Understanding Export General Manifest (EGM) Procedures And Differences

What is Export General Manifest (EGM) in Export?

Any commercial shipment entering or leaving the country requires specific customs clearance to ensure compliance with government regulations. To this end, exporters must obtain and present a few documents per the Customs Act 1962. 

The list of documents usually depends on the type of goods being shipped, mode of shipping, country of origin and destination country. The Export General Manifest (EGM) is a vital shipping document obtained before exporting goods from the port.

Definition and Importance of Export General Manifest in Export

Export General Manifest (EGM) is a document filed by the carrier or its agent with the customs authorities detailing the particulars of all shipments onboard a vessel or aircraft. It includes information such as the shipper's name, consignee's name, description of goods, quantity, and destination. 

EGM plays a crucial role in customs clearance, serving as proof of export and providing vital information for regulatory purposes.

EGM as Proof of Export and its Role in Customs Clearance

EGM proves that goods have been exported from a particular country. Customs authorities rely on EGM to verify the legitimacy of exports and ensure compliance with export regulations. 

With a valid EGM, goods may be on time or even be denied clearance at the destination port.

Mandatory Nature of EGM Filing for Carriers

Under each country's Customs Act, carriers must file an EGM. This legal requirement aims to ensure transparency in international trade and facilitate efficient customs procedures. Please file an EGM to avoid penalties and delays in cargo clearance.

Timing and Location for EGM Submission

EGM must be submitted to customs authorities before the vessel or aircraft carrying the goods departs. 

The exact timing and location for EGM submission may vary depending on the country and the mode of transportation. Exporters and carriers must adhere to the specified deadlines and procedures to avoid any disruptions in the export process.

Have you got the basics down? That's good because there's more to EGM than meets the eye. Let's unravel the conditions tied to filing this critical document.

Conditions for Filing an EGM

When filing an Export General Manifest (EGM), certain conditions must be adhered to:

• Legally Binding Declaration: The EGM is a legally binding declaration that requires the signatory (agent/person-in-charge) to sign a statement verifying the truthfulness of its contents.
• Approval for Amendments: The EGM report can be amended if the customs officer is satisfied with the information provided and finds no fraudulent intention.
• Fee for Amendment: The fee for amending the Export General Manifest is payable under regulation 3 of the Levy of Fees (Customs Act).
• Penalties for Incorrect Declaration: Any incorrect declaration in the document can result in the agent being punished under Sec-117 of the Customs Act.

Navigating the specifics of EGM filing requires attention to detail. With Pazago’s platform, exporters can demystify these conditions, minimising the risk of penalties.

Now that we know the dos and don'ts of EGM filing, let's walk through the steps to get this vital document in order.

Procedures for Filing EGM

1. Legal Requirement under the Customs Act, 1962

• The declaration to be filed under Section 41 of the Customs Act 1962 is an Export Report for exports by land and an Export General Manifest for exports by sea.
• This declaration is a statutory requirement, and every ship leaving Indian waters with cargo must deliver this document.

2. Declaration Must Be Filed Before the Departure of the Vessel

• The purpose of filing an EGM is to ensure that all goods leaving Indian territorial waters are duly accounted for.
• It also ensures all obligations imposed on the vessel's master or steamer agents under Secs. 41 and 42 of the Customs Act are fulfilled.

3. Responsibility Lies with the Person in Charge of the Vessel

• The exporter or their agent completes the customs clearance process by submitting the shipping bill and other documents.
• They then hand over the cargo to the carrier, who files an Export General Manifest with the customs, defining the export according to the data provided in the shipping bill.

4. Options for Agents to File on Behalf of the Primary Responsible Party

• Agents can file the EGM on behalf of the primary responsible party, ensuring that the filing process is efficient and compliant with legal requirements.

5. Amendment and Supplementation Provisions for the EGM

• In case of any amendments or supplementary information required for the EGM, provisions are in place to accommodate these changes by paying a fee.
• This ensures that the EGM remains accurate and up-to-date throughout the export process.

The filing process can be intricate and time-consuming. Understanding and adhering to these legal requirements can be daunting. Pazago provides expert guidance and services to ensure your EGM filing is accurate and compliant.

You know the 'what' and 'how', but do you know the 'who'? Strap in as we reveal the players responsible for filing EGM.

Who Files Export General Manifest?

Responsibility of Filing

The filing of the Export General Manifest (EGM) is the responsibility of the person in charge of the vessel or aircraft.

Agent Filing

• Section 148 of the Customs Act allows the filing by the agent of the person in charge, who must be accepted as such by a proper officer.
• Agents representing the person in charge become liable to fulfil the obligations and face penalties in case of non-compliance.

Timing of Filing

• The person in charge or their agent must file the EGM before the carrier departs. The EGM must be submitted within seven days of the vessel's departure. 
• The proper officer may grant an extension if the carrier's agent provides adequate security and surety.

Ways of Filing

• The carrier can electronically forward the EGM to the Customs EDI system.
• A manual EGM and the exporter's copies of the shipping bills must also be filed.
• The export department files the manual EGM in their register, and the carrier receives an acknowledgement mentioning the date and time of receipt.

Verification and Legal Implications

• The signatory, whether the person in charge or their agent, verifies the truthfulness of the EGM's contents, making it a legally binding declaration.
• The Customs Act allows amendments or supplements to the EGM, provided no fraudulent intent exists.
• False declarations or failure to file the EGM can lead to punishments under the Customs Act.

Delegating these responsibilities to a trusted platform like Pazago can reduce errors and ensure compliance, making the agent's role smoother and more efficient.

All right, we've addressed who is responsible for filing the EGM. Next, let's crack open the document and see what's inside.

Contents and Format of an EGM

An Export General Manifest (EGM) is filed and issued based on the Export Manifest (Vessels) Regulations, 1976. These regulations consist of the following four EGM forms:

• Form I: This includes the general declaration.
• Form II: Contains the passenger manifest.
• Form III: For vessels, it contains a list of private property in possession of the master, officers, and crew; for aircraft, it provides the cargo manifest.
• Form IV: Provides the list of private property of the captain and crew for aircraft shipments.

Details Included in a Cargo Manifest

• Port of destination, vessel name, captain’s name
• Description of goods, number, and marks on packages
• Consignor and consignee particulars
• Shipping bill number
• Lighthouse certificate and port dues receipt numbers

Details Included in the Private Properties Form

• Particulars of the vessel, arrival from and departure to, total number of crew
• Name and designation of crew
• Particulars of currency and traveler’s cheques

Passenger Manifest Form

• General particulars like name of the vessel, rotation number, name of the captain, agents, arrival from, and date of arrival
• Vessel’s currency upon arrival and the amount taken on board
• Particulars of dangerous drugs and wireless apparatus on board

Filing and presenting an Export General Manifest is crucial to validate export in compliance with the Customs Act (1962). 

Other mandatory documents, such as the IEC, AD code, and Importer of Record (IoR), are also required at different export stages from India.

With our brains full of EGM components, it's the perfect time to compare EGM to the shipping bill and spot the differences.

Comparison between EGM and Shipping Bill

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After dissecting EGM and shipping bills, let's zoom out and look at how EGM fits into the bigger picture of the entire export process.

EGM and Export Operations

Navigating the world of exports can be as complex as a game of chess. Let's explore how EGM impacts the export process and different players' roles in this strategic game.

Impact of EGM on Customs Clearance and Export Process Flow

The EGM isn't just another piece of paperwork; the linchpin ensures smooth customs clearance. Accurately detailing the cargo on board helps customs authorities verify the goods being exported, which means faster clearance and a smoother export flow. Think of it as the green light that gets your goods moving.

Exporters' and Carriers' Responsibilities in the Context of EGM

In the export game, both exporters and carriers have crucial roles. Exporters must ensure the EGM is filed accurately and on time, while carriers must submit the manifest to customs. 

It's a team effort, with each player ensuring that the cargo's journey is seamless and compliant. It's like a well-orchestrated symphony, with each instrument playing its part perfectly.

The Interplay Between EGM, Shipping Bills, and Cargo Manifest

The EGM doesn't work in isolation; it's part of a trio that includes shipping bills and the cargo manifest. The shipping bill initiates the export process, while the cargo manifest lists the cargo details. 

The EGM ties it all together, ensuring the cargo matches what was declared. It's like a puzzle where each piece fits perfectly, completing the export picture.

Adopting a platform like Pazago can coherence the complex interplay of EGM, shipping bills, and cargo manifest and significantly streamline the export process to ensure a harmonious operation.

FAQs About Export General Manifest (EGM)

Who is responsible for filing the EGM?

The carrier or shipping agent is responsible for filing the EGM.

When should the EGM be filed?

It must be filed after loading the cargo and before the vessel's departure within 7 days.

What happens if the EGM is not filed or is incorrect?

Incorrect or missing EGMs can cause departure delays and penalties from customs authorities.

Can the EGM be amended once filed?

Amendments are allowed but must be completed before the vessel departs.

What information does the EGM contain?

The EGM contains details of all cargo loaded onto the vessel, including description, quantity, weight, packaging, destination, and identifiers.

How is documentation control managed for the EGM?

The carrier or their agent handles EGM documentation, generating and submitting it to customs authorities while maintaining accurate cargo records.

Conclusion

The Export General Manifest (EGM) is the linchpin of successful international trade. It ensures smooth customs clearance and efficient export operations. It's not just a document; it's your passport to the global market. 

By understanding EGM procedures, exporters and carriers can easily navigate the complexities of shipping. Embrace the power of EGM, and watch your exports sail smoothly towards their global destinations.

As the global market becomes increasingly accessible, leveraging a platform like Pazago can be your strategic advantage in ensuring smooth customs clearance and efficient export operations.