Taking prompt action on the report of the DG PCA, the Federal Board of Revenue (FBR) has decided to take strict precautionary measures to check such imports, which were only allowed by the industrial consumers for their own use strictly under the Basel Convention. The Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and their disposal is the most comprehensive global environmental agreement on hazardous and other wastes. Under the convention, there is strict monitoring of hazardous wastes during their transboundary movements from one country to another.
Sources told Business Recorder here on Tuesday that the FBR had received a report on serious violations of the Import Policy Order, 2009 by commercial importers, who submit illegal undertakings for clearance of such consignments. The importers also violated a global convention which strictly reduces the movement of hazardous wastes.
The FBR would place an effective monitoring mechanism in place to check imports of hazardous wastes and allow as per provisions of the Import Policy Order. The board may also review the existing clearance procedure of such hazardous wastes like plastic scrap to ensure their import only by industrial consumers for specific purposes under the Import Policy Order.
According to details, a special team of the DG PCA scrutinised the tax records of some commercial importers to check such violations at import stage. The Directorate also sought necessary information about the importers from the FBR Sales Tax registration database to verify data.
Under the Import Policy Order, 2009 (SRO 766(I)/2009), waste and scrap of plastics, falling under Pakistan Customs Tariff (PCT) heading 39.15, is importable by industrial consumers only for their own use, strictly in accordance with the provisions of the Basel Convention.
The Directorate detected over 30 consignments of Plastic/PVC scrap, imported by commercial importers, which were released after the issuance of Import Policy Order, 2009 through Model Customs Collectorates (MCCs) of Port Qasim and Appraisement, Karachi in violation of the said provisions of the Import Policy Order.
The investigation further showed that the consignments were shipped prior to issuance of Trade Policy, 2009. Condonation from the Ministry of Commerce was legally required for release thereof in terms of Para No 19 of the Import Policy Order read with Para No 1(2), sources said.
In the absence of any monitoring mechanism to ensure application of provisions of Basel Convention on disposal of hazardous waste, plastic scrap imported by persons registered as manufacturers is being released by the concerned Customs Collectorates on the basis of simple undertakings to abide by the provisions of the Import Policy.