LAHORE: As Pakistan has recently updated its import policy in line with the international waste management standards as defined under the Basel Convention to protect the environment, the customs tariff has also been updated under the HS code 8549 in alignment with the World Customs Organisation’s Harmonised System (HS) 2022 update through SRO 628, which officially bans certain hazardous e-waste imports, including compressor scrap.

According to a senior customs official, compressor scrap, often imported into Pakistan without being dismantled, includes both usable compressors and those contaminated with hazardous substances such as oil, gas, and liquids classified as hazardous under the Schedule I of the Basel Convention.

The HS code 8549 was introduced through the Finance Bill 2023, updating the customs nomenclature in line with the WCO Harmonised System (HS) 2022 update. Subsequently, in April 2024, the FBR issued SRO to formally include the goods covered under the newly introduced HS code in the banned list of the import policy. “This change is a critical step towards protecting the environment and compliance with global regulations on hazardous waste,” the customs official asserted. “The enhanced regulation of waste electrical and electronic equipment is required for proper classification and control of hazardous waste to prevent environmental harm and illegal trafficking. The aim of these measures is to prevent unethical importers from using the loopholes to bring in hazardous compressor scrap that poses significant risks to the environment.”

Nevertheless, illegal import of reclaimable and contaminated compressors brought into the country in the garb of compressor scrap continues, the steel industry sources argue that the enforcement of the new, robust legal framework remains weak and is yet to take full effect.

“Pakistan’s environment remains vulnerable as the laws, though strong on paper, require rigorous implementation to prevent the country from becoming a dumping ground for hazardous waste,” an industry source contended.

According to him, the real challenge lies in translating the legislative advances into concrete actions to protect the country’s borders and its environment from dangerous imports. “These illegal imports not only pose significant environmental risks but also distort market dynamics and leads to substantial revenue losses for the country,” he said.

Published in Dawn, September 6th, 2024