3 SEZS get extension for importing plastic waste

The government has granted a sixmonth extension to listed recycling units in three special economic zones (SEZS) for importing plastic scrap. Domestic recycling units in the country are facing a ban on importing plastic wastes over environmental concerns.

The Board of Approval for SEZS has extended letters of agreement (Loas) to the three SEZ units for six months until May 31, 2020. The Loas were earlier scheduled to expire on November 30, 2019. The decision was taken around two weeks ago during a meeting between members from leading departments involved in the monitoring of imports, under the chairmanship of Anup Wadhawan, secretary, Department of Commerce.

The SEZS where recycling units are allowed to import plastic scrap are Kandla Special Economic Zone (KASEZ), Falta SEZ, Kolkata, and Noida Special Economic Zone (NSEZ), Noida.

“The board after deliberations decided to grant an extension of validity of LOA for a period of six months beyond November 30, 2019, i.e. to May 31, 2020, to the listed plastic recycling units in KASEZ, Falta SEZ and NSEZ. The board directed to call a meeting with the committee on policy for plastic recycling to discuss the matter and while the policy provisions are deliberated, the physical exports of the units shall be assessed on annual basis,” said the minutes of the meeting of the Board of Approval, which is under the ministry of commerce.

The ministry of environment and forest (MOEF) vide its notification dated March 1, 2019, had prohibited import of solid plastic waste by SEZS and export-oriented units (Eous). But, a few dozen plastic recycling units were exempted.

Before the ban, India imported thousands of tonnes of plastic wastes from across the world which often were mixed with hazardous materials. Thus, the processing of hazardous materials proved environment unfriendly. Hence, the government banned their import amid voluntary commitment to protect the environment.

“The government banned issuing new licenses for plastic units about two decades ago but granted new licenses to new units in SEZS and EOUS to boost plastic exports and foreign exchange,” said a senior official of a plastic recycling unit.

The government has banned single-use plastics of poor grade which are manufactured primarily from wastes as a raw material. Meanwhile, the renewal of Loas will allow the import of cheap raw materials and discourage scrap collection from local sources, the official added.