How Should a Customs House Agent (CHA) Be: A Customs house agent (CHA) is the licensing authority that deals in the clearance of goods at the ports. The agent is responsible for verifying the import and export document and business transactions relating to the departure of the conveyance and keeping a record of each container ship docking at the port.
Customs House Agent (CHA) maintains detailed information on the goods imported or exported through the channel. Goods are itemized with the HS code, and the account is maintained to date.
The government of India provides the CHA license to the entity. The license could be offered temporarily or permanently.
Qualification required becoming Custom Housing Agent (CHA)
- The applicant should have a master’s degree in LLB/MBA or CA.
- A person must hold a pass in Form “G” to participate in the firm as an employee.
- Three years of experience is mandatory to work in customs clearance work.
- Bank-certified assets of Rs.5 Lakhs.
- In case of more applicants apply for the same position, the Commissioner will prioritize the senior and hold a G pass. The Commissioner generally selects an older person with more experience.
Importance of Customs Clearance Process in International Trade
Duties of the Customs Clearance Agent
CHA is fully responsible for the clearance of the Goods at the custom. So every checkpoint has to be secure, and necessary details are maintained to ensure nothing is passing through without proper permission. Custom Clearance Agents must obey government rules and regulations while dealing with the assigned duties.
Customs officers have the full authority to stop the Goods at clearance if they contain suspicious items. Goods can also be frozen at customs without the proper clearance documents. Thus, every import and export company must obey the customs rules to avoid getting their goods seized by the authority.
Authorized Clearances
CHA have to intervene in the goods passing through custom. Import or export of the goods receives clearance from the customs authority following the principles mandate by the government. The principles change whenever the Deputy or assistant commissioner gets an order from the higher authority.
Personal Clearance
Sometimes, personal clearance is given for the particular type of goods imported or exported from the country. The designated employee will have the right to provide personal clearance. However, the document should be checked and duly signed by the Customs agent before allowing the shipment to move ahead.
While giving the personal clearance, the office has to obey the Commissioner’s rules and not follow the individual’s instruction or be influenced by the other senior officers.
The customer offers liable to conduct the inspection independently without threats or false accusations from the duties. Besides, the offers should not decide on any promises, advantages, benefits, or gifts from the officers to clear the goods.
Custom Fees
Custom Housing Agents cannot charge fees more than authorized by the Commissioner. CHA offers to follow the rules while dealing with consignment and process it as per the set regulations.
Conflicts of interest
A former offer cannot represent any matter until the custom offer approves. Only custom offers have the right to make certain decisions and are entirely liable for conflicts of interest.
Thus, the subordinating officers have to report the custom offers about the situation before taking any decision. A final decision should come from the customs officers.
Correct Advice
The Custom housing agent advises the client to make their goods pass through the customer without any restriction. The client has to follow the provisions of the act and regulations of the government to qualify for import and export.
The CHA could be the right person to take the relevant information. The right information could reduce the stress on the client, and the customs authority will clear the cargo or baggage easily.
If the client does not comply with the customs rules, the CHA has to bring that to Deputy or assistant Commissioner.
Fiscal Accountability
Custom Housing Agent (CHA) pays the fund collected as fees and taxes from the client to the government. Clients’ payments should be promptly transferred to the government with the necessary information. CHA is responsible for processing the fund transfer and ensuring no fraud while managing the fund.
Record Keeping
The Custom Housing Agent has to gather the information and maintain the record of each good imported and exported from the custom. The data is recorded precisely without error and shared with government officials whenever required.
According to the rule book, all necessary documents should be presented during the assessment. Also, access to the record should be allowed when government officials ask for the information. Offers do not have the authority to remove or conceal the information. CHA has to maintain the account properly for regular inspections.
Why Do You Need an Import Export Consultant?
Benefits of hiring a Customs House Agent
Personal Clearance
Companies dealing in imports and exports must go through several checkpoints before the goods pass through Customs. In the case of the absence of the document, the customs house agent will stop the consignment at the port.
Your consignment will be seized until you submit the proper documents to the authority. Thus, Personal Clearance offers will assist you in getting the necessary documents and verifying them to comply with government regulations. Additionally, the personal clearance offer will charge the fixed rate applied by the Commissioner.
Professional Advice
The Customs house agent will offer advice to get your import and export of goods to move smoothly from the custom. The agent will be highly knowledgeable and understands the situation very well. The correct guidance will make the procedure easy.
CHA is authorized to provide relevant information to the client for filling out the papers. It will keep you away from the legal provision. If the client is not obeying the legalities of the Customs, then the issue should be brought to the commissioners. The authority will take the final decision on the clearance.
Conclusion
The custom house agent (CHA) should be genuine and reliable as the procedure involves personal attention on every passing consignment. A custom officer should know their duties, and they should conduct their job with 100% transparency.
In the case of a conflict, the customs offers should report the issue to the Commissioner and take the appropriate decision. If you need more information about the CHA, you can consult with the Impexperts team.
