What is the procedure of Custom Clearance for Export?

April 04, 2022

The Export clearance procedure is an important step while exporting goods from India.

Customs Clearance is the process of authorization of a person or goods by the Customs Department.

The authorization takes place after providing the proper customs clearance documents and after the customs clearance process is complete.
The collection of all the required documents to ensure smooth verification can be termed as the Pre Customs Clearance Process.

Pre-Customs Clearance Process- On Export of Goods

The Pre-Customs Clearance Process demands all the documents related to the transfer of goods.
These documents are submitted by the importer to Customs Department, and the documents are then checked by the Customs House Agent.

Customs Clearance Process For Export

  1. 1. Registration
    An exporter looking to export the goods first needs to obtain a PAN-based Business Identification Number(BIN) from the DGFT(Director-General of Foreign Trade).
  2. 2. Shipping Bills 
    The next step is to successfully process the Shipping Bills.
    The Processing of Shipping Bills is categorized into types:
    • A. EDI
      In this system, the format of the bill and everything else to be submitted is defined by Customs Service Centre. The details are filed through the Customs Service Centre and a checklist is then generated which is then verified by the exporter.
    • B. Non-EDI
      In this system, the details are filed by the Exporter manually in the pre-described format.
  3. 3. Goods Arrival at the Docks
    At the arrival of the goods at the Dock, the authorities check the quantity and quality of goods arrived so as to be forwarded further.
  4. 4. Export Cargo Verification by Customs
    The Export Cargo after passing through all of the above steps is then sent to the Customs Officer for verification.
    The Customs Officer along with the Dock Appraiser examines the shipment and the Customs Officer then hands over the documents to the Dock Appraiser.
  5. 5. Loading of Goods
    The goods are then loaded into containers to make them ready to be transported ahead.
    After all the process at the Customs office, the Customs House agent generates the “Let Export Order” issue to address that the goods are ready and verified to be exported.
    After the final signal, the Goods are then transported to the desired shipping station such as seaport, airport or freight station and then transported.
  6. 6. Generation of Shipping Bills
    The Customs House Agent takes all the documents from the Exporter and the forwarding agent. She/he then verifies the documents and creates a bunch of these documents to complete the Customs Clearance process.
    The Customs House Agent, after receiving the required documents files the Shipping bill from the Customs Online Software at the Customs Office. The software then generates a shipping bill number that is required to be used for the further process
    The Customs House Agent also prepares the main document- Bill of Entry which is then verified and cleared by the Customs Office.

We hope you must have understood each and everything precisely and wish that it will help you whenever required