The Hindu Business Line : New Customs directive affects cargo movement at major LCS in Bengal

CLEARANCE of cargo-laden export trucks (most of them carrying perishable and other agri commodities) at some of the major Land Customs Stations (LCS) in West Bengal such as Petrapole, Hili and Mahadipur, which together account for exports of over Rs 5,000 crore to Bangladesh, has been drastically reduced in the last two days owing to a recent Customs directive (effective September 1, 2004) on repeat inspection at last point after issue of "let-export" order.

Informed trade sources told Business Line that at Petrapole, on Thursday, only some 60-odd trucks have managed to cross over against a daily average of nearly 350. Sources said hundreds of trucks have now queued up on the approach creating a chaotic situation. Exporters fear the situation may get worse on Friday, day of prayers, on the Benapole side of Bangladesh, when movement of trucks virtually cease.

Exporters say mandatory fresh customs seal by the preventive wing of the department on the Export Manifest at near zero point after the already time-consuming BSF checkshas caused havoc. According to one leading exporter of cummin-seeds and other spices to Bangladesh, trucks which do not pass muster are also being sent back from zero point to the CWC parking lot to suffer demurrage charges of Rs 500 per day.

Senior customs officials confirmed that the new directive to the preventive wing has come from the highest level of the Finance Ministry, and that there was no question of any second look at this point of time. It is learnt that the Government was concerned about the huge revenue leakage that was taking place at some of the LCS, where "documents are going forward, but not the export goods".

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