Full range naphtha
Full range naphtha, light petroleum oils and preparations
HSN 2710 12 29 (Full range naphtha) is subject to Petroleum and Explosives Safety Organisation (PESO) licensing under the Petroleum Rules, 2002 for import, transport, and storage of Class A petroleum products. The tariff line is Free under the ITC (HS) import policy per DGFT Notification 51/2015-20 dated 18 March 2020, but import is permitted only through Ministry of Shipping-approved ports declared as customs ports.
- Petroleum import licence from PESO
- Approved-port declaration to CBIC
- Container-specification compliance from importer
Procedural directions for customs clearance are issued by: Directorate General of Foreign Trade.
- 1Obtain a petroleum import licence from the Chief Controller of Explosives, Petroleum and Explosive Safety Organisation (PESO), Nagpur, covering the import, transport, and storage of Class A petroleum products including naphtha before the bill of entry is filed.Petroleum Rules, 2002 · DGFT Notification 51/2015-20 dated 18-03-2020
- 2Route the consignment only through a port or place approved by the Ministry of Shipping in consultation with the Chief Controller and declared as a customs port for petroleum imports. Arrival at an unapproved port renders the consignment liable to detention and seizure.Petroleum Rules, 2002 (port approval provisions)
- 3Ensure all containers used for storing the imported 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 error on this tariff line is misdeclaration of full range naphtha as low aromatic white spirit, hydrocarbon solvents, or Industrial Mixture Composition Plus (IMPS) to circumvent Class A petroleum licensing. The Directorate of Revenue Intelligence has flagged this pattern under DRI Alert Circular 02/2020-CI dated 23 April 2020; customs officers apply enhanced scrutiny to light-oil consignments with ambiguous composition declarations, and a confirmed misdeclaration attracts confiscation and monetary penalty under the Customs Act, 1962 in addition to PESO licensing consequences.