Minutes of Top-25 Importers' Meeting Held on 27.02.2024

~l!(tkl 'fftifligMS (~lqld-1) llST ctSiqffiq -::' t' ' }. __ ,e\·•.,.·,._ •.•.. _ OFFICE OF THE COMMISSIONER OF CUSTOMS (lmport-1) .:etft.:e 'fftif i»JNS 'ltA, citiil ~' 1jq -¥0000, . . • 6'(.'... •: w • ' ,, / ,,/ ... NEW CUSTOM HOUSE, BALLARD ESTATE, MUMBAI 400001 e-mail: Ag 1. mumbai@gov.in F.No. CUS/ AG/MTG/TFC/2/2024-A/G-O/O COMMR-CUS-IMP-1- Date: 19.03.2024 Minutes of Top-25 Importers' Meeting Held on 27.02.2024 Meeting with the Top-25 Importer of Mumbai Customs Zone-I, was held on 27.02.2024 at 12:00 PM in the Conference Hall, 2nd floor, New Custom House, Mumbai. The meeting was chaired by Shri Pramod Kumar Agrawal, Pr. Chief Commissioner of Customs, Mumbai Customs Zone-I. The agenda of the meeting was to discuss trend of revenue for the FY 2023-24, revenue forecast for March 2024 and grievances of the top importers. The following Importers' representatives attended the meeting: s. Name Designation Company /Importer/ Organisation No. (Sh./Smt./Ms.) 1 ~nil Zingade Logistics Head Zoomlion India Private Ltd. 2 Swapnil Pande Manager Sany Heavy Industry 3 Rameshwar Sr. Manager Sany Heavy Industry ' rriwarl 4 Harsh Lapsia Committee BCBA 5 Karunakar s Vice President MACCRA Shetty 6 Gr. Capt G Khan Dy. Commandant Embarkation Hq 7 Gr. Capt AK ~QMG Shipping Embarkation Hq Narula 8 Omprakash Director Nagarkot Forwarders Pvt. Ltd. ~grawal 1 lii

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9 Abhinav Sanghvi Head Tax & Customs Skoda Auto VW India Pvt. Ltd. 10 Venkitachala Chief Manager Aegis Logistics 11 Sasikrishnan MM Dy. General Manager POSCO Group 12 s. Mahesh Head Corp Exim Larsen & Toubro Mahalingam 13 Sameer Sawant Sr. DGM EXIM Larsen & Toubro 14 Dr. Kishor VP Materials & SCM Savita Oil Technologies Ltd Sankhe 15 Kaustubh DGM Materials & SCM Savita Oil Technologies Ltd. Khophar 16 Devdas Chief Executive Exports Supreme Petrochem Ltd Balachandran and Imports 17 Sunil Vice President Laxmi Organic Industries Ltd. 18 Deepak Sr. Manager Exim Gandhar Oil Refinery India Ltd. Burbadkar 19 Mahesh Narvekar Vice-President Panama Petrochem 20 Gopabandhu Chief Manager (Fin) BPCL Mishra 21 Nagendra Pratap Sr. Manager Wellknown Polyester Ltd. 22 Azad Husain Dy. Manager Apar Industries 23 Nitesh Agarwal Executive BPCL 25 Kamal Sharma Sr. Manager Laxmi Organic Industries Ltd. 26 Ashok Karanth GM (Exim) Supreme PetroChem Ltd. 27 Ashok K. Shah C.E.O Kico Steel LLp 28 Sayed Hoidheen Head Import Namco Industries (P) Ltd. 29 Meet Shah L,\ssociate TATA POWER 30 ~mit K. Singh Embarkation HQ 31 Lt Col Viresh Staff Officer Embarkation HQ 32 Shreya Anant Assistant Manager Aegis Logistics Ltd. Mayekar Import 2. The following officers attended the meeting on behalf of the Department. 2

Sr No NAME OF·THE OFFICER DESIGNATION 1. Shri Vivek Pandey Commissioner of Customs (Import-I) 2. Ms. Priya Goel Commissioner of Customs (Import-II) 3. Ms. Hemlata Rai Addi. Commissioner of Customs (PCCO) 4. Shri Mallinath Jeure Addi. Commissioner of Customs (Import-I) 5. Shri Utkarsha uoint Commissioner of Customs (Import-I) 3. At the outset, the representatives of importers introduced themselves and gave brief introduction about their company. After introduction, Commissioner of Customs (Import-I) extended his greetings and welcomed all trade representatives for the yearly meeting of Top-25 Importers' and thanked them for their participation in the meeting. 4. Thereafter, the Chairman addressed the meeting stating that the purpose of the business is th~ welfare of the society and the country as the duty collected will go towards nation building and welfare of the society. The trade and the Department are partners in their duty towards the nation of indirect tax collection. Department is committed for uniform policy and tax rate as well as for the facilitation for the trade. The Chairman further stated that Department believes in Samvad se Samadhan, and emphasised that the trade should treat departmental objections and audits as mutually beneficial exercises, which can be resolved through discussion and dialogue, thereby leading to a more efficient tax administration and participative tax compliance by • the trade. The Government is focusing on the trust based tax administration which is predictable. He invited suggestions, and ideas for facilitation and further improvement in functioning of the Department. 5. Then Commissioner of Customs, Import-I made a Powerpoint presentation showing that the total revenue realised by the Top-25 Importers of this zone is approximately 60% of the total revenue realised by this Zone up to January 2024. That considerable negative growth has been observed for 03 Importers namely M/s. Hindustan Petroleum Corporation Limited (-61 %), M/s. Indian Oil Corporation Limited (-40%) and M/ s. POSCO Maharashtra Steel Private Limited (-13%). In reply representative of M/ s. Hindustan Petroleum informed that they shifted their import to the Mangalore port as the new pipeline from Mangalore to Andhra Pradesh is now functional and covering all the subsidiary units along 3

the way. Shri Sasikrishnan MM, DOM, M/s. POSCO Maharashtra informed that they only import HR Coil which is used by automobile makers and due to slowdown in demand in the domestic market their imports have reduced. No one from the M/s. Indian Oil Corporation Limited attended the meeting. 6. Further, Commissioner of Customs, Import-I informed that the 05 Importers which were in the list of Top 25 Importers in the FY 2022-23 but are not figuring in this year's list. They are M/ s. Larsen and Toubro Limited, M/ s. Thyssenkrupp Electrical Steel India Private Limited, M/s. Embarkation Headquarters, M/s. Rashtriya Chemical and Fertilizers Limited and M/s. Raj Petro Specialities Private Limited. Shri S. Mahesh Mahalingam, Head of Corporate EXIM of M/ s. Larsen and Toubro Limited, stated that they mainly import Capital Goods and their main project was the High speed rail line and Trans-harbour Line for which import of machinery is complete, hence their imports have declined in this financial year. However, imports shall pick up in the next financial year due to import of tunnel boring machines to be used for projects in Mumbai. Deputy Commandant of M/ s. Embarkation Headquarter stated that some of their containerised cargo is being imported through Nhava Sheva. However, they have still witnessed a positive growth in revenue. No one from M / s. Thyssenkrupp Electrical Steel India Private Limited, M/s. Rashtriya Chemical & Fertilizers Limited and M/s. Raj Petro Specialities Private Limited attended the meeting. 7. Thereafter Commissioner of Customs, Import-I explained the revenue trend analysis of Top Importers in comparison to the last financial year. The importers mainly showing a negative trend were requested to explain the reasons for the negative trend. In reply M/s. Savita Oil Technologies Limited explained that due to value fluctuation in the international market and geo-political issues their imports have declined. However, the company would cover up in the upcoming months. M/s. Supreme Petrochem Limited reiterated the same reason and stated that they would also cover up in the coming months. M/s. Sany Heavy Industry India 4

Private Limited explained that due to international and geo-political issues their imports declined for this financial year. M/ s. Gandhar Oil Refinery India Limited, M/s. Laxmi Organic Industries Limited and M/s. Tata Power Company Limited also gave the same reason as above. 8. Further Commissioner of Customs, Import-I informed that M/ s. Ashtavinayak Crane, M/s. Angoor Crane, M/s. Dweep International and M/s. Hexanox International are amongst those importers, who have made late duty payment on regular basis. In reply representative of some importers explained that due to delay in vessel arrival, fund issues and due to ex-bond bills of entry issue there have been some instances of delayed duty payment and same would be rectified in coming months. 9. Afterwards, Commissioner of Customs, Import-I informed about the trade facilitation measures taken by the Mumbai Customs Zone-I. He informed the gathering that as on date Mumbai Zone - I has conducted 11 PTFC meetings and 10 CCFC meetings; 03 PNs have been issued on issues of Container Scanning, BIS Clarification and Liquid Bulk Cargo; AEO awareness webinar has been conducted on 25.08.2023 and AEO Outreach Programme on 05.09.2023; BIS Training/Seminar conducted on 18.01.2023 and training on IPR has been conducted on 07.02.2024; Review Meeting with Chartered Engineers has been conducted on 27.10.2023; ·Meeting with PGAs has been conducted on 20.10.2023; Training on EPR and Waste Management has been conducted on 18.12.2023; Monthly meetings with CRCL officers to ensure faster testing are being conducted; International Customs day celebration has been organised on 27-01-2024 in which various partners were felicitated. Under Project Prayatna of Import-1, students and faculty of 09 prominent schools and college across Mumbai have visited the NCH and Mumbai port and they have been made aware about Swachhta and role of Customs. Further he informed the gathering that Customs would be conducting programmes under the theme "Customs Engaging Traditional and New Partners with Purpose", as part of yearlong WCO theme. Thereafter, the Chairman asked the representatives if anyone wanted to discuss or submit any problem/ grievance: 10. Dr. Kishor Sankhe, VP Materials M/s. Savita Oil Technologies Limited informed that they are the importers of base oil. He informed the chair regarding 5

ambiguity in standards being used for confirmation of Paraffinic base oil and Napthalene base oil, at the time of testing, due to which consignments were getting delayed. In reply, the Chairman stated that he was aware of the mail which was sent to BIS officials by the importers. He directed the Chemical Examiner to obtain suitable clarification from Chief Examiner. Further, Commissioner of Customs (Import-II) was requested to look into the matter. 11. Shri Sameer Sanghvi, Director, M/ s. C N Sanghvi & Co. raised an issue that at the time of clearance of steel commodities. NOC is being asked for every consignment even though the supplier, commodity and the importer is same due to NCTC /RMS instruction. The Chairman told Shri Sanghvi to submit a letter in this regard. 12. Shri Kishor Sankhe, VP, Materials of M/ s. Savita Oil Technologies Limited stated that at times Mumbai port is not able to provide berth to vessels due to which they are compelled to divert their vessel to JNPT or Hazira. In-reply the Chairman told Shri Sankhe to give port related issues in writing so that the same could be taken up with MbPA. 13. Shri Rameshwar Tiwari, Sr. Manager of M/s. Sany Heavy Industry India Private Limited stated that there is continuous theft issue in MbPA; that the small parts like screw, rod, spring, etc. get stolen after unloading of the goods. They have to import that particular machine part again and until the said part is received the production from that machine is stalled. In reply the Chairman told Shri Tiwari to give port related issues in writing so that the same could be taken up with MbPA. 14. Shri S. Mahesh Mahalingam, Head Corp EXIM of M / s. Larsen and Toubro Limited stated that they have to take NOC on every invoice even though the goods covered in different invoice is of single purchase order and the steel ministry is issued NOC only twice each month. In reply the Chairman told Shri Mahalingam to give requisite details and directed the Commissioner of Customs (Import-I) to take up the matter with Steel Ministry. 15. Shri S. Mahesh Mahalingam, Head Corp EXIM of M/ s. Larsen and Toubro Limited stated that in relation to Mumbai Port Trust, in case of damage to imported goods, a landing remark certificate is needed so that they can claim 6

insurance for the damage. However, there is reluctance on part of MbPA in issuing such a certificate. In reply the Chairman told Shri Mahalingam to give port related issues in writing so that the same could be taken up with MbPA. 16. Shri Anil Zingade, Logistics Head, M/ s. Zoomilion India Private Limited and Shri Om Prakash Agarwal, M/s. Nagarkot Forwarders Private Limited requested for increment of demurrage free time by Mumbai Port Trust and also requested for increase in parking space for cars to be exported/imported from Mumbai port. In reply the Chairman told Shri Zingade to give port related issues in writing so that the same could be taken up with MbPA. 17. Shri Gopabandhu Mishra, Chief Manager, M/s. BPCL stated that they are AEO-III status holder. However, they were downgraded to AEO-11 status due to one instance of delayed duty payment. Due to this they are no more eligible for deferred duty payment. They have requested for reinstatement of their AEO-III status so that they could avail the benefits of the same. In reply the Chairman told Shri Mishra to give his request in writing and directed the Commissioner of Customs, Import-II to resolve the issue. 18. Shri Gopabandhu Mishra, Chief Manager, M/s. BPCL stated another issue that the Mumbai Customs is taking bond on the assessable value while other Custom Stations are taking bond on duty amount. In reply the Chairman told Shri Mishra to provide the details in writing along with the procedure followed in other Customs Station and directed the Commissioner of Customs, Import-II to look into the issue. 19. Shri Ashok K Shah, CEO, M/ s. Kico Steel LLP stated that. Mumbai Port Authority assigns demurrage free period on the basis of multiple slabs which are categorised based on the tonnage imported. However, for steel consignments, the manufacturer has about 5% plus/minus weight tolerance. In case the actual import comes out to be little less than the quantity ordered, the demurrage free days available to the importer comes down drastically. ~his makes the importer liable to pay extra demurrage charges, hence it was requested that some tonnage tolerance may be allowed by the port authority. In reply the Chairman told Shri Shah to give port related issues in writing so that the same could be taken up with MbPA. 7

Shri Milan Soni, M/ s. Jaguar Land Rover, stated that they have filed a SAD refund in 2017 and a refund of excess duty payment. However, the same is still pending with the Department. In reply the Chairman directed the Commissioner of Customs, Import-II to look into the matter. 21. The Chairman requested all the participants to submit their grievances in writing by the evening so that the same could be taken up for resolution. The meeting concluded with a vote of thanks to the Chairman and all the representatives. This issues with the approval of Commissioner of Customs, Import-I. Copy to: ct<a.\ 0 -A (Mallinath K. Jeure) Addi. Commissioner of Customs Appraising (General), Import-I NCH, Zone-I

1. PS to Pr. Chief Commissioner of Customs, Zone-I, NCH, Mumbai for information.
2. The Commissioner of Customs (Import - I, Import-II), NCH, Mumbai
3. The Addi. Commissioner of Customs, (Import-I&II), NCH, Mumbai.
4. The Asst./Dy. Commissioner of Customs, (Import-I&Il), NCH, Mumbai. s. The Asst./Dy. Commissioner of Customs, EDI, for uploading on the Customs website.
5. All the members of trade (Top 25 Importer and other) th:rough E-mail.
6. Office Copy.