Govt urged to tighten scrap import laws

In a significant legislative move to protect the environment, Pakistan has imposed a complete ban on the import of compressor scrap contaminated with hazardous material, say senior Customs officials.

The decision is part of the newly enforced, stringent regulations that align with international standards, particularly those outlined under the Basel Convention, they said. The new regulations specifically target the compressor scrap, which is often imported into Pakistan without being dismantled and is contaminated with substances such as oil, gas and other hazardous liquids. These materials are classified as dangerous under Schedule-I of the Basel Convention.

As part of this critical development, Pakistan's Customs tariff has been updated under the newly introduced HS Code 8549, in line with the World Customs Organisation's Harmonised System 2022.

These regulations were initially introduced through the Finance Bill 2023. In April 2024, the Federal Board of Revenue (FBR) issued SRO 628, which officially banned the import of such hazardous materials.

Senior Customs officials emphasised that the regulations had been designed to prevent unscrupulous importers from exploiting legal loopholes to bring dangerous compressor scrap, which posed severe environmental risks.

Despite the robust legal framework, sources indicated that there was a lack of effective enforcement and the illegal import of contaminated compressor scrap continued. Industry sources stressed the need for a rigorous implementation of the laws to prevent Pakistan from becoming a dumping ground for hazardous waste.