General purpose machinery and spindle oils conforming to standard IS 493
General purpose machinery and spindle oils (IS 493)
HSN 2710 19 76 (General purpose machinery and spindle oils conforming to IS 493) is subject to Petroleum and Explosives Safety Organisation (PESO) licensing under the Petroleum Rules, 2002, administered by the Chief Controller of Explosives. Import is permitted only through ports and places duly approved by the Ministry of Shipping and declared as customs ports by the Commissioner of Customs. Container specifications for storage of Class A, B, or C petroleum products must conform to Rules 4, 5 and 6 of the Petroleum Rules, 2002.
- Import licence from PESO
- Approved-port declaration to CBIC
- Container specification compliance from importer
- 1Obtain a licence from the Chief Controller of Explosives, Petroleum and Explosive Safety Organization (PESA), Nagpur, covering the import, transport and storage of the petroleum product in the applicable class (Class A, B or C) before filing the bill of entry. The licence must correspond to the specific petroleum class of the consignment.Petroleum Rules, 2002 — licensing requirement for Class A/B/C petroleum products
- 2Route the consignment exclusively through a port or place approved by the Ministry of Shipping in consultation with the Chief Controller and declared as a customs port by the Commissioner of Customs. Arrival at an unapproved port renders the consignment liable to seizure under the Petroleum Rules, 2002.Petroleum Rules, 2002 — approved ports/places for import by sea or land
- 3Ensure that all containers used for storing the imported petroleum product conform to the specifications prescribed under Rules 4, 5 and 6 of the Petroleum Rules, 2002. Non-conforming containers are treated as a licence violation independent of the import clearance.Rules 4, 5 and 6 of the Petroleum Rules, 2002
The most common error on this tariff line is misdeclaration of the petroleum product — spindle or machinery oils may be declared as low aromatic white spirit, hydrocarbon solvents, or Industrial Mixture Composition Plus (IMCS) to circumvent PESO licensing requirements. Customs authorities are specifically alerted to this pattern under DRI Alert Circular 02/2020-CI dated 23-04-2020; a misdeclaration finding attracts confiscation of the consignment and monetary penalty, with potential criminal liability under the Petroleum Act, 1934 and the Petroleum Rules, 2002.