India has temporarily suspended postal services to the US with air carriers refusing to accept shipments due to lack of clarity on the new norms issued by the American Customs Department, the Ministry of Communications said on Saturday.
However, services will continue for letters, documents and gift items up to $100. Under an Executive Order issued by the US administration on July 30, goods valued above $100 will be subject to Customs duties in America with effect from August 29.
APPROVAL PROCESS
As per the Executive Order, transport carriers delivering shipments through the international postal network, or other “qualified parties” approved by the US Customs and Border Protection (CBP), are required to collect and remit duties on postal shipments.
“While the CBP issued certain guidelines on August 15, several critical processes relating to the designation of “qualified parties” and mechanisms for duty collection and remittance remain undefined. Consequently, US-bound air carriers have expressed their inability to accept postal consignments after August 25, citing lack of operational and technical readiness,” a statement from the Ministry said.
Following the development, the “Department of Posts has decided to temporarily suspend booking of all types of postal articles,” destined for the US with effect from August 25, except letters/documents and gift items up to $100 in value, it said.
“These exempt categories will continue to be accepted and conveyed to the US, subject to further clarifications from the CBP and the USPS,” the statement said.
Source: businessline
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