When goods are not cleared from customs within the prescribed delay (unclaimed and abandoned goods) or when goods are seized due to customs offences and prohibitions (prohibited goods, counterfeits, or goods not accompanied by the required authorisations) they are sent to the Customs Auction Sales Warehouse where they can be disposed of in the following ways:
- Sale by Public Auction;
- Sale by Public Tender;
- Sale by Public Tender for re-exportation purposes;
- Donation for Government use to Ministries, Departments and other Governmental and parastatal institutions as per section 144 of Customs Act 1988; and
- Destruction of hazardous and goods unfit for consumption (after approval from the relevant Authorities)
The Auction Sales Section is responsible for identifying these goods at various Freight Landing Stations, transferring, stacking and ultimately auctioning of such goods.
MRA-Customs Department has been organizing auction sales or sales by public tender as stipulated in Customs Laws. However, since 2004, this process has been done quite regularly with a view to reduce the volume of goods overlying in the Customs Warehouse and to collect revenue that will result.
Every effort is being made to ensure that the process is fair, transparent and is covered by media (newspapers, radio and television) to inform the maximum number of people.
In addition to auction sales and public tender, some goods are donated to other ministries and departments.
The reserved price is determined after considering the following criteria:
- The CIF value of the goods at the time of input;
- The Customs duty + Excise duty and VAT involved;
- Actual state of the goods;
- The time period goods have been lying;
- Other charges incurred and which shall not be more than 10% of the CIF value of the goods; and
- Total duty paid value
- The list of goods to be sold by public tender shall be displayed on bill boards on various sites of the Customs Sales Warehouse and on the MRA website (Customs).
- The tender forms to be filled shall be submitted to the potential tenderers on request.
- The Team Leader and Technical Officer shall ensure that sufficient tender forms are ready on the day of the Sales and goods are well displayed in an orderly tagged manner corresponding to their respective serial no. on the tender list.
- The tender forms duly filled shall be deposited either in the tender box lying in the Customs Warehouse or in the Customs House.
- The Team Leader shall ensure that the tender boxes placed at the Customs House and Customs warehouse be sealed immediately at closing date without delay.
- The two duly sealed tender boxes shall be secured in the Registry Office.
- The Team Leader shall receive from the secretary all the tender forms in the batches of fifty for input in the computer system.
- After the input of all the tenderers' data, the system shall automatically select the highest bidder.
- The successful tenderers shall be selected quantity wise and item wise from the highest bid and the highest amount.
If your bid is the highest you will be informed by post of the goods that you have been awarded. You will be allowed a period of 10-14 days for the payment and collection of the goods.