CF-10/1/2021/IR-DoP.
Government of India.
Ministry of Communications
Department of Posts (IR&GB Division)
OFFICE MEMORANDUM
Dak Bhawan, New Delhi-01
Dated: 04.04.2022
Subject: Functions of the Offices handling International Mails- reg.
In order to ensure appropriate nomenclature and proper understanding about the offices dealing with processing of international mails in accordance with the provisions of Foreign Post Manual, the role and functions ot such offices is clarified as tollows for the notice of all concerned:
(i) Office of Exchange (OE) : A post office or sorting office or section which exchanges mails with offices in toreign countries. It makes up and addresses international mails to Office of Exchange in another country, in the role of ‘outward Office of Exchange’ and receives mails from another country addressed to it in the role of ‘inward Office of Exchange.’ An OE may function only as an inward OE or only as an outward OE or both inward and outward for all or some of the countries as authorized. It receives and opens closed bags and makes dispatches to post offices, mail offices and Sub Foreign Post Offices in its jurisdiction and to other Foreign Post Offices.
The Office of Exchange also maintains accounts relating to international mail exchanged with foreign countries, handle inquiries and indemnity cases with Office of Exchange in foreign countries and keeps liaison with carriers - airlines. shipping companies etc.
(ii) Office of Exchange of Transit (Transit OE): In Office of Exchange on the border port or airport which receives and dispatches only closed mail bags addressed to or received from OEs in India and OEs in foreign countries including foreign origin bags received in closed transit and destined to another countries. The transit OE exchanges mail with carriers or officials of foreign postal administration/ designated operator and coordinating with them regularly.
(iii) Foreign Post Offices (FPOs): Foreign Post Office is a post office or sorting office appointed by Customs as Foreign Post Office for the clearance of imported goods or export goods or any class of such goods. Theretore. an FPO is an OE where assessment of Customs Duty (and opening of articles for this purpose) on foreign mails is also carried out. The assessment of customs duty is carried out only for the articles to be delivered by the post offices under the jurisdiction of that FPO. ln case of other articles to be delivered through post offices near other Offices of exchange, such articles are diverted to them tor examination and duty assessment. The FPO maintains all accounts related to customs duty.
(iv) Sub Foreign Post Office (SFPO): A post office where Customs examination, assessment and accounting of Customs Duty takes place but it is not an Office of Exchange. This office does not close or receive bags to or from foreign administrations.
(v) International Business Center (IBC): IBC is a post office or sorting office which provides facilities tor booking, processing, assistance in customs documentation pick up bulk customers of international mail similar to the activities of Business Post Center (BPC)/ Mail Business Center (MBC) in case of domestic mail. IBC may also make direct dispatches to respective Sub Foreign Post Offices/ Foreign Post Offices. IBC can provide nodal delivery of inward mail if the volumes justify the same and it provides delivery advantage over other modes.
(vi) Dak Ghar Niryat Kendras (DNK): A post office designated to facilitate exports by small exporters, MSME etc. through postal channel, providing dedicated booking counters, filling of online customs declaration through Postal Bill of Exports (PBE), provide packaging solutions, guiding the exporters about export benefits and Customs procedures etc. The objective is to expand reach of postal channel for booking of commercial exporters including e-commerce. At least one DNK as proposed to be set up in districts having export potential. Broadly DNK also provides facilities similar to IBC on a smaller scale and eventually IBC will also be covered under the DNK scheme once they start using online Postal Bill of Exports. Accordingly, gist of the broad activities of various types of offices is attached as Annexure -1.
3. Central Board of Indirect Taxes and Customs vide notification No. 31/2017 Customs (N.T) dated 31/03/2017 and No. 103/2018-Customs (N.T.) dated 31/12/2018 notified 28 locations as Foreign Post Offices for the purpose of clearance of imported goods or export goods. Out of these, the offices which are not authorised to exchange mail with foreign countries fall under the category of Sub Foreign Post Office. Non-functional SFPOs will work as IBCs until customs assessment facility commences and the matter will accordingly be taken up with the Customs authorities by the respective Circles to initiate customs assessment. A list of locations with offices in the respective categories is attached as Anneaure-2.
