The government imposed a ban on the #import of #tyres. However, allowing some exceptions, the government permitted the import making the Ministry of Environment, Forest and Climate Change (MoEF&CC) the nodal authority. Thus, one must get permission from #MoEF to import used tyres in India.
Market overview of import of used tyres in India
In 2020 the tyre #market in India gathered 177 million units. However, around 3 lakh tonnes of tyres are imported annually into the country from across the globe. The import of used tyres in India is mainly due to recycling and disposal. Thus, it won’t be wrong to say that the Indian tyre market is expected to flourish at a #CAGR (Compound Annual Growth Rate) of 3.6% from 2022-2027.
How many prominent tyre manufacturers dominating the Indian Tyre Market have you heard of?
Renowned globally, the following names dominate the Indian tyre market:
• Bridgestone Corporation
• The Goodyear Tyre & Rubber Company
• CEAT Limited
• Apollo Tyres Limited
• MRF Limited
• JK Tyre & Industries Ltd
• Others
The Ban (Restrictions) imposed on the import of used tyres in India
Before proceeding further, it is good to know why India imports used tyres. One of the reasons is they are used in the pyrolysis industry. Another reason is that these tyres are a steady source of supply. But, looking at the other side of the coin explains that importing used tyres in India for use in the pyrolysis industry leads to pollution.
Guidelines stipulated by the Ministry of #Environment, Forest and Climate Change for the import of used tyres
• For a tyre import license, traders must submit an undertaking stating that they will only buy those tyres sizes that are not made locally. Failing to do so, they will be penalised.
• The importer or exporter must apply for certification with MoEF in a particular format. This is done for exporting/importing recyclable/hazardous wastes to use as raw materials.
• The Directorate General of Foreign Trade (#DGFT) seeks to undertake from importers. Also, they are instructed to provide records for the past three years. Only 40% of their average trade volume in the past three years is allowed.
• To obtain permission from MoEF to import used tyres, one must comply with the Hazardous and Other Wastes (Management and Transboundary Movement) Rules, 2016.
• Besides, customs brokers, importers, shipping lines/agents, CFS custodians/terminal operators, logistics service providers and all other stakeholders must also comply with these rules.
• Classifiable under CTH 4004, parings, waste and rubber scrap (except hard rubber), and granules or powders derived therefrom are restricted goods.
• The wastes under Part B of Schedule III of the rules are prohibited and can’t be imported without a license from the DGFT and permission from MoEF.
• Obtaining permission from MoEF to import used tyres in India mandates complying with many other rules. The list of rules further states that para 2.31 of the #Foreign #Trade Policy has provisions for importing second-hand goods.
• To ensure that India doesn’t become a dumping ground for hazardous waste, instructions are being given to all the shipping agents/lines under Sub Regulation (2) of Regulation 7 of Handling of #Cargo in Customs Areas Regulations, 2009.
• Failing to comply with guidelines and abandoning the consignment will call for suitable action against shipping agents/lines.
The process to get MoEF permission for the import of used tyres in India
Step – 1
The applicant must submit an online application along with the necessary documents at the official website of MoEF&CC.
Step – 2
The ministry's Expert Committee (EC) will review the application and the attached documents. If any document is missing, it is informed by the EC.
Step – 3
The EC creates a batch and accordingly sends a notification for a virtual meeting with the applicant. The applicants are informed about the meeting via email.
Step – 4
Upon verifying the information, the EC may issue an order for a physical or virtual inspection of the unit's premises.
Step – 5
The EC instructs the Central Pollution Control Board (CPCB) to conduct an inspection. The #CPCB further delegates this responsibility to the State Pollution Control Board (#SPCB).
Step – 6
Once the SPCB submits the inspection report to the CPCB, the board forwards it to the MoEF&CC. After this, the certificate for the import of used tyres is issued.
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