In petition filed by Shattaf Steel Ind Co LLC, Emirates Steel LLC and Arabian Gulf Steel Industries LLC, the Indian Customs Commissioner was asked to investigate “fraudulent practices” related to the import of steel scrap. The petition said the illegal imports caused economic and environmental losses and affected the terms of the Comprehensive Economic Partnership Agreement (CEPA) signed between the UAE and India in May 2022. Steel scrap entering India illegally is disrupting the competitive structure of the industry and harming local producers, the companies said.
UAE Government Regulations in 2023
In 2023, the UAE government introduced various regulations on steel and scrap trade, tightening export processes. However, Abu Dhabi-based companies claim that steel scrap entering the Indian market through fraudulent means has rendered these regulations ineffective.
It remains to be seen how the Bombay High Court will respond to this application. Industry representatives are closely monitoring whether the Indian government will investigate the allegations of irregularities in steel scrap imports and whether it will make new arrangements in customs processes.
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