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Hurdles in goods movement

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July 28, 2017

What is the issue?

  • Post-GST, the elimination of checkposts by almost all states has resulted in a significant reduction in waiting time and increase in road transport efficiency.
  • However there are other issues to be addressed for smooth movement of goods.

What are the other hurdles in this regard?

  • e-waybill is an electronic way bill for the movement of goods across the country. Under GST, a registered person who intends to initiate a movement of goods of value exceeding Rs 50,000 should generate an e-Way bill.
  • While earlier businesses had an option to have an e-invoice or a physical invoice for the goods transported, under GST the e-waybill is mandatory.
  • An anomaly exists as to the purpose of this option, because an e-invoice and e-waybill would repeat the same data.
  • Moreover, there are differences between the State and Central governments, and among the States, on the rules and format regarding the e-waybill.
  • Trucks are not stopped only by tax-related check-posts but  a host of other transport regulations is also a reason why  trucks are stopped and inspected.
  • There is a need for updating the vehicle number in the e-waybill every time shipments change trucks which is delaying the transport.

What are the possible solutions?

  • It is better to insist on all invoices being filed online and using the online invoices as the de-facto e-waybill.
  • An e-waybill can use trucks as reference for checking goods instead of vehicles, thereby reducing the procedural delays.
  • Integration of VAHAN (a database of the ministry of road transport with all the relevant data related to the vehicles) and e-waybill (with details of goods) would simplify the checks and inspections.
  • RFID-enabled e-waybill and RFID chip-enabled number plate of the vehicle tagged to the VAHAN database can serve to be a modern  automated check-point.
  • A modern  automated check-point equipped with weigh-in motion technology can monitor overloading as the truck passes by.
  • A taskforce for the seamless movement of goods has been set up by the Government to consider reforms backed by technology solutions.
  • All physical inspection of goods to be subject to CCTV camera recording and all challans to be issued electronically.
  • Data related to discretionary inspections by officers can be subjected to the RTI Act.
  • Strict norms are needed to ensure fairness and transparency of enforcement.

 

Source: BusinessLine

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