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ArticlePeer ReviewedOpen AccessPlagiarism Passed
Paper ID:IJSREM63187

RISK MANAGEMENT STRATEGIES FOR CUSTOMS BROKERS

Stream/Area:

-

Subject:

-

Paper ID:

IJSREM63187

Volume:

10 |

5 |

May 2026

Pages:

1-7

Publication Frequency:

Monthly (12 issues per year)

DOI
Digital Object Identifier
10.55041/IJSREM63187

License:International Journal of Scientific Research in Engineering and Management follows the Creative Commons Attribution 4.0 (CC BY 4.0) License, allowing free use and distribution with proper attribution.

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Authors

AS

Alagudurai S

Management Studies

Vels Institute of Science, Technology & Advanced Studies

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DRR

Dr R Raajalakshmi

Management Studies

Vels Institute of Science, Technology & Advanced Studies

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Abstract

Agents of International trade include how they create and uphold documentation requirements and how Government regulations must also be followed if doing so is necessary for operational efficiency and client satisfaction. This study examines how customs brokers have adopted four categories of risk: documentation error, regulatory compliance and legal risk, and operational risk. It also examines how the application and execution of different strategies by these customs brokers result in an increase in operational and client satisfaction through an increase in risk management effectiveness through various data analyses. Data were collected from fifty (50) customs brokerage employees using a five (5) point Likert format questionnaire and then subjected to statistical analyses, such as percentages of responses, one-way ANOVA and chi-square. The statistical analyses and data support the following conclusions: that documentation errors were the predominant issue (80% affirmation); that the impact of the application and execution of risk management practices upon client satisfaction and operational operations by customs broker/forwarders at 80% affirmation; that there is a high amount of technology adoption by customs brokers, particularly with the use of ICEGATE, but a lack of use and/or awareness of EDI and RMS; and that, across all ages and years of experience, customs brokers have a similar perception of the impact of risk management, indicating that there is a consensus in the industry on the subject of risk management. Furthermore, documentation discipline, regulatory compliance and strategic use of technology are critical components of effective risk management within the Indian customs brokerage industry, and therefore it is recommended that future studies continue to examine what aspects of documentation discipline, regulatory compliance and strategic technology use can improve risk management within the industry.

KEYWORDS

KEYWORDS: Risk Management Customs Brokers Customs House Agent (CHA) ICEGATE CBIC Documentation Compliance EDI RMS International Trade Customs Clearance India

Cite This Article

Alagudurai S, Dr R Raajalakshmi, "RISK MANAGEMENT STRATEGIES FOR CUSTOMS BROKERS," International Journal of Scientific Research in Engineering and Management, vol. 10, no. 5, pp. 1-7, May 2026. https://doi.org/10.55041/IJSREM63187

Full Article/Conclusion

The present paper reveals that risk management is one of the critical functions within the framework of Indian customs brokerage operations. The results obtained at Customs broker., Chennai reveal that despite high levels of employees' risk awareness, certain problems associated with the use of advanced technologies and strict documentation management still hinder the performance of customs brokers. The problems related to documentation management appear to be the main issue, while client satisfaction seems to be the main result of proper risk management in this organization. In addition, consistent results revealed in ANOVA and Chi-Square tests show that there is a universal understanding of the significance of risk management among all age and professional groups. This peculiarity can be viewed as a valuable organizational culture that should be used for developing formal risk management systems.

References

Ø    Akhtar, S., & Bhattacharya, R. (2020). Customs compliance costs and trade facilitation in emerging economies. Journal of International Trade and Economic Development. Ø    Basu, A., & Ganguly, P. (2022). Impact of Risk Management System (RMS) adoption on cargo dwell time at Indian major ports. Maritime Policy & Management. Ø    Central Board of Indirect Taxes and Customs. (2024). Official Website of CBIC. Retrieved from https://www.cbic.gov.in Ø    Customs Act, 1962. Government of India, Ministry of Finance. Ø    Customs Brokers Licensing Regulations (CBLR), 2018. Notification No. 41/2018-Customs (N.T.). Ministry of Finance, Government of India. Ø    Directorate General of Foreign Trade. (2024). DGFT Official Website. Retrieved from https://www.dgft.gov.in Ø    ICEGATE – Indian Customs EDI Gateway. (2024). Official Website. Retrieved from https://www.icegate.gov.in Ø    Kumar, R., & Pillai, S. (2021). Electronic filing systems and customs clearance efficiency: Evidence from Indian seaports. International Journal of Logistics Research and Applications. Ø    Mohanty, D., & Panda, S. (2023). Customer satisfaction as an outcome of customs risk management effectiveness. Asian Journal of Supply Chain Management. Ø    Rajendran, M., & Selvam, V. (2022). Compliance protocol adoption and penalty reduction in customs brokerage: An empirical analysis. Journal of Trade and Customs Studies.

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Publication Date

5/14/2026

Peer Review Type

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Review Rounds: 2

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