The imported goods are under the control of mainly three parties; The customs department of importing country, the carrier of goods and the custodian of cargo. The imported goods at customs bonded area at final destination of importing country is released with the permission of all the three parties only. The customs department issues release order after completion of import customs formalities of importing country. The carrier of cargo (if consolidator involved, both carriers) issues “Delivery Order” after obtaining their dues under the said consignment. The custodian of cargo delivers imported goods to consignee or their order to another party after obtaining custodian charges.
The system supports two ways of dealing with the release of goods:
Releasing goods that have been addressed directly to the bank (e.g. release under an air waybill, B/L Endorsement, CMR or FCR).
Goods are mostly consigned to the bank of the importer. In order for these shipments to be delivered to the importer/drawee, the bank accordingly releases them to the forwarder/carrier.
Shipping Guarantee means a facility where the Bank indemnifies and guarantees the shipping company for the release of goods to the Account Holder without the presentation of the original bill of lading.
Release of goods saves the importer demurrage and storage costs but at the same time the drawee/importer should be aware of his obligation to honor the relative documents when presented, as the goods are already in his possession.
Process of Releasing Goods:
The importer/drawee applies to the bank for the release of the goods and pledges to accept the Collection documents and paid the bill.
The bank issues a release letter/shipping guarantee to the carrier.
Once the original Collection document set is received, the document amount is debited to the importer's account. If a shipping guarantee has been issued, it will be substituted for the original bill of lading.
Upon receipt of the original, the bank reduces the liability booking accordingly an closes the shipping guarantee.
To fulfill the requirements for the release of goods before receiving the collection documents, BCTROG transaction is used.
For Clean Collections, this release of goods transaction is not allowed.
Select it from the menu item[Import Products -> Import Collection -> Main -> Release of Goods].
having to select the relevant menu)
When you have made your changes, click on the ( ) Save function to save all the the data entered in the transaction to the database.