolidation requires multiple manifest splits. For importers, demurrage and detention at Chennai Port run at roughly Rs 4,000-8,000 per container per day, meaning a two-week delay on 300 consignments can accumulate costs in the lakhs. The Commissionerate's description of the situation as unprecedented signals it does not expect a repeat, but the relief is limited: it covers only charges linked to the system issue, not commercial penalties or container leasing costs. Trade bodies will watch whether the customs system is fully stable by the September 30 deadline.


Source: thehindubusinessline.com

This brief was synthesised by AI from the source linked above.

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