Customs dept should increase manpower or invest in technology and infrastructure: panel

Ranade said time has come for the Customs department to explore the use of Artificial Intelligence at its terminals to clear consignments, a process that is currently carried out manually.

A panel of senior Customs officials and logistics industry experts called upon private sector importers and exporters to shoulder some of the burden of the enforcement of trade that is the sole responsibility of the department. Dr Ajit Ranade, chief economist at the Aditya Birla Group, said the onus of enforcement must be put on companies. “More and more trade is taking place intra-company. No product today is made in any one country.

Components are shipped from one country to another between units of the same company,” he said. Ranade added that faced with a huge responsibility, the Customs department should increase its manpower or invest in technology and infrastructure. He was among several speakers at a panel discussion organised at the New Customs House in the city on Wednesday to mark 55 years of the Indian Customs Act of 1962.

The session was moderated by Seema Jere Bisht, the Additional Director General, Risk Management Division, Directorate of Revenue and Intelligence.

Others speakers also pointed out the need for reforms in logistics to not be seen solely as the government’s responsibility. “The biggest issue we are facing today is that of a complex business flow. Once cargo is unloaded at JNPT (Jawaharlal Nehru Port Trust), it goes to Bhiwandi and then it is moved to the city because warehousing is cheaper in Bhiwandi. But this is killing the city,” said Neeraj Bansal, the Deputy Chairman, JNPT.

He added that JNPT is working in collaboration with the Mumbai Port Trust to crease warehousing facilities within the port premises.

“Since the industry cannot come to the port, the port is going beyond its conventional role of a facilitator and regulator. We are setting up a barge system between the two ports for the movement of cargo. We need to untie the complex business flow, which is killing the city,” he added.

Ranade said time has come for the Customs department to explore the use of Artificial Intelligence at its terminals to clear consignments, a process that is currently carried out manually.

“Customs enforces 44 different acts, restricts the entry of dangerous items into the country and also collects customs duty. On top of that, everybody is saying, you must reduce time in clearing cargo. That will require a massive increase in infrastructure,” he said.