- India being one of the largest importer of metal scrap provides ample opportunity for new players.
- We are here to help you provide all the required information on how to import scrap in India from wherever you want.
India's imports of ferrous piece for steelmaking remained at around 9.8 million tons (mnt) in FY23 - a sharp ascent contrasted and around 3.6 mnt in FY22.
This mirrors a three-fold ascend in ferrous piece imports by India in the as of late finished up monetary on the rear of higher homegrown rough steel creation, lower accessibility of homegrown piece, as well as international disturbances that changed worldwide exchange streams and brought about higher piece shipments being coordinated towards India.
Out of complete imports, around 2.3 mnt were mass shipments, while the rest were containerized piece imports. India's ferrous piece utilization in steelmaking in FY23 is probably going to have been 28-30 mnt.
Recent information shows that ~24 mnt of scrap was consumed in FY22 versus 18 mnt in FY21.
Many traders want to know how to import scrap in India without Pollution Control Certificate?
Straight forward - 'Not Possible', but good thing is that there is a legal way to get around.
Need consultancy?
Whether it is Import of OCC Paper Scrap, copper, aluminum, or Discarded and Non Serviceable Mix Motor Scrap, we have compiled relevant information on how to import scrap in India.
Typical Customs Duty on Imported Scarp
HS CODE: 72044900
Total Duty: 21.326%
Duty-Bifurcation:
- BCD: 2.5% of CIF Value.
- SWS: 10% of BCD.
- IGST Levy: 18%
How to Import Scrap in India: Documents Required
Documents Required from the Supplier:
1. Commercial Invoice;
2. Packing List;
3. B/L;
4. Certificate of Origin;
5. Form 6 or 9;
6. Pre-Inspection Certificate;
7. Analysis Certificate
Documents listed above are to be provided by the Overseas Exporter. A few documents are needed from the Indian Importer's side as listed below:
Documents Required from the Importer:
a. Pollution Certificate form the State Government.
b. Steel Import Monitoring System (SIMS): Sample form and Frequently Asked Questions (FAQs)
c. KYC Documents.
REFER PARA 1 TO 9 OF DGFT TRADE NOTICE NO.03/2022-23 DT 26-04-22 FOR NEW ONLINE MODULE REGARDING APPLICATION FOR RECOGNITION AS PRE-SHIPMENT INSPECTION AGENCY (PSIA) AND ISSUANCE AND ELECTRONIC VERIFICATION OF PRE-SHIPMENT INSPECTION CERTIFICATE (PSIC) FOR METAL SCRAP.ALL PSICS SHALL BE MANDATORILY GENERATED ONLINE THROUGH THE DGFT WEBSITE W.E.F. 1.7.22.
PSICS DATED ON OR AFTER 1.7.22 NOT GENERATED USING THE DGFT ONLINE SYSTEMS MAY NOT BE ACCEPTED BY THE INDIAN CUSTOMS AUTHORITIES.FOLLOW STANDARD OPERATING PROCEDURES (SOP) FOR RANDOM CHECKING OF IMPORTED CONSIGNMENTS OF METAL SCRAP WITH RESPECT TO RADIOACTIVE CONTAMINATION AS PER ANNEXURE TO DGFT PUBLIC NOTICE NO.37/2015-20 DATED 15-11-2021
IMPORT UNDER THIS CTI REQUIRES COMPULSORY REGISTRATION UNDER STEEL IMPORT MONITORING SYSTEM(SIMS).
REFER POLICY CONDITION NO.5 OF CHAPTER-72 AND DGFT NTFN 33/2015-20 DTD 28-09-20 AND FURTHER CLARIFICATION,RESPONSES TO PARA (2.A.)
RE-IMPORT OF GOODS OF STEEL FOR PACKAGING PURPOSES WILL NOT BE COVERED UNDER SIMS AS IT IS NOT PRIMARILY MEANT FOR VALUE ADDITION,RATHER BEING RE-IMPORTED FOR PACKAGING ONLY AND PARA(2.B.)
IN BOTH THE CASES I.E.(I) IF THE STEEL/STEEL ITEM IS EXPORTED FROM DTA TO SEZ AND THEN IMPORTED INTO DTA FROM SEZ WITHOUT VALUE ADDITION, OR (II) WITH VALUE ADDITION,THERE SHOULD BE NO REQUIREMENT FOR SIMS REGISTRATION.(REFER DGFT POLICY CIRCULAR NO.38/2015-20 DT 19-01-22)CLEARANCE OF METALLIC SCRAP IS PERMITTED AT SPFD PORTS/LOCATIONS AND SUBJECT TO THE CONDITIONS IN PARA 2.54 OF HBP AND INCLUDING SUBMISSION OF PSIC, FROM THE EXPORTING COUTRIES, FOR BOTH SHREDDED AND NON SHREDDED SCRAP.IF EXPORT IS FROM SAFE COUNTRIES/REGION, PSIC IS NOT REQUIRED, IF IMPORTED THROUGH SPECIFIED PORTS. REFER DGFT PN 64/2015-20 DT 19-02-20 AND PN 46/2015-20 DT 14-01-2022.
IMPORT OF WASTES IS SUBJECT TO COMPLIANCE OF PARA 8(B) OF GEN. NOTES REGD IMPORT POLICY OF ITC (HS) AND IS SUBJECT TO RULES 11, 12 & 13 OF THE HAZARDOUS WASTE (MANAGEMENT & TRANSBOUNDRY MOVEMENT) RULES, 2016. ALSO REFER TO SCHEDULE-III,VI AND VIII WITH REGARDS TO DESCRIPTION, CONDITIONS, NOTES AND DOCUMENTS REQUIRED FOR VERIFICATION ALONGWITH VALID FORMS 2,6,7 AND 9 AS PER THE HAZARDOUS WASTE (MANAGEMENT & TRANSBOUNDRY MOVEMENT) RULES, 2016.
IN CASE OF PGA FACILITATED BILLS I.E. WHICH HAVE NOT BEEN ROUTED THROUGH PGA FOR NOC, PROPER OFFICER SHOULD VERIFY AND ENSURE THAT THE MANDATORY DOCUMENTS-PRE SHIPMENT INSPECTION CERTIFICATE [856001]HAVE BEEN UPLOADED IN (E-SANCHIT) BEFORE GIVING OUT-OF-CHARGE
THE STEEL IMPORTING MONITORING SYSTEM (SIMS) SHALL REQUIRE IMPORTERS TO SUBMIT ADVANCE INFORMATION IN AN ONLINE SYSTEM FOR IMPORT OF ITEMS AND OBTAIN AN AUTOMATIC REGISTRATION NUMBER BY PAYING REGISTRATION FEE OF RS. 1 PER THOUSAND SUBJECT TO MINIMUM OF RS.500/ AND MAXIMUM OF RS.1 LAKH ON CIF VALUE. THE IMPORTER CAN APPLY FOR REGISTRATION NOT EARLIER THAN 60TH DAY BEFORE THE EXPECTED DATE OF ARRIVAL OF IMPORT CONSIGNMENT.
THE AUTOMATIC REGISTRATION NUMBER THUS GRANTED SHALL REMAIN VALID FOR A PERIOD OF 75 DAYS. THE REQUIREMENT OF ADVANCE REGISTRATION OF MINIMUM 15 DAYS FROM THE EXPECTED DATE OF ARRIVAL OF IMPORT CONSIGNMENT UNDER SIMS HAS BEEN ABOLISHED.
(REFER DGFT NOTF NO.19/2015-20 DTD 07-07-2022)
- ensure compliance of para 2.32 of ftp and para 2.54 and 2.55 of ftp procedure
- refer clearance of import of metal scrap procedure as per cbic circular no 48/2016-cus dtd 26-10-2016 as amended from time to time read with cbic circular no 53/2016-cus dtd 18-11-2016 and cbic circular no.41/2019-customs dtd 29-11-2019.
- refer dgft pn no 38/2015-2020 dtd 06-10-2016 wrt procedure governing import of un-shredded scrap (hms-i and hms- ii) under para 2.54 of hbp(2015-2020) as amended from time to time. refer corrigendum pn no 40/2015-2020 dtd 25-10-2016.
- refer dgft pn no 63/2015-2020 dt 27-03-2017 and clarifications vide dgft trade notice no.19/2017.
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How to Import Scrap In India: Summary
- Following procedure for clearance of imported metal scrap (both ferrous and non-ferrous) is followed:
- Import of metal scrap in shredded form will be permitted through all ports/ICDs/CFSs/LCSs without any pre-shipment certificate as per the existing practice.
- Import and clearance of un-shredded compressed or loose metallic scrap, shall be subject to the guidelines issued the Director General of Foreign Trade, Ministry of Commerce and Industry, Government of India under Public Notice No. 38/2015-2020 dated 06.10.2016 (followed by a Corrigendum by way of a Public Notice No. 40/2015- 2020 dated 25.10.2016) and as per the following procedure:
(a) The consignments of un-shredded, compressed or loose scrap shall be cleared only through those EDI ports where Risk Management Module is operational. These consignments will be subjected to documentary or physical check on the basis of selection done by Risk Management System.
(b) All the designated sea ports as specified in the DGFT Public Notice No. 38/2015-2020 dated 06.10.2016 are expected to install and operationalize Radiation Portal Monitors and Container Scanners by 31.03.2017 and till such time, the consignments of un-shredded, compressed or loose scrap shall be subjected to scanning based on risk assessment at those ports where such facilities for scanning are currently existing.
(c) Depending upon the congestion at the Port/ICD, the availability of manpower and the antecedents of the importer, the concerned Principal Commissioner/Commissioner of Customs or Principal Commissioner/Commissioner of Central Excise, as the case may be, may permit the importer to remove the sealed container at his own risk and cost to his factory premises under re-warehousing procedure.
SOP for Checking Radioactive Contamination
SOP for customs examination is as follows:
- No container shall be allowed to be allowed to be unloaded without Pre-Shipment Inspection Agency Certificate.
- The Authenticity of the PSIA Certificate must be verified as per Appendix - 2G in the Aayat/ Niryat Form.
- Container be made available in the CFS/ ICD.
- IGM must be verified vis-a-vis actual Seal, Serial No., Container No., etc.
- Check copy of agreement between Import and Exporter specifying radioactive material is not contained.
- Measure radiation levels vis-a-vis background radiation (0.04 to 0.1 micro Sievert per hour). Background level at certain places may be more than 0.1 micro Sievert per hour.
- Present alarm level is 0.2 micro Sievert per hour above background radiation.
- Cross check radiationon levels with PSIA or Self Declaration cum Legal Undertaking. If any ambiguity found in the self declaration then it should be reported to the DGFT.
- If radiation level is found higher than normal then source of radiation should be identified using handheld RDE.
- If source of radiation is Naturally Occurring Radioactive Material (NORM), then the shipment may be considered as clean.
- If source of radiation is identified as other than NORM, it should be intimated to:
Emergency Control Room,
Crisis Management Group,
Department of Atomic Energy (CMG-DAE),
Mumbai-400001
Standard Operating Procedure (S0P) for Examination of SCrap imported from UAE
Standard Operating Procedure (S0P) for Examination of Serap imported from UAE kept on hold at various CFSs at Nhava Sheva on account of SIIB(I), JNCH -reg, STANDING ORDER NO.13/2023-24
UAE put a ban on export of Ferrous Scrap, and Indian Customs has put on hold clearance of containers having goods with declared CTI as 7204'.
Now, after detailed examination and verification of documents in a few cases and in order to facilitate timely clearance of the goods, the following SOP is prescribed.
1. Examination:
a. Goods may be examined as per RMS instructions and Examination order.
b. If DC/AC Docks is of the opinion that examination percentage beyond that prescribed in RMS instructions/Examination Order needs to be carried out, the same shall be carried out by DC/AC Docks only on the basis of some objective criteria which shall be recorded in writing.
c. During examination, [if prescribed as at (a) above] along with necessary verification, Positive Material Identification (PMI) and marking/labelling of Pakistan, Yemen or Iran shall also be checked to establish nature and origin of goods respectively. If any discrepancy is noticed, the same shall be immediately bought to notice of JC/SIIB(1), JNCH, clearly mentioning the discrepancy and violation of statutory provision.
d. In case no discrepancy is noticed, no NOC is required from SIIB() and necessary clearance may be allowed.
2. Verification: -
a. Docks' officers shall verify the relevant documents as prescribed for import of scrap and as at l(a) above.
b. In addition to (a) above, the container tracking shall be done to confirm the origin of goods. If the container tracking details are not available in open source, then the help of shipping line may be taken. SIIB, JNCH would be assisting in this as well and would share the inputs already available with them immediately.
c. Pre-Shipment Inspection Certificate (PSIC) is to be verified from DGFT's website.
Further, since the photos/videos taken during the inspection by PSI Agencies are not available on DGFT's website, as of now, to ensure compliance, concerned PSI Agencies shall send the photos/videos of inspection at siibimport.jnch@gov.in, in compliance with sub-para () of para 2.55 of Handbook of procedures issued by DGFT vide FTP-2015-2020.
The SIIB(I) will immediately forward the photos/videos of inspection to the concerned AC/DC, Docks.
In case, any discrepancy is noticed during verification in respect of PSI Certificate or photos/videos shared, the matter shall be reported to Commissioner/ NS-V by AC/DC Docks, for taking up the issue with DGFT. Clearance would be withheld in such cases.
3. DC/AC Docks may use officers from other CFSs for this work, if workload requires the same, to ensure that there is no delay in clearance.
4. Difficulty faced, if any, during implementation of these procedures, the same may be brought to the notice of the Joint Commissioner of Customs, SIIB0), JNCH.
5. This is in supersession of Standing Order No. 12/2023-24 dated 30.05.2023.
USEFUL REFERENCES:
Your search on how to import scrap in India brought you here. If there is anything you would like to discuss 1-to-1 we would be glad to help.
i want to import steel scrap and project leftovers as pipe and steel sheets to india from malasiya and thailand i want to know the list of documents required
The List is provided in the article above.
I have IEC. Can i import scrap from overseas…
Along with IEC, you’ll be required to provide following documents for import custom clearance:
1. Commercial Invoice,
2. Packing List,
3. Certificate of Origin,
4. Form 6,
5. Form 9,
6. Freight Certificate,
7. Certificate of Insurance.
8. PSIC (Appendix-2H).
9. Pollution Control Board Certificate
FORM 6 AND 9 FROM EXPORTER OR FROM IMPORTER
Hello Admin
Can you Help to apply for Pollution Control Board Certificate
Exporter from the USA for scrap metal, my client in India doesn’t know about the documents required to clear the customs, information regarding this will be highly appreciated,
Hi, documents required for import custom clearance of scrap:
1. Commercial Invoice,
2. Packing List,
3. Certificate of Origin,
4. Form 6,
5. Form 9,
6. Freight Certificate,
7. Certificate of Insurance.
8. PSIC (Appendix-2H).
9. Pollution Control Board Certificate
yes, we do assist with application for Pollution Control Board Certificate.
From the Exporter.
what and all documents will be required when we import scrap materials from uk, malysia, singapore , exporting to india.
Thanks for asking.
Usually, documents asked for to facilitate custom clearance are:
1. Commercial Invoice,
2. Packing List,
3. Certificate of Origin,
4. Form 6,
5. Form 9,
6. Freight Certificate,
7. Certificate of Insurance.
8. PSIC (Appendix-2H).
9. Pollution Control Board Certificate
Hello sir
Can i import scrap rubber (HSN- 40040000 ) FROM THAILAND OR INDONESIA, what’s is documents required for India side and from exporter (Thailand) side
AS PER ITC HS IMPORT POLICY, IMPORT OF ITEM UNDER THIS CTI IS RESTRICTED.
HOWEVER IMPORT OF USED RUBBER TYRES WITH ONE CUT IN BEAD WIRE AND IMPORT OF USED RUBBER TUBES CUT IN TWO PIECES IS FREE.
IMPORT OF WASTES IS SUBJECT TO COMPLIANCE OF PARA 8(B) OF GEN. NOTES OF ITC(HS) IMPORT POLICY AND ALSO SUBJECT TO RULES 12 & 13 OF THE HAZARDOUS WASTE (MANAGEMENT & TRANSBOUNDRY MOVEMENT) RULES, 2016.
Hello sir,
I want to know what kind of document i need for import cast iron scrap from south africa please tell me all document from both side expoter country(south africa) and my city Delhi
Irrespective of Origin, same documents shall be required as listed above.
Dear Sir,
Very nice information, I want to import alu. scrap from UK & USA. We need your services so please share your contact information so that we can get in touch with you.
Can you please help me for completion of documents to import iron scrap?
I want to import copper scrap in india
So what are the list of documents I gonna be needed for that
Please help
Coppe scrap import in india
Which documents required
And coustom clearness
I am interested to import metal scrap in India….how can you support me…?
Pls arrange all details
Thnxxx
Yes, Copper scrap import is very much possible. Replied over email.
Yes, Copper scrap import is very much possible. Replied over email.
Yes, import of iron scrap is very much possible. Replied over email.
Import of aluminum-scrap from UK & USA is quite simple. Replied over WhatsApp.
If someone import metal scrap to sell in India then is it required to get pollution certificate?
Our answer is ‘yes’ but it is also possible to import without ‘pollution certificate’.