Question 1

What is the difference between FCL and LCL sea freight?

Accepted Answer

FCL (Full Container Load) means renting an entire 20-ft or 40-ft container exclusively for one shipper's cargo; ideal for shipments exceeding 10-12 tons. LCL (Less than Container Load) consolidates cargo from multiple shippers into one container, reducing per-unit cost; suitable for smaller shipments under 5 tons. FCL offers faster transit, lower risk of cargo mix-up, and fixed freight rates; LCL is economical for small exporters but involves longer port-side handling and potential delays during consolidation/deconsolidation.

Question 2

How long does sea freight clearance take at Indian ports?

Accepted Answer

Standard sea freight clearance at Indian ports typically takes 3-7 days for routine shipments after vessel discharge. If Customs selects shipment for physical examination under Risk Management rules, clearance may extend to 10-15 days. Perishable goods (marked PERISHABLE by exporter) get priority and clear within 24-48 hours. Delays occur if documentation is incomplete, duties are unpaid, or products require third-party inspection. Free holding period at port is 3-7 days; beyond that, demurrage charges of ₹500-₹2,000 per container per day apply.

Question 3

What documents must be filed via ICEGATE for sea freight exports?

Accepted Answer

Exporter must file the Shipping Bill (SB-1 for exports or SB-2 for re-exports) via ICEGATE linked to CBIC systems. The Shipping Bill includes: IEC number, shipping line/NVOCC name, Bill of Lading details, HS codes, product descriptions, invoice value, GST details, and destination country. Additionally, export returns must be filed within 180 days of cargo shipment to confirm actual export and claim duty benefits under RoDTEP or legacy MEIS schemes. Freight forwarder can file these documents on behalf of exporter with Power of Attorney authorization.

Question 4

Are there penalties for late or incorrect Shipping Bill filing?

Accepted Answer

Yes. Under Section 112 of the Customs Act, 1962, failure to file Shipping Bill within prescribed timelines (typically 30 days before shipment) or filing incomplete/incorrect Shipping Bills incurs penalties of ₹5,000-₹25,000. If export returns are not filed within 180 days after shipment, Customs may cancel the Shipping Bill and initiate legal proceedings. Additionally, misdeclaration of HS codes or undervaluation attracts penalties of ₹10,000-₹50,000 or 10%-25% of assessable value per Section 114, whichever is higher.

Question 5

What is the validity of IEC for sea freight operations?

Accepted Answer

IEC (Importer Exporter Code) issued by DGFT has no expiration date, meaning it remains valid indefinitely as long as the exporter files GST returns (or nil returns if inactive) and does not violate export-import regulations. However, if an exporter remains completely inactive for over 2 years without filing any shipping bills or import documents, DGFT may mark the IEC as dormant and require reactivation with fresh application. Active IEC holders can undertake unlimited sea freight shipments without renewal; only freight forwarders (RCMC holders) require 5-yearly renewal of their RCMC certificate.

Package	Price	Details
LCL (per CBM)	On quote	Origin to destination
FCL 20ft	On quote	Port to port

Sea Freight (FCL/LCL)

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