Understanding SWIFT and e-SANCHIT Systems for Streamlined Customs Procedures

Following the successful rollout of the Goods and Services Tax (GST) in July 2017, the Central Board of Indirect Taxes and Customs (CBIC) has been progressively introducing systems designed to enhance business operations. The CBIC consistently aims to foster simplicity, accountability, consistency, and transparency in the processes for clearing all import and export transactions. As part of these procedural improvements, SWIFT has been launched.

Understanding SWIFT: Single Window Interface for Facilitating Trade

SWIFT, which stands for Single Window Interface for Facilitating Trade, represents a significant initiative by the CBIC aimed at improving the ease of doing business. The concept of a 'Single Window' is crucial for streamlining import and export operations. This system enables importers and exporters to submit all necessary customs clearance documents electronically through one centralized portal. Furthermore, approvals from various regulatory bodies can also be secured online, thereby minimizing direct physical interaction with government agencies and consequently reducing both time and operational costs for businesses.

Introducing e-SANCHIT

SWIFT was initially designed to minimize interactions with various government entities, resulting in savings in both time and expenses. Subsequently, e-SANCHIT was introduced as part of the SWIFT framework to facilitate paperless processing. As an essential component of SWIFT, e-SANCHIT stands for e-storage and computerized handling of indirect tax documents. This system enables traders to submit all necessary supporting documents electronically for obtaining clearances. This removes the requirement for traders to physically engage with Participating Government Agencies (PGAs) to secure various approvals, thereby transforming the entire consignment clearance procedure into a paperless and faceless operation.

Advantages and Characteristics of SWIFT

• Unified Interface: A core attribute of SWIFT is its provision of a singular platform for all import and export dealings. It enables taxpayers to submit a unified electronic 'Integrated Declaration' through the ICEGATE portal. This declaration consolidates all necessary information required for securing diverse clearances from various PGAs.

• Reduced Administrative Burden and Costs: By centralizing the clearance process online, SWIFT eliminates the need for coordination with multiple government agencies, thereby cutting down both time and expenses.

• Enhanced Business Facilitation: The primary objective of SWIFT's implementation is to promote ease of doing business. This is achieved by offering a consolidated platform for all import and export-related services.

• Integration of Participating Government Agencies (PGAs): Previously, imports often necessitated clearances from six key PGAs: Food Safety (FSSAI), Drug Controller, Plant Quarantine, Animal Quarantine, Textile Committee, and Wild Life Crime Control Bureau. With SWIFT, these agencies are now unified under a single digital platform, allowing all required clearances to be obtained online through this integrated system.

Advantages and Characteristics of e-SANCHIT

• Digital Document Submission: e-SANCHIT facilitates the online submission of supporting documents to PGAs via the 'Integrated Declaration.' This comprehensive declaration gathers all data necessary for obtaining clearances from six different government bodies. It can be digitally signed and submitted along with the requisite documents via the ICEGATE portal.

• Accelerated Clearance: The adoption of paperless processing significantly diminishes the need for physical visits to various government departments. This leads to a reduction in costs and an improvement in the overall efficiency of import and export procedures.

Eligibility for Using SWIFT and e-SANCHIT