The Central Board of Indirect Taxes and Customs (CBIC), under the Ministry of Finance, has issued Circular No. 12/2026-Customs dated March 17, 2026, prescribing detailed procedures for handling export cargo that has returned to Indian ports due to disruptions in maritime routes, including the closure of the Strait of Hormuz.
The circular has been issued under the provisions of Section 143AA of the Customs Act, 1962, with the objective of facilitating trade, ensuring expeditious clearance, and providing clarity to field formations and stakeholders in handling such exceptional situations.
The Board has noted that export consignments have been compelled to return to Indian ports from international waters due to maritime disruptions. Representations were received from field formations seeking clarity on procedures relating to transshipment, Back to Town (BTT), and international transshipment in cases where vessels land at ports different from their original port of departure.
Key Measures Introduced
- Handling of Vessels Returning to Alternate Indian Ports
-
- Shipping Lines or authorised agents are required to file the Sea Arrival Manifest (SAM) at the port of landing.
- Containers will be verified with reference to documents, including seal integrity checks.
- Containers with tampered seals will be subjected to 100% examination.
- Coordination between port of landing and port of export has been mandated to verify export incentives such as IGST refund, drawback, etc.
- Cancellation of Shipping Bills and Let Export Order (LEO) will be undertaken where required.
- Provision for Back to Town (BTT) clearance has been enabled after due verification.
- Safeguards on Export Incentives
-
- Systems will ensure that export incentives are not wrongly disbursed.
- A new facility will be introduced in ICES for cancellation of Shipping Bills post Export General Manifest (EGM).
- Data sharing with RBI, DGFT and other agencies will be undertaken through ICEGATE.
- Interim manual procedures will be followed until system upgrades are implemented.
- International Transshipment Facilitation
-
- Temporary relaxation allows international transshipment of LCL cargo from all notified ports and international airports till March 31, 2026.
- Jurisdictional Commissioners may extend the facility based on infrastructure and storage capacity availability.
- Handling of Liquid Bulk/Break Bulk Cargo
-
- Temporary unloading and storage of such cargo in Customs areas or bonded facilities is permitted for onward re-export.
- Strict Customs supervision, inventory control, and bond execution requirements have been prescribed to ensure regulatory compliance.
- Cargo must remain under Customs control and cannot be diverted into the Domestic Tariff Area.
Validity and Implementation
The relaxations provided under this circular, along with earlier Circulars No. 09/2026 and 10/2026, shall remain in force till March 31, 2026.
Field formations have been advised to report any implementation difficulties to the Board for timely resolution.
This initiative reflects the Government’s proactive approach to mitigating the impact of global maritime disruptions on India’s export trade and ensuring seamless logistics operations.
The Circular can be accessed at: https://taxinformation.cbic.gov.in/view-pdf/1003312/ENG/Circulars
