India Tightening Rules for Imports of Scrap Metal

Companies seeking to ship scrap metal to India may need to register with Indian government.

The Indian government plans to start a program that would require all importers of scrap metal to register as an overseas supplier of import of metal scrap, other than shredded scrap.

According to the Institute of Scrap Recycling Industries, the notice of the new program was announced April 7, and calls for the submission of registration applications by the end of this month to the Directorate General of Foreign Trade of the Ministry of Commerce and Industry.

 

The notice indicates that submissions may be made via e-mail, courier or in person. The application seems to be significantly less complex and less demanding than the Chinese registration application and, like the Chinese application, there is no fee charged to file a registration application. The initial registration will be valid for a period of two years and, in the case of any violation, the supplier will be deregistered. Further, action will be taken against the Indian firm that is importing the scrap under the Foreign Trade Act, 1992.

 

One major benefit of registration appears to be that pre-shipment inspection will no longer be required. It is important to note that while the effective date of the new program is April 1, 2006, until June 30, 2006 imports will also be allowed on the basis of the pre-shipment inspection certificate regime in place since 2005.

 

The information is included in the Ministry of Commerce and Industry, Department of Commerce’s Handbook of Procedures.

 

Scrap metal grades that will be free subject to certain conditions detailed below include the following:

 

No.      Exim Code    Item Description

 

1.         720410 00        Waste and Scrap of Cast Iron

 

2.             72042190        Other

 

3.             72042920        Of High Speed Steel

 

4.             72042990        Other

 

5.             72043000        Waste and Scrap of Tinned Iron or Steel

 

6.             72044100            Turnings, Shavings, Chips, Milling Waste, Saw Dust, Fillings, Trimmings and Stampings, Whether or not in Bundles

 

7.             72044900        Other

 

8.             72045000            Remelting Scrap Ingots

 

9.             74040010        Copper Scrap

 

10.             74040022        Brass Scrap

 

11.             75030010        Nickel Scrap

 

12.             76020010            Aluminium Scrap

 

13.             79020010        Zinc Scrap

 

14.             80020010        Tin Scrap

 

15.             81042010            Magnesium Scrap

 

The import of scrap would take place only through the following designated, and no exceptions would be allowed een in cases of EOUs, SEZs: 1. Chennai, Cochin, Ennore, JNPT (Nhava Sheva), Kandla, Mormugao, Mumbai, New Mangalore, Paradip, Tuticorin, Vishakhapatnam, ICD Tughlakabad (New Delhi), Pipava, Mundra, Kolkata, ICD Ludhiana, ICD Dadri (Greater Noida), ICD Nagpur, ICD Jodhpur, ICD Jaipur, ICD Udaipur, CFS Mulund, ICD Kanpur, ICD Ahmedabad, ICD Pitampur, and ICD Malanpur.

 

ISRI also noted that its association President Robin Wiener and General Counsel/V.P., Government Relations Scott Horne will travel to India next month. They are expected to request a deadline extension, although the April 30th deadline still remains in effect.

 

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