Government of India
Ministry of Commerce & Industry
Department of Commerce
Directorate General of Foreign Trade

Public Notice No. 12/2015-20

New Delhi Dated 18^th May 2015

Subject: Amendment in para 2.55 and 2.56 of Handbook of Procedures of FTP 2015-20 regarding issue of Pre Shipment Inspection Certificates.

In supersession of Public Notice No. 5/2015-20 dated 10^th April 2015 through which provisions of para 2.55 and para 2.56 of Handbook of Procedures, 2015-20 were kept in abeyance till further orders and in exercise of powers conferred under paragraph 2.04 of the Foreign Trade Policy, 2015-20, the Director General of Foreign Trade hereby substitutes the existing para 2.55 and para 2.56 of Handbook of Procedures of FTP 2015-20 as under:

“Para 2.55 Recognition as Pre-shipment Inspection Agency (PSIA) and issuance of Pre- Shipment Inspection Certificate (PSIC)

(a) Applications for recognition in respect of PSIAs have to be made in proforma prescribed in ANF 2L. The scanned copy of application in ANF 2L, along with relevant annexures and documents should be sent by e-mail to DGFT (at [email protected]), in addition to sending the same by post.
(b) For applicants based in India application fee will be Rs. 7500/- and for applicants based abroad the application fee will be US $200. The fees may be amended from time to time by DGFT.
(c) The applications will be considered by an Inter- Ministerial Committee.
(d) The recognized PSIAs will be notified under Appendix 2G for a period of three years. At the end of 3 years PSIA has to make a fresh application for further recognition.
(e) PSIA shall issue Pre-Shipment Inspection Certificate (PSIC) in the format given in Appendix 2H. PSIC would also carry uniquely numbered hologram of the PSIA.
(f) A PSIA can also carry out inspections in countries, where it does not have a full time equipped branch office but which falls within its area of operation, by deputing its Inspectors. However, for such inspections in other countries, the PSIA will be required to give prior intimation to DGFT by sending an email (at [email protected]) and furnishing details of visit / inspection done by the Inspector in PSIC.

Para 2.56 Responsibility and Liability of PSIA, Importer and Exporter

(a) In case of any mis-declaration in PSIC or mis-declaration in application form for recognition as PSIA, PSIA would be liable for penal action under Foreign Trade (Development & Regulation) Act, 1992, as amended, in addition to suspension/ cancellation of recognition.
(b) The importer and exporter would be jointly and severally responsible for ensuring that the material imported is in accordance with the declaration given in PSIC. In case of any mis-declaration, they shall be liable for penal action under Foreign Trade (Development & Regulation) Act, 1992, as amended.
(c) The scanned copy of the PSIC (in pdf format) shall have to be uploaded by the PSIA on DGFT website or emailed to DGFT (at [email protected]). The certificate shall be issued in prescribed form Appendix 2H.
(d) The PSIA will also be required to take photographs or make video of the inspection carried out, duly capturing the following activities/details:

(i) Photograph(s) or video clipping of the place of inspection with PSIA inspector (mandatory) and representatives of exporter / importer, if available (optional); with time, date of the inspection (at least 1 photograph or video clipping);
(ii) Photograph(s) or video clipping of the testing instrument(s) used for inspection;
(iii) Photograph(s) or video clipping of the process of stuffing of containers showing the container number (at least 1 photograph or video clipping per container)
(iv) Photograph(s) or video clipping of the sealing process (at least 1 photograph or video clipping per container)

(e) The photographs and/or video clippings [as per 2.56 (d) above] and PSIC shall be uploaded on DGFT website by PSIA, through digital signatures or sent to [email protected] through registered e-mail of PSIA. Till such time the DGFT website link is operationalized, the PSIC and photographs/videos will be e-mailed to the DGFT (at [email protected]).”

2. The procedure, as laid down in the amended para 2.55 and para 2.56 of Handbook of Procedures, as indicated above, shall come into effect from 01.07.2015.

3. Till 30.06.2015, the procedure for issue of Pre-Shipment Inspection Certificate (PSIC), in the format as prescribed in Appendix 5-B of para 2.32.2A (e) of HBP 2009-14, as laid down in para 2.32.2A and 2.32.2B of Handbook of Procedure Vol. I 2009-14, would remain effective.

4. The existing PSIAs (as on 01.04.2015) will have to file fresh applications in ANF 2L (new format) latest by 8^th June 2015 for updation of details of their offices/branches/authorized representatives in various countries etc. and expansion of their area of operation, if they so desire, as per the above mentioned procedure laid down in revised para 2.55 of HBP of FTP 2015-20.

5. New applicants who desire to be recognised as Pre-shipment Inspection Agencies (PSIAs) (w.e.f. 1.7.2017) may also apply by 8^th June 2015 in proforma prescribed in ANF 2L (new format) as per the above mentioned procedure laid down in revised para 2.55 of HBP of FTP 2015-20.

6. The revised format of application form for recognition as PSIA (ANF 2L) and revised format of PSIC (Appendix 2H) are at Annexure-A and Annexure-B respectively to this Public Notice.

Effect of this Public Notice

(i) Revised procedure to be followed by Pre-shipment Inspection Agencies (PSIAs) for issue of Pre-Shipment Inspection Certificates (PSICs), with effect from 01.07.2015, has been notified.
(ii) To facilitate transitional arrangements, till 30.06.2015, the PSIAs have been allowed to issue Pre-Shipment Inspection certificates ( PSICs) as per procedure laid down in para 2.32.2A and 2.32.2B of Handbook of Procedure Vol. I 2009-14, in the format prescribed in Appendix 5-B of Handbook of Procedures Vol. I, 2009-14.
(iii) Procedure for application by the existing PSIAs as well as new applicants for recognition/extension of area of operation etc. has been notified.

(Pravir Kumar)
Director General of Foreign Trade
E-mail: [email protected]
[Issued from File No.01/53/162/Misc/PSIA/AM15/S-5/IC]

Annexure-A to Public Notice No. 12/2015-20

dated 18^th May 2015

ANF- 2L

APPLICATION FOR RECOGNITION AS PRE-SHIPMENT INSPECTION AGENCY FOR METAL SCRAP
(Refer Para 2.55 of HBP)

*Proof of the address must be submitted along with the application form

2. Mandatory Testing equipments/Machinery for testing metal scrap:

Table 2.1

Attach additional information, if required, on separate paper

The photographs of the instruments must be attached, showing the Unique No., which may be uploaded on DGFT website
The Purchase Invoice of the instruments must be attached

2.2 List out any other equipment(s) available including laboratory facilities

Table 2.2

The photographs of the instruments must be attached, showing the Unique No., which may be uploaded on DGFT website

The Purchase Invoice of the instruments must be attached.

3. Membership:

Please attach a copy of such document to show membership.

4 Experience in metal inspection:

Quantity of metal scrap inspected (in MTs) in the last five years/ destination country–wise

Table 4.1 For Ferrous scrap

Table 4.2 For Non Ferrous scrap

5. Attach copy of last Annual Report / balance sheet of the Company.

6 Intended Area of Operations for issuance of certificate

7. Address of Head Office. _____________________________

7.1. Address(es) of Branch Offices _______________________
 (from where the Inspection  would be carried out) ____________

(a) The area of operation of PSIA would be as per the territory location of the Agency and the Agency
is required to declare all its office addresses coming in the area of its jurisdiction.
(b) The Agency shall be authorised to issue the certificate for the country in which it is located.
(c) For inspections to be carried out in other countries, PSIA will be required to give prior intimation to DGFT and also provide evidence of visit by the inspector and the inspection carried out.

8. Manpower: Details of Inspecting persons / inspectors who would carry out inspection:

The minimum qualification of the Inspecting officer should not be less than 10 + 2 / Senior High School with Science (physics and Chemistry).

The Certificate of Qualification of the staff and scanned copy of their passport must be attached.

8.1 Whether you have been debarred /de-listed by Indian Government or other Governments for carrying out inspection activities. If yes, details thereof.

8.2 Whether any judicial / quasi judicial proceedings are pending against you in any country / legal authority. If yes, details thereof.

9. Details of the bank guarantee of Rs. 10 lakh or US$ 20000 deposited by the Agency
D.D./Bank Receipt No.________ Date _________ Amount ___________
Name of Bank and its Branch on which drawn

Declaration

(1) I / We hereby declare that the particulars and the statements made in this application are true and correct to the best of my / our knowledge and belief and nothing has been concealed or held there from.

(2) I / We fully understand that any information furnished in the application if found incorrect or false will render me / us liable for forfeiture of Bank Guarantee and any penal action or other consequences as may be prescribed in law or otherwise warranted.

(3) I / We hereby undertake that the in case it is found that the consignment is not scrap or prohibited items are present in it, I would be liable to pay a penalty of Rs.10 lakhs, (if based in India) or US$20,000 (if based in foreign country) and forfeiture of the bank guarantee deposited, in addition to suspension / cancellation of recognition certificate.

(4) I / We undertake to abide by the provisions of the FT (D & R) Act, 1992, the Rules and Orders framed there under, FTP, HBP and Aayat and Niryat Forms and ITC (HS).

(5) I / We hereby certify that none of the Proprietor / Partner(s) / Director(s) / Karta / Trustee of firm / company, as the case may be, is / are a Proprietor / Partner(s) / Director(s) / Karta / Trustee in any other firm / Company which has come to adverse notice of DGFT.

(6) I / We hereby certify that the Proprietor / Partner(s) / Director(s) / Karta / Trustee, as the case may be, of the firm/company is / are not associated as Proprietor / Partner(s) / Director(s) / Karta / Trustee in any other firm / company which is in the caution list of Reserve Bank of India.

(7) I/We hereby declare that all the radiation testing equipment/machinery for testing metal scrap as per para 2 are calibrated periodically as per the specifications of manufacturer. In case of failure to ensure the same, I/We shall be liable for appropriate action by DGFT as deemed fit.

(8) I hereby certify that I am authorised to verify and sign this declaration as per Paragraph 9.6 of the Foreign Trade Policy.

Annexure-1 to ANF2L

Details of instruments

Hand held survey meter

Portable Spectrometer

*Response time: It is the time taken by a radiation monitor to stabilize the meter reading (typically it should be of the order of 2-3 seconds for field instruments at the natural background radiation levels).

Note: For practical purpose (for gamma radiation with whole body exposure): 1μR=1μrem=0.01 μGy=0.01 μSv=10nSv

Annexure-B to Public Notice No. 12/2015-20

dated 18^th May 2015

Appendix-2H

FORMAT OF PRE-SHIPMENT INSPECTION CERTIFICATE

This Pre-Shipment Inspection Certificate is issued in terms of paragraph 2.54 of Handbook of Procedure for import of shredded, un-shredded, compressed and loose forms of metallic waste and scrap.

I, hereby certify the details as below:-

That I/we have visually inspected the consignment and certify the following:

(a) The imported consignment is actually metallic scrap/seconds/defective as per the internationally accepted parameters for such a classification.
(b) The consignment does not contain any symbol related to ionizing radiation and/or any marking related to transport of dangerous goods classified as Class 7 as per United Nations classification.
(c) Details of Importer are as follows:

(i) Name: _____________________________
(ii) Address: ____________________________
(iii) Importer Exporter Code No.__________________________
(iv) Telephone No. _______________ (Mobile) _____________
(v) E-mail _____________________________

(d) Details of Exporter are as follows:

(i) Name: _____________________________
(ii) Address: ___________________________
(iii) Telephone No. ______________________ (Mobile) _________________
(iv) E-mail ____________________________

(e) Type of Scrap: Shredded / Un-shredded.
(f) Details and quantity of import:

Description of metallic scrap

*Note 1: Seal Number of the seal affixed by PSIA/Exporter.

Note 2: In cases where the Customs of the exporting country have put seal (after examination of the container) the changes reflected in Bill of Lading shall be applicable.

(g) (i) Country of Inspection ______________________
(ii) Place of Inspection _________________________
(iii) Date of Inspection _________________________
(iv) Duration of inspection (in hours) from ------ to ---------
(v) In case inspection is carried out in a country where PSIA does not have an equipped branch office, then date of prior intimation by e-mail to DGFT (at [email protected] )

(h) Details of radiation survey meter used:

• Make-
• Model-
• Serial no.-
• Last date of calibration-

DECLARATION

(1) The consignment does not contain any type of arms, ammunition, mines, shells, cartridges, or any other explosive material in any form, either used or otherwise, and that the consignment was checked for radiation level and it does not have radiation levels (gamma and neutron) in excess of natural background. The radiation level of the consignment is within the accepted range and is fit to be exported to India

(2)The photographs / video clip of the inspection carried out, along with duly signed inspection report of the Inspector and scanned copy of this PSIC are being uploaded on DGFT website / e-mailed to DGFT (at [email protected] ).

(3) I/We hereby declare that the particulars and statements made in this certificate are true and correct and nothing has been concealed or held there from.

Date ____________

Seal of PSIA

Signature ___________________________
Name of the Authorised Signatory_________

PSIA’s uniquely
numbered hologram

Designation______________________________
Address (office) __________________________
E Mail Address___________________________
Phone Number___________________________
Name of the PSIA (as per Appendix 2G) _______
Address: __________________
Telephone Number ________________
E mail _______________________