CBIC Publishes 2024 NTRS For Trade & Logistics Efficiency

The National Time Release Study (NTRS) 2024, conducted by the Central Board of Indirect Taxes and Customs (CBIC), is a pivotal initiative that measures the average time taken for cargo release at India’s key ports. This annual study, now in its fourth edition, provides critical insights into the effectiveness of trade facilitation measures implemented under India’s commitments to the World Trade Organization’s Trade Facilitation Agreement (TFA).

The 2024 study encompasses data from January 1 to 7 and tracks cargo through February 7, 2024, across 15 major customs locations, including seaports, air cargo complexes (ACCs), inland container depots (ICDs), and integrated check posts (ICPs).

Scope and Methodology

The NTRS 2024 analyzed 54,140 Bills of Entry for imports and 70,339 Shipping Bills for exports. It utilized electronic data from the Customs Automated System, ensuring transparency and accuracy. The performance indicator used is Average Release Time (ART), defined as the time from cargo arrival at customs stations to clearance (OOC for imports, departure for exports).

Key Findings: Import Performance

Among the 15 ports surveyed, 9 showed improvement in ART. Notably, ICPs saw a 50% reduction, and ACCs showed a 6% decrease. Factors contributing to improvements include:

• Facilitation levels increased from 82% in 2023 to 85% in 2024.
• AEO uptake rose from 35% to 37%, reducing ART by 42%
• Non-facilitated bill assessment time dropped from 53:07 to 46:33 hours

However, seaports and ICDs saw slight increases in ART due to a 3-day truck strike and delays from PGAs and amendments.

Export Performance

Customs clearance time (Arrival to LEO) improved at ACCs and ICDs. For example:

• ACC ART: 31:31 hours
• ICD ART: 139:21 hours
• Seaport ART: 215:56 hours (logistics bottlenecks post-LEO persist)

Issues affecting export ART include:

• Red Sea crisis disrupting vessel schedules;
• Security and screening delays at ACCs;
• Overbooking and undercapacity of air freight carriers.

Path to Promptness

The study evaluated four key strategies:

• Advance Filing—73% BEs filed in advance.
• Enhanced Facilitation—85% BEs facilitated
• AEO Program—AEO BEs had 42% lower ART
• Direct Port Delivery (DPD)—DPD ART: 74:37 hours vs CFS ART: 92:32 hours

Bills with all three features (Advance, AEO, and Facilitated) saw ART reductions of:

• 46% at Seaports
• 36% at ICDs
• 45% at ACCs.

Challenges and Recommendations

Main challenges identified:

• Delayed Duty Payment – Constituted up to 85% of ART at ICDs.
• High Amendment Rate – 34% of BEs; more in Seaports (45%)
• PGA Delays – PGA BEs took 131:23 hours (Seaports) vs average 87:32 hours

Recommendations:

• Encourage digital payments and deferred duty programs.
• Reduce amendments via training for importers/CHAs.
• Integrate PGAs into Customs risk frameworks.

Case Studies

1. ICD Garhi Harsaru:

• Import ART: 61:12 hours (vs 84:15 for peer ICDs)
• Export ART: 86:16 hours (vs 139:21 hours)

2. Courier Terminal, ACC Bengaluru:

• Import ART: 39:49 hours
• Export ART: 12:47 hours
• Demonstrates top efficiency with 67% advance filings and 90% facilitation.