Strait of Hormuz blockade: Govt clears faster rerouting of SEZ export cargo

With cargo shipments getting stuck at ports and being rerouted at sea as the West Asia war continues, the government has issued fresh measures to help exports from Special Economic Zones (SEZs).

The Central Board of Indirect Tax and Customs (CBIC) has issued fresh instructions to handle export cargo from SEZs affected by the disruption in maritime routes due to the closure of the Strait of Hormuz.

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In a recent circular, the CBIC has said that, on the request of the exporter, the shipping bill or export order can be cancelled by the originating SEZ. “Based on such cancellation, customs officer at the gateway port may allow movement of such cargo out of the port for return to the exporter or for re-routing, as appropriate,” it said, adding that there is no need to bring back the containers to the originating SEZ. The custodian at the gateway port shall ensure proper accounting of such cargo.

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The circular underlined that such requests must be processed expeditiously. Further, permission for destuffing or unloading and storage of such cargo at the Customs Bonded Warehouse at the gateway port may be given. Rerouting of the cargo, if requested, may be permitted subject to filing of shipping bills and adherence to other existing legal provisions and procedures, the CBIC has said.

The latest instructions come following representations to the CBIC from trade and field formations seeking a simplified and uniform procedure for handling export cargo originating from SEZ and affected due to disruption in maritime routes.

The CBIC had earlier also clarified that international transhipment officers of both full container load and less than full container load cargo would be permitted from all seaports and international airports, including cases involving transhipment through other customs stations, to help exporters who are facing disruptions from the Strait of Hormuz blockade.

For now, both these instructions of the CBIC remain in force till April 30, 2026.

To help exporters facing challenges in shipments in the current war, the CBIC has been continuously announcing special measures. It had earlier also waived fees for cancellation or amendment of export documents.