Heavy naphtha
Heavy naphtha, petroleum light oils and preparations
HSN 2710 12 22 (Heavy naphtha) is subject to Petroleum and Explosives Safety Organisation (PESO) licensing under the Petroleum Rules, 2002, which mandates a licence from the Chief Controller of Explosives for the import, transport, and storage of Class A petroleum products. The tariff line is Free under the ITC (HS) import policy administered by the Directorate General of Foreign Trade (DGFT), and import by sea or land is restricted to ports approved by the Ministry of Shipping and declared as customs ports by the Commissioner of Customs.
- Petroleum import licence from PESO
- Approved-port declaration to CBIC
- ITC (HS) policy compliance from DGFT
Procedural directions for customs clearance are issued by: Directorate General of Foreign Trade.
- 1Obtain a licence from the Chief Controller of Explosives, Petroleum and Explosive Safety Organization (PESA), Nagpur, covering the import, transport, and storage of Class A petroleum products before the consignment is dispatched. The licence must be current at the bill-of-entry stage.Petroleum Rules, 2002 · DGFT Notification 51/2015-20 dated 18-03-2020
- 2Route the consignment exclusively through a port approved by the Ministry of Shipping in consultation with the Chief Controller and declared as a customs port by the Commissioner of Customs. Import through any unapproved port renders the consignment liable to seizure under the Petroleum Rules, 2002.Petroleum Rules, 2002 (port-of-import provision)
- 3Confirm that all containers used for storing the imported heavy naphtha conform to the specifications prescribed under Rules 4, 5, and 6 of the Petroleum Rules, 2002. Non-conforming containers constitute a licence violation independent of the import clearance.Rules 4, 5 and 6 of the Petroleum Rules, 2002
The most frequent compliance failure on this tariff line is misdeclaration of heavy naphtha as low aromatic white spirit, hydrocarbon solvents, or Industrial Mixture Composition Plus (IMPS) to circumvent PESO licensing requirements. The Directorate of Revenue Intelligence has flagged this pattern in DRI Alert Circular 02/2020-CI dated 23-04-2020; consignments suspected of misdeclaration are subject to seizure, confiscation, and criminal liability under the Petroleum Rules, 2002, independent of any duty consequences.