Following UAE Bans on Ferrous Scrap Exports, Pre-shipment Inspection Certificate issued from UAE may be Treated as Invalid for Imports into India

· Imports from Iran and Yemen only in Shredded form, Unshredded Scrap not allowed

· Export ban by UAE on ferrous scrap, it is noted that UAE has banned export of Ferrous Scrap under ITC HS 7204. In this regard, if there are cases where PSIC shows place of inspection in UAE and import item is banned by UAE for export, it may tantamount to mis-declaration on the part of PSI/\ and such PSIC may be treated as invalid.

· Imports from Iran and Yemen, it is submitted that import from Bandar Abbas, Iran and Hodaideh, Yemen, scrap import is allowed in shredded form only as per para 2.51 (c) of HBP 2023.

[DGFT Office Memorandum dated 13.06.2023]

Subject: Request for clarification with regard to PSIC process for import of ferrous scraps under CTH 7204 from UAE.

The undersigned is directed to refer to Central Board of Excise and Customs' OM No. 450/148/2009-cus-IV dated 09.06.2023 on the subject mentioned above.

2. In this regard, kindly note that as per the PSJC online module, PSI/\ is required to upload the inspection photos/videos on the website while generating PSIC. The photos could be uploaded in image format or in PDF format. It may be noted that online system docs not allow generating PSIC if photos/videos are not uploaded.

3. It is intimated that there is a verification facility available on the website, through which authenticity of PSIC could be checked and certificate could be downloaded by filling in PSIC certificate number, PSIA name and IEC number of importer. However photos/videos arc not accessible in this facility.

4. It is under consideration to allow access to such photos/videos uploaded by the PSJA to Customs field offices by making necessary changes in the online systems.

5. Regarding the issue of export ban by UAE on ferrous scrap, it is noted that UAE has banned export of Ferrous Scrap under ITC HS 7204. In this regard, if there are cases where PSIC shows place of inspection in UAE and import item is banned by UAE for export, it may tantamount to mis-declaration on the part of PSIA and such PSIC may be treated as invalid.

6. Regarding imports from Iran and Yemen, it is submitted that import from Bandar Abbas, Iran and Hodaideh, Yemen, scrap import is allowed in shredded form only as per para 2.51 (c) of HBP 2023.

7. Further, Customs may consider asking importers to re-export the consignments of unshredded scrap in view of likely diplomatic implications of clearing consignment of Iran and Yemen Origin.

8. This issues with the approval of the competent authority.