Regulations explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Regulations 8 to 15 of the Warehouse (Custody and Handling of Goods) Regulations, 2016 govern what a licensee does when goods leave the warehouse for home consumption or export, what operations are allowed on warehoused goods, the records, monthly return and section 61 expiry information it must keep and give, the penalty, the Board's power to exempt, the transition for old warehouses and the carve-out for section 65 warehouses.
No goods leave for home consumption unless the bond officer permits it on the proper officer's order under section 68, and none leave for export except by an order under section 69, with loading in the bond officer's presence and a one-time-lock. Goods may be altered or processed only in operations permitted under section 64 or 65. Records are kept for a minimum of five years from removal, a monthly return is filed within ten days after month end, and section 61 expiry information goes to the bond officer by the 10th of the preceding month. Warehouses operating under section 65 are outside these regulations.
Position of the text: as amended up to the CBIC text updated 1 October 2019 (Notification No. 70/2019-Customs (N.T.) dated 1 October 2019, which inserted regulation 15); no later amendment found up to 3 October 2026. Later notifications should be checked. This article describes the text as published.
The first half, covering the keeper, facilities, receipt and transfer, is in our article on regulations 1 to 7. The Act's provisions on clearance of warehoused goods are in sections 68 and 69 of the Customs Act, 1962 and on owners' operations in sections 64, 66 and 67. Licensees who want help with their warehouse records can use our compliance documentation service.
Regulation 8: removal for home consumption
Regulation 8(1). A licensee does not allow goods to be removed for home consumption unless the bond officer permits removal.
Regulation 8(2). When the owner produces an order made by the proper officer under section 68, the bond officer permits removal and the licensee: (a) delivers the quantity of goods mentioned in the bill of entry for home consumption to the owner and retains a copy of the bill of entry; and (b) takes the goods removed into record.
Regulation 9: removal for export
Regulation 9(1). A licensee does not remove, or cause to be removed, warehoused goods for export except by an order made by the proper officer under section 69.
Regulation 9(2). When the bond officer permits removal, the licensee causes the goods to be loaded onto the means of transport, in the presence of the bond officer, and affixes a one-time-lock to the means of transport.
| Removal | Authority | Licensee's steps |
|---|---|---|
| Home consumption (regulation 8) | Order of proper officer under section 68; bond officer permits | Deliver the quantity in the bill of entry, retain a copy, record the removal |
| Export (regulation 9) | Order of proper officer under section 69; bond officer permits | Load in the presence of the bond officer and affix a one-time-lock |
Regulation 10: operations in relation to warehoused goods
The licensee ensures that warehoused goods are not manipulated, altered, processed or otherwise dealt with, except for or during the course of operations permitted under section 64 or section 65. Anything else done to warehoused goods is a breach.
Regulation 11: records, returns and expiry information
Regulation 11(1): what to keep. The licensee:
- (a) maintains detailed records of the receipt, handling, storing and removal of goods and produces them to the bond officer when required;
- (b) keeps a record of each activity, operation or action in relation to the warehoused goods;
- (c) keeps a record of drawal of samples from the warehoused goods under the Act or any other law; and
- (d) keeps copies of bills of entry, transport documents, Forms for transfer of goods from a warehouse, shipping bills or bills of export or any other documents evidencing receipt or removal, and copies of the bonds executed under section 59.
Regulation 11(2): quality and duration. Records and accounts are kept updated and accurate and preserved for a minimum period of five years from the date of removal of goods from the warehouse, and made available for inspection by the bond officer or any other officer authorised under the Act.
Regulation 11(3): digital copies. The licensee also preserves updated digital copies of the records at a place other than the warehouse, to prevent loss from natural calamities, fire, theft, skilful pilferage or computer malfunction.
Regulation 11(4): monthly return. The licensee files with the bond officer a monthly return of receipt, storage, operations and removal of goods in the warehouse, within ten days after the close of the month to which it relates.
Regulation 11(5): section 61 expiry. Where the period specified in section 61 for warehousing of goods is expiring in a particular month, the licensee furnishes the information to the bond officer on or before the 10th day of the month immediately preceding the month of expiry.
| Obligation | Time limit as printed |
|---|---|
| Preserve records | At least five years from the date of removal of goods |
| Digital copy | Kept at a separate place, updated |
| Monthly return | Within ten days after the end of the month |
| Information on goods whose section 61 period is expiring | On or before the 10th of the month before the month of expiry |
The fifth item is easy to miss: for goods whose period expires in, say, December, the information is due by 10 November.
Regulation 12: penalty
If a licensee contravenes any provision of the regulations, abets a contravention or fails to comply with any provision, he is liable to a penalty in accordance with the provisions of the Act. The regulations print no amount.
Regulation 13: power to exempt
The Board, having regard to the nature of the goods, their manner of transport or storage, may exempt a class of goods from any of the provisions of the regulations.
Regulation 14: existing warehouses
Regulation 14(1). A public warehouse appointed under section 57 or a private warehouse licensed under section 58 as it stood immediately before the commencement of the Finance Act, 2016 was to comply with these regulations within three months from their commencement. Regulation 14(2). On compliance, the bond officer caused the lock of customs to be removed. This was a one-time transition.
Regulation 15: warehouses operating under section 65
Regulation 15, inserted by Notification No. 70/2019-Customs (N.T.) dated 1 October 2019, says that nothing in these regulations applies to a warehouse operating under section 65. A MOOWR warehouse follows its own regulations, not these; see our post on bonded manufacturing under section 65.
A worked example
Pacific Wines Ltd's bonded warehouse receives an order of the proper officer under section 68 for 200 cases to be cleared for home consumption. The owner presents it, the bond officer permits removal, and the keeper delivers 200 cases per the bill of entry, retains a copy and records the removal. For an export consignment, the keeper waits for the section 69 order, loads in the bond officer's presence and fixes a one-time-lock. The licensee files its monthly return by the tenth of each month and, because a consignment's section 61 period ends in March, sends the information to the bond officer by 10 February. It stores digital copies of records at an off-site location and keeps all records for five years from removal.
Need help with warehouse records and returns?
If your licensed warehouse wants to check its record keeping, monthly return and section 61 expiry reporting against regulation 11, our compliance documentation team can help build a calendar and a records checklist.
Key takeaways
- Home consumption removal needs a section 68 order and bond officer permission; export removal needs a section 69 order.
- Export loading is in the bond officer's presence with a one-time-lock.
- Warehoused goods can be altered or processed only during operations under section 64 or 65.
- Records are kept at least five years from removal, with an off-site digital copy, a monthly return within ten days and section 61 expiry information by the 10th of the preceding month.
- A penalty under the Act applies to contraventions, and the Board may exempt a class of goods.
- Warehouses operating under section 65 are outside these regulations.
Read next
- Regulations 1-7 of the Warehouse (Custody and Handling of Goods) Regulations, 2016: keeper, facilities, receipt and transfer
- Warehoused Goods (Removal) Regulations, 2016: transfer, transport and due arrival
- Sections 68 and 69 of the Customs Act, 1962: clearance of warehoused goods for home consumption and export
- Sections 64, 66 and 67 of the Customs Act, 1962: owner's right to deal with warehoused goods
Disclaimer: Based on the customs regulations named above as published on the CBIC Tax Information Portal or in the Gazette and, for sets amended since 2023, the amending notifications (read through a TaxClue consolidated reading text; no official consolidated text exists), as consulted on 3 October 2026. Later notifications, fees and the Customs Act, 1962 provisions referred to should be checked. This article is general information, not legal advice; check the official text before acting.