Recent import cargo norms for plastic packaging are causing port congestion, with industry body FIEO and customs authorities attempting to clear the resulting logjam, which has also increased port dwell times.
Following amendments to the Plastic Waste Management Rules, 2016, last year, anyone who imports plastic packaging products, carry bags, multi-layered packaging, or plastic sheets must register on the Central Pollution Control Board’s (CPCB) portal.
The initiative aims to reduce the use of single-use plastic. However, these guidelines apply not only to those who import plastic packaging products as end products, but also to those who import primary products such as machinery, textiles, or any article packaged in plastic.
Industry body Federation of Indian Export Organizations (FIEO) has written to the CPCB on the issue noting that as per a February 8, 2023 order of Jawaharlal Nehru Customs House (JNCH), exporters importing raw materials or machines packed or wrapped in plastic bags and sheets have to apply under Extended Producer Responsibilities (EPR), even though these are non-plastic.
“On a perusal of FAQs issued by CPCB, it is found that export-oriented units are exempt from fulfilling EPR obligations. However, the Standing Order of Customs is silent on this,” FIEO said. It has requested a clarification seeking that all non-plastic exporters, who are importing raw materials, machines packed or wrapped in plastic bags and sheets of more than 50 microns, are exempted from formalities related to EPR.
Ajay Sahai, director general and CEO, FIEO, noted that the current norms will increase transaction time and costs of exporters. “We have requested that the norms should not be applied to those who just have plastic packaging around their goods or are importing plastic packaging to EOUs and SEZ for export purpose or even others who are importing for export purposes,” Sahai said.
According to official sources, the registration is taking up to three to four months noting that this is a new requirement. “Clearance of imported consignments cannot be held up for that long as it would disrupt supply chains and also lead to inflated dwell times in customs clearance,” a source said.
Further customs authorities are trying to take measures for faster clearance of the Bills of Entry filed for the import of goods other than plastic packagings, such as primary products, chemicals, textiles and articles that are wrapped or packed in plastic packaging, he added.