Hi,

This week mainly consisted of visits to the various octroi checkposts. At each of these
posts, I observed the working of the post from the point of entry of the goods vehicle to the
point of exit of the vehicle, and also met officers at each of these places.

• LBS Marg(Mulund(west)) -> Modela Check Naka The name of the superintendent
at this post is Mr.Sonawane (Contact – 9773773651). He provided the information
about time when the load at octroi is high and when it is low. Also he told me that the
different rates which are applicable are available on the website:www.mcgm.gov.in

• Eastern Express Highway -> Anand Nagar Check Naka: The officer at Anand
Nagar Check Post asked me to come on Monday morning at around 8.30 am as he
was busy when I went to meet him.

• Sion-Panvel Highway -> Vashi Check Naka: The superintendent at Vashi Check
Post was on leave on Wednesday, so i have to go to visit the check post again.

• Western Express Highway -> Dahisar Octroi Naka: The officer at Dahisar Check
Post was quite helpful. He provided insights into how octroi is charged, how it is
important for BMC, and how agents play an important intermediary role in Octroi.
Also he explained about the various exemptions that are available in the form of
different forms. Also he said that this information is available in a booklet at the BMC
head office which costs around Rs.100. The name of the officer is Mr. Shyam Jadhav
(Contact – 022 28961378).

Certain factors for discussion:

• The purpose for which the good has been brought to the city has to be specified at
the check-post. It is does not matter whether the goods come by land, water or air,
once the goods enter into the city; octroi has to be paid on it.

• Certain exemptions are provided on the basis of when the goods come into the city,
for how much duration and for what purpose. All this information is provided in the
booklet available with the BMC at the head office.

• Regarding transport charges, the officers didn’t have much idea. So I asked a few
truck drivers who said that the transport charges are on a lump-sum basis and
depend on the weight and the locations from which goods have to be transferred.
Also when asked about the exact rates, they asked me to talk to their boss. I managed
to get hold of one tempo owner, Mr. Raju Mohite(Contact – 9028601765) who
usually plies between Bhiwandi & Mumbai and charges Rs.1200 per trip for an
autorickshaw tempo. Also noticeably, most goods carriers ply at night as the traffic
regulations are lenient for that period of time.

So for our analysis, we need to look into the following factors:

• What is the flow of traffic from various places to the JNPT port and
Mumbai? - Analysed In the Excel Sheet In the Worksheet “My Analysis” which
shows the traffic from and to various locations. Also have compared the commodity
handling at locations near Mumbai and in Mumbai.

• What role do agents play at the octroi post? – Each Company has its agent at
each of the check-post who pay the amount of Octroi to be given on the behalf of the
company. Companies require that these agents handle the company goods at the
octroi check-post in such a way that the goods have minimum waiting time as the
more the goods have to wait more will be the cost for the company in terms of
inventory cost and truck charges.

• What are the barriers in the process for transportation of goods through
Mumbai? – When good is to be transported to the city for consumption or use or
sale in the city, octroi has to be paid then and there itself. If the good is to be exported
or moved out of the city(within 1 week or 6 months), then different forms have to be
filled(N-form or R-form,etc). The company has to pay a deposit which is refunded
later on when the goods leave the city. The process of obtaining this refund is very
cumbersome. However, if due to certain circumstances, the good is not able to leave
the city, then the entire octroi amount has to be paid and also the the deposit is not
refunded. All these factors discourage the companies from sending the goods through
the city.

The major issues are with regard to the locations given in the sheet. There is no fixed
mention as to from where the goods are coming from(for example: some goods come
from Andheri, some from South Mumbai). So it is difficult to ascertain the amount of
goods imported. This is because some of the goods come into the city just for the purpose
of packing or finishing after which these goods may move back into the country.
Secondly, the transport charges couldn’t be found from the check-posts. I tried finding
charges from the transport operators but then was unable to get it as the operator asked
many details like location from where the goods are to be brought and how heavy or
fragile they were.