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HomeHSNChapter 72HSN 7204 49 00

Other

Ferrous waste and scrap, other (residual scrap categories)

SIMS CLEARANCE

HSN 7204 49 00 (Other ferrous waste and scrap) is subject to compulsory registration under the Steel Import Monitoring System (SIMS) administered by the Directorate General of Foreign Trade (DGFT) under DGFT Notification 33/2015-20 and policy condition 5 of Chapter 72, with a Pre-Shipment Inspection Certificate (PSIC) required for both shredded and non-shredded scrap from non-safe countries. Import of waste materials in this heading is additionally subject to compliance with Rules 11, 12 and 13 of the Hazardous Waste (Management and Transboundary Movement) Rules, 2016. Clearance is restricted to specified ports and locations as per paragraph 2.54 of the Handbook of Procedures.

What this is
HSN code
7204 49 00
Chapter
72 · Iron and steel
Primary regulator
SIMS · ITC (HS) policy condition 5 of Chapter 72; DGFT Notification 33/2015-20
Customs documentation
  • SIMS registration number from DGFT
  • Pre-Shipment Inspection Certificate from PSIA
  • Hazardous waste forms from CBIC
Applicable Partner Government Agencies
SIMSSIMS·Steel Import Monitoring System

Procedural directions for customs clearance are issued by: Directorate General of Foreign Trade, Central Board of Indirect Taxes and Customs.

Compliance steps
  1. 1
    Register the import consignment in the SIMS online portal on the DGFT website not earlier than 60 days before the expected date of arrival. Pay the registration fee of ₹500 to obtain the automatic registration number, which remains valid for 75 days. The 15-day advance-registration minimum has been abolished per DGFT Notification 19/2015-20 dated 07-07-2022.
    DGFT Notification 33/2015-20 dated 28-09-2020 · DGFT Notification 28/2023 dated 28-08-2023 · Policy condition 5 of Chapter 72
  2. 2
    Obtain a PSIC from a DGFT-recognised Pre-Shipment Inspection Agency, generated mandatorily through the DGFT online system effective 01-07-2022. Upload document code 856001 in e-Sanchit before the bill of entry is filed. Verify that the PSIC does not show the place of inspection as UAE if UAE has banned export of the specific scrap — such a PSIC is treated as invalid and the import as mis-declaration.
    DGFT Trade Notice 03/2022-23 dated 26-04-2022 · DGFT O.M. F.No.01/53/8/E/AM24/PSIC/ImportCell/918 dated 13-06-2023 · CBIC O.M. 450/148/2009-Cus-IV dated 09-06-2023
  3. 3
    Confirm the consignment is routed through a specified port or location per paragraph 2.54 of the Handbook of Procedures and that it complies with paragraph 8(b) of the General Notes on import policy under the ITC (HS), including submission of valid Forms 2, 6, 7 and 9 and adherence to Schedules III, VI and VIII of the Hazardous Waste (Management and Transboundary Movement) Rules, 2016 for waste-category consignments. Ensure radioactive-contamination random-check SOP compliance per DGFT Public Notice 37/2015-20 dated 15-11-2021.
    DGFT Public Notice 64/2015-20 dated 19-02-2020 · DGFT Public Notice 46/2015-20 dated 14-01-2022 · Hazardous Waste (Management and Transboundary Movement) Rules, 2016 — Rules 11, 12 and 13
A word of counsel

The most common error on this tariff line is generating the PSIC outside the DGFT online system or accepting a legacy paper PSIC dated on or after 01-07-2022 — Indian customs authorities are explicitly authorised to reject such certificates, resulting in consignment detention and demurrage at the specified port. A separate and equally frequent trap is the UAE-origin mis-declaration risk: where the PSIC records UAE as the place of inspection and UAE has imposed an export ban on the specific scrap category, customs treat the PSIC as invalid and the importer as having mis-declared the consignment, exposing the cargo to seizure and monetary penalty independent of SIMS registration status.

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Frequently asked
Does HSN 7204 49 00 require BIS certification?
No, ferrous waste and scrap under this residual heading falls outside the BIS Quality Control Order regime; no BIS QCO covers this product family. Import is governed by SIMS registration under DGFT Notification 33/2015-20 and the PSIC requirement under DGFT Trade Notice 03/2022-23, with the Hazardous Waste (Management and Transboundary Movement) Rules, 2016 applying as a concurrent overlay.
Is the PSIC always required, and are there any port or origin exemptions?
PSIC is required for both shredded and non-shredded scrap; however, if the exporting country or region qualifies as a safe country and import is through a specified port, PSIC is not required per DGFT Public Notice 64/2015-20. All PSICs dated on or after 01-07-2022 must be generated through the DGFT online portal or they will not be accepted by customs.
Are re-imports of steel for packaging purposes and SEZ-DTA movements required to register under SIMS?
No. Re-imports of goods of steel for packaging purposes are excluded from SIMS as they are not primarily meant for value addition, and both SEZ-to-DTA movements — whether with or without value addition — are also exempt from SIMS registration per DGFT Policy Circular 38/2015-20 dated 19-01-2022.
Last verified against gazette notifications: 2026-05-16. Source: SIMS / DGFT / CBIC / Indian Customs CUSDATA.
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