The government is drafting an extensive customs manual covering 100 major imported goods to bring uniformity to India’s faceless customs framework, according to a report by The Economic Times citing sources. The move marks the next phase of overhauling the faceless customs architecture, aimed at reducing manual interactions, improving transparency and building a fully digital clearance process.
The initiative is expected to lower transaction costs, improve ease of doing business, and help ensure India’s trade agreements deliver real gains for industry.
Standardising the assessment process
The proposed standard operating procedures will set item and origin specific evaluation guidelines for National Assessment Centres (NACs), giving them a common benchmark to reduce inconsistent procedures and unnecessary disputes. The guidelines will also cap queries at a maximum of three per bill of entry and hold assessing officers accountable for delays, aiming for greater consistency across customs stations.
The Directorate General of Systems has been tasked with improving data availability, strengthening management information systems and enabling more efficient backlog tracking. The plan also includes a centralised grievance redressal mechanism, under which customs zones will set up dedicated grievance cells, file regular updates and conduct periodic reviews.
Customs authorities will begin with 100 commodities and progressively add more products as the framework matures, an official said.
Resolving industry friction points
Officials have spent the past four months working to address friction points limiting the use of FTA benefits. Importers and trade bodies have repeatedly flagged inconsistent assessments for similar goods across different ports of entry, particularly in sectors involving complex tariff classifications and rules of origin requirements.
Industry stakeholders pointed to recurring queries from customs officers, delays in finalising assessments, additional documentation demands and uncertainty around valuation methods as recurring pain points. Differences in interpretation across customs locations have historically raised compliance costs and slowed cargo clearance by creating uncertainty around classification, valuation and documentation needs.
The new SOP framework carries particular significance for recently concluded trade agreements, including the India-UK Free Trade Agreement. During negotiations for the India-UK deal, both sides stressed the need for a smoother operational structure to ensure rules of origin, documentation and preferential tariff claims are processed efficiently, allowing businesses to benefit from negotiated tariff reductions.
