Streamlining Trade: India's Customs Process Automation

“Indirect Tax I Indirect Tax Litigation I Customs & FTP I Central Licensing I Arbitration I Advisory”

Dated: 04.02.2026

“Advancing Trade Facilitation: Automation of Customs Processes and Integration”

Summary: The Government of India, through the Central Board of Indirect Taxes & Customs (CBIC), has introduced significant measures to enhance trade facilitation, transparency, and ease of doing business. Circular No. 05/2026-Customs focuses on the integration of additional Partner Government Agencies (PGAs) into the SWIFT 2.0 platform, creating a single touchpoint for EXIM clearances. Circular No. 06/2026-Customs introduces automation in customs processes for imports and exports, including auto goods registration, auto out-of-charge, and auto let export order (LEO). These initiatives aim to reduce physical interactions, streamline processes, and improve efficiency, aligning with the government’s vision of a seamless and transparent trade ecosystem.

Government’s Intent:

To deepen the scope of SWIFT 2.0 by onboarding more PGAs, including CDSCO, WCCB, MeitY, and the Textile Committee, for unified EXIM clearances.
To automate customs processes for imports and exports, minimizing physical interactions and enhancing transparency.
To promote trade facilitation, reduce dwell time, and improve the ease of doing business for stakeholders.

Ease of Doing Business Vision:

The integration of PGAs into SWIFT 2.0 provides a single-window clearance system, reducing the complexity and time required for EXIM processes.
Automation of customs processes eliminates manual interventions, ensuring faster and more efficient clearance of goods.
Digital monitoring and risk-based evaluation enhance transparency and predictability, fostering trust between trade stakeholders and the government.

Key Features of Circular No. 05/2026-Customs:

SWIFT 2.0 Expansion:
- Onboarding of CDSCO, WCCB, MeitY, and Textile Committee as Partner Government Agencies (PGAs).
- Integration of PGA-issued Licences, Permits, Certificates, and Other Documents (LPCOs) into SWIFT 2.0.
- Digital processing of certificates like Concessional Rate of Customs Duty Certificates (CCDC) and Compulsory Registration Order (CRO) exemption certificates.
Unified Applications for NOC Processing:
- AQCS, PQMS, and FSSAI unified applications are live for NOC processing at designated ports.
- PGA officers collocated onto Indian Customs IT infrastructure for streamlined processing.
Stakeholder Feedback and Phased Rollout:
- Stakeholder feedback to be captured before mandatory rollout.
- Complete integration of five PGAs (FSSAI, AQCS, PQMS, WCCB, and CDSCO) by 31.03.2026.
- All PGAs to be onboarded by 31.03.2027.

Key Features of Circular No. 06/2026-Customs:

Automation in Imports:
- Auto goods registration for AEO T2 & T3 entities, eligible manufacturer importers, longstanding supply chain importers, and DPD importers.
- Auto out-of-charge for importers with no compliance requirements and duty paid.
Automation in Exports:
- Online goods registration for exporters to eliminate physical interaction and reduce delays.
- Pilot project for e-seal-based auto goods registration at Nhava Sheva, Mumbai, with phased rollout to other ports.
Auto Let Export Order (LEO):
- Automatic LEO for facilitated shipping bills meeting risk-based criteria, such as no examination/assessment, no PGA-related NOC, and duty/cess paid.
Risk-Based Evaluation:
- Both auto out-of-charge and auto LEO granted based on risk evaluation, with officers retaining the ability to override via “HOLD” in Customs Systems.

Conclusion:

The circulars align with the Customs Act, 1962, and related rules, ensuring compliance with legal frameworks while promoting trade facilitation.
The integration of PGAs and automation of customs processes reflect the government’s commitment to reducing regulatory burdens and enhancing efficiency in international trade.
The phased rollout and stakeholder feedback mechanisms ensure a smooth transition to the new systems, minimizing disruptions and legal challenges.

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Source: Union Budget 2026-2027,CBIC

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