Government Implements New Initiatives to Facilitate Air Cargo Trade and Transhipments
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Synopsis
On April 25, the Central Board of Indirect Taxes and Customs launched measures to enhance compliance and trade at air cargo complexes. These initiatives include waiving transhipment permit fees, streamlining customs protocols, and enabling online application submissions.
Key Takeaways
- Waiver of transhipment permit fees from April 24, 2025.
- Temporary import of Unit Load Devices (ULD) outside Customs Area.
- Streamlined customs protocols aligning with international standards.
- Implementation of the ‘All-India National Transhipment Bond’.
- Online filing of transhipment applications through ICEGATE.
New Delhi, April 25 (NationPress) To simplify compliance and enhance trade at air cargo facilities, the Central Board of Indirect Taxes and Customs (CBIC) has rolled out a series of measures specifically targeting air cargo operations and transhipment movement, as announced by the Ministry of Finance on Friday.
This initiative aligns with the declaration made during the Budget Speech 2025-26 by Union Finance Minister Nirmala Sitharaman, focusing on improving infrastructure and warehousing for air cargo, particularly for high-value perishable horticultural products, while also streamlining cargo screening and customs protocols to create a more user-friendly environment.
Traditionally, a transhipment permit fee has been mandated for each transhipment permit issued. However, due to the surge in trade volumes, including transhipped cargo, delays have been observed in processing these permits.
In an effort to foster ease of business, the CBIC has reviewed this situation and, effective April 24, 2025, has decided to eliminate the transhipment permit fee for all transhipment movements, as stated by the Board.
Moreover, with the growth in air cargo volume, there has been a demand from the trade sector for the temporary removal of Unit Load Devices (ULD) outside the Customs Area, especially for high-value or perishable goods.
At present, cargo is offloaded in air cargo complexes from ULDs prior to clearance.
To streamline Customs Protocols and align with international best practices regarding the movement of ULDs outside the Customs Area, the CBIC has established a simplified and harmonized procedure for the temporary import of ULDs, modeled after procedures set for marine containers handled at seaports since 2005, as per the ministry's statement.
This new administrative procedure allows for ULDs or air containers to be temporarily imported outside the Customs area upon the execution of a continuity bond by air carriers or air console agents, who commit to exporting them back within a designated timeframe.
The ‘All-India National Transhipment Bond’ facility at air cargo complexes has been in operation since 2022, designed to prevent the redundancy of bonds submitted by airlines at various Customs stations for the transshipment of imported cargo.
Additionally, the online submission of transhipment applications has been enabled in ICEGATE, eliminating the necessity to visit the service center at the air cargo facilities, according to the Board.
