- Safe-country scrap imports exempt from PSIC under conditions
- Nagpur Customs allows unshredded scrap clearance through ICDs/CFSs
India’s Customs Commissionerate, Nagpur, has issued a standing order clarifying the conditions for clearing metallic waste and scrap without a Pre-Shipment Inspection Certificate (PSIC), following amendments to Para 2.51 of the Handbook of Procedures (HBP), 2023, and DGFT Public Notice No. 43/2023 dated 14 February 2024. The order reiterates that scrap originating from specified safe countries can be cleared without PSIC through designated sea ports, subject to prescribed documentation, safety checks and regulatory compliance.
Safe-country imports subject to verification
Under the amended provisions, metallic waste and scrap, whether shredded or unshredded, originating from the US, UK, Canada, New Zealand, Australia and the European Union may qualify for the PSIC exemption. However, Customs officers must verify the origin through relevant import and origin documents. Each consignment must also be accompanied by a supplier or scrap-yard certificate confirming that it contains no radioactive material or explosives.
The exemption does not apply to consignments merely transhipped through these countries or regions. Where the prescribed conditions are not met, the PSIC requirement will be determined in accordance with Para 2.51 of HBP 2023 and applicable DGFT instructions.
Radiation and scanning checks remain mandatory
The standing order requires consignments cleared without PSIC to undergo prescribed radiation checks through an operational Radiation Portal Monitor, along with explosive-detection and container-scanning checks wherever applicable. The results must be recorded and retained for audit purposes, alongside the relevant supplier or scrap-yard certificate. Customs officers must also ensure compliance with other applicable provisions under the Foreign Trade Policy, HBP 2023, the Customs Act, 1962, and other laws.
ICDs and CFSs permitted to clear unshredded scrap
Nagpur Customs has permitted Inland Container Depots (ICDs) and Container Freight Stations (CFSs) under its jurisdiction to clear unshredded metallic waste and scrap, provided the consignments have passed through designated sea ports where the required radiation-monitoring and container-scanning facilities are operational. Clearance will remain subject to prescribed risk-based scanning, examination and verification procedures, along with all applicable statutory requirements.
Impact on scrap imports
The clarification provides a defined framework for PSIC-exempt scrap consignments and extends clearance provisions for unshredded scrap at eligible ICDs and CFSs under Nagpur Customs. However, the exemption remains conditional, with documentation, origin verification and safety-screening requirements continuing to apply. Importers and suppliers will need to ensure compliance with these conditions to avoid clearance-related complications.
The order has come into force with immediate effect. While the clarification may help establish greater procedural clarity for eligible imports, the impact on shipment timelines will depend on compliance with documentation requirements and the availability of operational radiation-monitoring and scanning facilities at the designated ports and relevant clearance locations.
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