The National Board of Revenue (NBR) has warned of strict legal action against importers who bring reusable goods into the country by declaring them as scrap.
The NBR issued a circular on September 9 following a High Court directive, according to an order signed by its Second Secretary (Customs: Policy) Rezaul Karim.
The circular said the Import Policy Order 2026-2029, as well as previous orders, allows recognised industrial users to import waste and scrap under all applicable HS codes as industrial raw materials within their authorised import entitlement.
However, some importers have been importing reusable goods classified under other HS codes by declaring them as scrap, the circular said. When customs authorities seize such goods, importers have filed writ petitions with the High Court seeking their release.
In line with the court's directive, the NBR said importers would not be allowed to declare reusable goods as scrap under the applicable HS codes covered by HS heading 72.04, which covers ferrous waste and scrap, including iron and steel scrap.
Importers found violating the policy by declaring reusable goods as scrap will face strict action under the prevailing customs laws, the circular said.
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