Understanding SCMTR and Its Role in Simplifying Freight Forwarding

The logistics industry in India witnessed a transformative change with the introduction of the Sea Cargo Manifest & Transhipment Regulations (SCMTR), implemented by the Central Board of Indirect Taxes and Customs (CBIC) on August 1, 2019. These regulations aimed to streamline the customs clearance process and ensure adherence to international trade standards.

In this blog, we’ll break down SCMTR, understand its significance, and explore how advanced solutions like Logi-Sys can help businesses adapt to these regulations efficiently.

The SCMTR was introduced to regulate the timelines for filing cargo manifests for goods moving to or from Indian ports. It requires all stakeholders—shipping lines, importers, and exporters—to file precise cargo information within defined timelines:

• Departure Manifest: Export manifests must be filed with Indian Customs before a vessel departs from an Indian port of loading.

• Arrival Manifest: Import manifests must be filed before a vessel leaves the last foreign port of call.

By ensuring timely submission of these manifests, SCMTR reduces delays in customs clearance and enhances data accuracy.

Freight forwarders act as intermediaries between shippers and service providers such as trucking companies, ocean carriers, and customs brokers. To ensure the smooth movement of goods, they handle complex logistics tasks, including filing Cargo Summary Notifications (CSN) via the ICEGATE portal.

This process involves submitting cargo details to customs before the entry or exit of a shipment. However, manually managing such filings can be cumbersome and prone to errors, leading to delays and penalties.

Freight forwarders and logistics service providers (LSPs) can significantly benefit from Logi-Sys, an advanced logistics software designed to automate and simplify SCMTR-related tasks. Here’s how Logi-Sys enhances efficiency:

• Auto-Population of SCMTR Details: Manual data entry can be time-consuming and error-prone. Logi-Sys automatically populates SCMTR details, reducing the risk of inaccuracies.

• Seamless CSN Generation: Generate the Cargo Summary Notification (CSN) with just a few clicks. This ensures timely submissions and hassle-free compliance.

• Integrated Digital Signature Provision: Logi-Sys provides a single-screen experience for digitally signing CSN files, making the process faster and more secure.

• Automated Communication with ICEGATE: Logi-Sys allows users to auto-upload digitally signed CSN files to ICEGATE and ensures the smooth transmission of data.

• CSN Acknowledgment Tracking: The software automatically links acknowledgment numbers received from ICEGATE with the system and sends them to the respective shipping line IDs.

By leveraging Logi-Sys, freight forwarders and LSPs can:

1. Avoid manual errors and delays.

2. Enhance operational efficiency with automated processes.

3. Ensure compliance with SCMTR effortlessly.

4. Save time and resources, enabling teams to focus on core business activities.

The implementation of SCMTR has brought about significant changes in India’s logistics landscape. While it mandates strict compliance, tools like Logi-Sys simplify the process, empowering freight forwarders to navigate the complexities of SCMTR effortlessly.

If you’re looking for a solution to streamline SCMTR filings, Logi-Sys is your go-to platform. To learn more, contact us at business@softlinkglobal.com.

Stay compliant. Stay ahead.