End in sight for Customs-SEZ standoff

KOCHI: The conflict between the Customs and the Special Economic Zone (SEZ)  authorities over the inspection of containers transshipped via the International Container Transshipment Terminal might just come  to an end soon with the Union Government moving towards a solution that will  entrust SEZ for the entire transshipment activity.The Customs and the SEZ authorities have been at loggerheads ever since the     commissioning of the ICTT.The Customs is of the opinion that they must be   permitted to inspect the transshipment cargo but this was not acceptable to  the SEZ authorities. The SEZ authorities have been sticking to their stand   that entry to an area governed under the SEZ Act is restricted by the SEZ Development Commissioner and Customs cannot be allowed for inspection of  transshipment containers.With the issue remaining unsolved and affecting movement of vessels at the  terminal, the Prime Ministers’ Office had intervened in January. The Prime  Minister had directed various departments to ensure that procedural issues  do not come in the way of the ICTT becoming a global cargo hub, the first of its kind in the country.At a meeting chaired by secretary to Prime Minister, it was decided that transshipment activities be brought under SEZ. The mode of implementation is being framed. In any case, it will put in place by March, Union Shipping secretary K Mohandas told ‘Express’.The conflict between the Customs and the SEZ had even affected the scheduled departure of vessels after the Customs officials insisted inspection seal of  every containers. According to Customs authorities, the restrictions imposed on them for checking the consignments at the Vallarpadam International Container Transshipment Terminal would become an advantage for smugglers and  could also be a threat to the national security.The SEZ authorities also stuck on to their stand that entry to an area governed under the SEZ Act is restricted by the SEZ Development Commissioner and the Customs cannot be allowed for inspection of transshipment containers.The Customs authorities on November 18, 2011, had blocked the transshipment of 60 containers brought from Tutricorin. The Customs offloaded the  containers from the mainline vessel ‘Turungia Express’ which had to leave   Kochi after a delay of a few hours without carrying the detained containers. Later, these containers were carried by a specially chartered vessel.