Circular No. 12/2026-Customs, Dated 17-03-2026
The Central Board of Indirect Taxes and Customs (CBIC) has issued a circular prescribing procedures to facilitate trade and ensure expeditious handling of export cargo brought back to Indian ports due to disruptions such as the closure of the Strait of Hormuz.
The circular provides detailed operational guidance depending on the location of the vessel and the stage of export.
1. Procedure Where Vessel Lands at a Different Indian Port
In cases where the vessel returns and lands at an Indian port other than the original port of departure, the following procedure applies:
- The Shipping Line or authorised agent must file a Sea Arrival Manifest (SAM).
- The proper officer will verify containers and seals.
Further, coordination between Customs authorities will be ensured:
- Communication between the port of landing and the original port of export for verification of export details
- Cancellation of Shipping Bill and Let Export Order (LEO)
- Permission for Back to Town (BTT) facility after completion of prescribed formalities
2. Cancellation of Shipping Bills and Prevention of Incentive Disbursal
The circular allows cancellation of Shipping Bills even after filing of EGM in the Customs system to ensure that:
-
Export incentives are not disbursed in such cases
Details of cancelled Shipping Bills will be shared with:
- Reserve Bank of India (RBI)
- Directorate General of Foreign Trade (DGFT)
- Other concerned agencies through ICEGATE
Until system functionality is fully operational, manual records must be maintained by field formations.
3. Transhipment of Cargo
The circular permits international transhipment of Less-than-Container Load (LCL) cargo from:
- All notified ports
- International airports
This is allowed up to 31 March 2026, in accordance with Circular No. 14/2007-Cus., dated 16-03-2007, subject to specified conditions.
4. Handling of Liquid Bulk and Break Bulk Cargo
For liquid bulk or break bulk cargo, the circular provides that:
- Temporary unloading and storage may be permitted under Customs control
- Such cargo may be subsequently used for:
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- Onward international transhipment, or
- Re-export
5. Validity of the Relaxations
The relaxations provided under this circular, along with:
- Circular No. 09/2026-Customs dated 08-03-2026, and
- Circular No. 10/2026-Customs dated 10-03-2026,
will remain in force up to 31 March 2026.
6. Objective of the Circular
The circular aims to:
- Facilitate smooth handling of export cargo affected by global shipping disruptions
- Minimise procedural delays and compliance burdens
- Ensure proper verification and control of export consignments
- Prevent wrongful disbursal of export incentives
Overall, the measure provides temporary operational flexibility while maintaining regulatory safeguards in the Customs framework.
