National Technical Regulations on environment for imported scraps: Reviewing shortcomings before coming into effect

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	National technical regulations on environment for imported scraps

The promulgation of the National technical regulations on environment for the list of imported scraps will help the Customs authority to further closely control this commodity. Photo: N.L

From 29th October 2018, the National Technical Regulations on environment for imported scraps such as steel, plastic, paper, glass, non-ferrous metals (copper, aluminum, nickel, zinc, tin, vonfram, molybdenum, magnesium, titanium, zircon, antimony, manganese, and chromium) and granulated slag will be issued for carrying out the import procedures. Hence, it will stop the lack of the National Technical Regulations on environment for scraps in the list of scraps allowed to be imported from abroad as raw materials for production under Decision 73/2014/ QD-TTg of the Prime Minister for carrying out Customs procedures (Previously, the National technical regulations on the environment are only applied for the items: plastic, paper, iron and steel).

At the online conference on summarizing of work performance in the third quarter 2018 held by the General Department of Vietnam Customs, Mr. Au Anh Tuan, Acting Director of Customs Supervision and Control Department (under the GDVC) said that although these Circulars have not taken effect, through the studying on the implementation, there are some shortcomings in the two Circulars.

Specifically, Circular 08/2018/TT-BTNMT and Circular 09/2018/TT-BTNMT has abolished Article 10 of Circular 41/2015/TT-BTNMT relating to documents when carrying out Customs procedures. According to the new regulation, documents shall not be required to submit to the Customs authority such as Certificate of eligibility for environmental protection on the scrap import; Written notification of the import of scrap; Deposit Certificate for scrap import issued by the Vietnam Environment Protection Fund and commercial bank where the organization or individual deposited; Written Certificate of eligibility for technical regulations on environment for imported scrap shipments issued by the organizations designated by the Ministry of Natural Resources and Environment.

However, if implementing under Circular 08/2018 / TT-BTNMT and Circular 09/2018 / TT-BTNMT, the Customs authority will face difficulties in implementing Directive 27/ CT-TTg of the Prime Minister. Because, Directive 27/CT-TTg stipulates that the Ministry of Finance shall request the General Department of Vietnam Customs to apply measures to prevent imported scrap shipments that do not meet Vietnam’s regulatory laws; to request shipping lines/shipping agents to fully declare specific information on goods owners in Vietnam on e-Manifest prior to the arrival of goods for the imported scraps (name of importer, tax code, address, number of certificate of eligibility for environmental protection on scrap import as raw materials for production ...), to specifically describe the goods to identify the type of scraps under the list of scraps permitted to import from foreign countries as raw materials for production; to request the Customs authority to notify shipping lines/ shipping agents, port operators and port authority not to allow cargo discharge as scraps from vessels to ports if the goods owners do not have valid certificates of eligibility for environmental protection on scrap import as raw materials for production and are no longer subject to the import quota and have not deposited for scrap import according to the provisions of the law.

According to Mr. Au Anh Tuan, implementing Directive 27/CT-TTg, the Customs authority must check the certificate of eligibility for environmental protection on scrap import, the import quota and the deposit certificate to permit the cargo discharge. Therefore, if the Customs authority does not have these documents, it is very difficult for it to implement.

In addition, the Circular also stipulates that the authority responsible for the State inspection on quality for imported scrap is the Natural Resources and Environment Department. The designated assessment organization is the organization which is granted the certificate of registration for assessment in accordance with regulations and in the list of assessment organizations designated by the Ministry of Natural Resources and Environment.

Previously, as per Circular 41/2015/TT-BTNMT, the conformity certification body shall issue a notification on scrap meeting the national technical standards, on that basis, the Customs will carry out Customs clearance.

According to the new regulations, the performance shall be in accordance with the Law on Product and Goods Quality and Decree 74/2018/ND-CP (amending and supplementing Decree 132/2008/NĐ-CP detailing the implementation of some articles of the Law on Product and Goods Quality), after inspection results are issued by conformity certification bodies, they shall be sent to the Natural Resources and Environment Departments where enterprises’ production establishments are located, and the notification on imported scraps meeting national technical standards shall be issued as the basis for Customs clearance.

National technical regulations on environment for imported scraps VCN - The Ministry of Natural Resources and Environment has issued Circular 08/2018 / TT-BTNMT and Circular ...

The Ministry of Natural Resources and Environment also stipulates that the Natural Resources and Environment Departments which manage and controlle types of scraps in carrying out procedures related to inspection, leading to difficulties. "According to the list of import goods subject to customs procedures at the entry border gate (in Decision No. 15/2017/QD-TTg), imported scraps must be implemented procedures at the entry border gate but the inspection authority is the provincial and municipal Natural Resources and Environment Departments where production establishments are located, leading to difficulties in coordinating for inspection and prolonging inspection time and affecting the implementation of Customs procedures by the Customs offices," Mr. Tuan said.

Also, Mr. Au Anh Tuan, shortcomings that may arise in the implementation of Circular 08/2018/TT-BTNMT and Circular 09/2018/TT-BTNMT are being reviewed by the Customs Management and Control Department, and provincial and municipal Customs Departments and then will be consulted by the General Department of Vietnam Customs to report to the Ministry of Finance for issuing an official letter to the Ministry of Natural Resources and Environment before these two Circular come into effect.