For businesses exporting scrap metal to designated ports in India from the UK, United States, EU, Canada, Australia and New Zealand, pre-shipment inspection certificates (PSIC) are not required. When scrap metal is shipped from a country of origin that is not on the ‘safe countries/region’ list, or when the shipment does not enter India via one of the ports exempted from PSIC by the Directorate General of Foreign Trade (DGFT), a PSIC is still required to gain Customs clearance.
PSIC certificate exempt ports, 2024
In February, 2024, amendments were made to Para 2.51 of the Handbook of Procedures (HBP), 2023, to ‘facilitate the import of metallic waste and scrap by expanding the designated sea ports and exempting certain consignments from Pre-Shipment Inspection Certificate (PSIC) requirements.’
The new list of PSIC exempt ports for metallic waste and scrap, both shredded and unshredded, from safe countries/region was: Chennai, Tuticorin, Kandla, JNPT, Mumbai, Mundra, Krishnapatnam, Kattupalli, Hazira, Kamaraja, and – newly added – Adani Gangavaram Port.
Additional ports through which metallic waste and scrap can enter India, but which still require a PSIC irrespective of country of origin, were listed as: Cochin, Ennore, Mormugao, New Mangalore, Paradip, Vishakhapatnam, Pipava, and Kolkata.
Radioactive materials certification is still required
The amendment states that all scrap metal consignments need to be accompanied by a certificate from the supplier or scrap yard authority confirming the absence of radioactive materials or explosives. The amendment also states that the PSIC exemption is not granted to trans-shipments of scrap metal through safe countries/regions.
As a condition of the amendment, all sea ports designated for the import of unshredded metallic scrap were required to install radiation portal monitors and container scanners, along with adequate security.
Where do I get a PSIC certificate?
The DGFT has a list of approved pre-shipment inspection agencies that issue PSIC certificates recognised by Indian Customs. These agencies are supposed to verify that the shipment is compliant, which usually requires detailed photographic evidence, and in some cases physical inspections. A hard copy of the PSIC is usually required by Indian Customs before the shipment arrives, to avoid delays and penalties.
PSIC for waste paper and waste tyres
PSIC certificates are not currently required for imports of scrap tyres , even though they are classified as hazardous waste according to India’s Hazardous Waste Management Rules (HWMR), 2016. By contrast, scrap paper imports, which are also classified as hazardous waste in India (not in the UK or EU), still require a PSIC certificate.
