CBIC standardises Entry Inward and Vessel Sail-out Clearance without mandatory physical boarding
The Central Board of Indirect Taxes & Customs (CBIC) has overhauled the operational framework for handling vessel arrivals and departures at Indian ports through Circular No. 26/2026-Customs dated 15th May, 2026. The circular clarifies that Entry Inward and Vessel Sail-out Clearance must not be tied to physical boarding of vessels by Customs officers, thereby aiming to eliminate unnecessary delays in cargo handling and vessel turnaround.
This policy clarification is grounded in the statutory scheme of the Customs Act, 1962, and leverages the digital regime under SCMTR and e-Sanchit to enable swift and remote grant of clearances.
Background and context
Across several ports, different operational practices had emerged concerning:
- Grant of Entry Inward when a vessel arrives and is berthed, and
- Grant of Sail-out Clearance before a vessel departs.
At some locations, Customs officers were insisting that:
- Entry Inward would be granted only after the vessel was physically boarded and inspected post-berthing, and
- Sail-out Clearance would likewise be issued only after completion of physical boarding formalities.
This linkage between statutory clearances and physical boarding was resulting in:
- Delayed commencement of discharge/loading of cargo, and
- Prolonged vessel stay at port, affecting logistics efficiency and increasing costs.
Recognising the adverse impact on trade facilitation, CBIC has examined the matter and issued a uniform directive to all Customs formations.
Statutory framework under the Customs Act, 1962
Legal basis for Entry Inward and Sail-out Clearance
CBIC has emphasised that the legal provisions governing vessel arrival and departure are distinct from the provisions dealing with boarding of vessels:
- Entry Inward is governed by
Section 30andSection 31of the Customs Act, 1962.