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Home  IPMA in Dialogue |
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Permissible percentage of contaminants in the imported consignments of waste paper
IPMA�s interface with the Union Ministry of Environment & Forests is continuing since 2005 on this critical issue. In its circular no. 13-1/2004-hsmd dated 24th March 2005, MOEF had posed a huge roadblock for importers of waste paper upon misinterpretation by the customs authorities. After much deliberations, MOEF conceded to IPMA�s views and issued an Amendment Order dated 10th February 2006 allowing import of waste paper with following riders:
- Up to 8% by weight of waste paper imported for processing may consist of recyclable materials which are otherwise on OGL and not putrefiable organic matter.
- The maximum 8% content of recyclable waste material must be verified by the customs in respect of each imported consignment
- The importers would have to ensure that all recyclable materials are actually recycled, either by them or by other firms in the business of recycling and that there should not be any disposal of material other than recycle; adherence to be monitored by the State Pollution Control Boards.
The above referred amendment order is still in force but MoEf�s contention is that the Ministry is continuously receiving complaints of indiscriminate imports and dumping of waste paper along with putrifiable organic material and other undesired contaminants into the country.
MOEF has reviewed the import policy for waste paper periodically in the recent years and in the last review meeting held on February 09, 2010, the Union Ministry has decided to drastically reduce the permissible limits of contaminants in the imported waste paper consignments. IPMA has requested MoEF to follow PS 2007 standards for all grades and also to adopt percentage of prohibitive limits (non-paper contraries) as specified for each grade. To ensure hassle free inspection and clearance of imported waste paper consignments, IPMA has suggested to the government that it would be most appropriate if the field forces of the Customs and State Pollution Control Boards are well educated with regard to international specifications.
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Waste Paper Import Issue: Waste Paper imports into India have been under OGL & un-restricted. However with effect from March 18, 2009 the Customs Authorities referring to a notification by MoEF dated Sept 24, 2008 have started insisting on prior permission of MoEF and a licence from DGFT for imports of waste paper. This sudden move has adversely affected large segment of paper industry as a huge number of Waste Paper consignments have piled up at different ports of discharge due to non-clearances by the Customs across the country resulting in heavy demurrage on detention.
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(Feb 01, 2009), IPMA�s pre budget representation (2009-10) to Govt of India: In its budget representation submitted to the Government, IPMA discussed the industry challenges and path forward.
IPMA�s views on Policy for Water Usage by Industry: Paper industry understands and appreciates the government concerns to conserve the under ground water quantity and quality. IPMA has welcomed the Government's intention to create National Recharge Fund for helping the investment needs for ground water recharging and also, welcomes projects in Public-Private-Partnership mode for encouraging recycling of waste water and ploughing it back to industrial usage. But, the undeniable fact is that it calls for a very detailed planning and evaluation of the proposals from the point of view of their technical feasibility and economical viability. IPMA has cautioned that the main issue before the paper industry is the raw material availability which has restricted the adoption of modern process technology. Therefore, international bench marking may not be fair in regard to the water use.
(Jan 16, 2008), IPMA urges government to keep sensitivities of India�s pulp and paper sector in view while negotiating Regional Trade Agreements (RTAs) and Free Trade Agreements (FTAs): In a communication to Department of Commerce, Government of India, IPMA has expressed hope that India�s interlocutors will effectively negotiate with trading groups while finalizing the Regional Trade Agreements and protect the interest of the Indian Paper Industry. IPMA has urged the government to recognize the fact that the domestic paper industry is still to attain global competitiveness due to certain glaring structural deficiencies and economies of scale.
According to IPMA, Indian paper industry has adequate capacity for a large range of products. It however suffers from competitive disadvantages vis-�-vis global majors in the neighboring Asian countries. It is highlighted that wherever adequate production capacity is available in India, those varieties of paper/ paperboard/paper products should be treated as �Most Sensitive� and hence, should be kept out of the trade agreements till the government of India has implemented �Enabling Policies� for creation of robust raw material base and homogenized direct/ indirect tariff structures.
(Dec 15, 2008), IPMA urges clarity on The Hazardous Materials (Management, Handling and Transboundary Movement) Rules, 2007: In a communication to Ministry of Environment and Forests (MoEF), Government of India, Indian Paper Manufacturers has stated that the sludge containing absorbable organic halides (AOX) generated by the paper mills has pH factor ranging between 9 to 11 and is nothing but an inert waste. Unfortunately, the paper mills receive show cause notices from the State Pollution Control Boards only because a clear directive from Central pollution Control Board (CPCB) has not been circulated in this regard.
According to IPMA, a scientific study conducted by Central Pulp and Paper Research Institute (CPPRI) at the behest of CPCB has reportedly vindicated the paper industry�s stand on the subject.
(Dec 01, 2008), IPMA urges implementation of Multi-Stakeholder Partnership program: According to IPMA India�s forests have come under intense and increasing biotic pressure leading to constant depletion of growing stock, degradation of forest resources and poor productivity. The Multi - Stakeholder Partnership (MSP) for forestation represents a win-win model for all the parties engaged.
Going by available Government records and Forest Survey of India�s last assessment of the Indian Forests, a comprehensive picture that conjures up is as follows:
Of total geographical area
- Country�s forest & tree cover stand at 23.68%
- Country�s Wastelands is 55.27 Million ha
Global Perspective
- From global perspective, with 1% of the world�s forests India is required to support 16% of the world�s human population and 18% of world�s live stock.
National Objective / Strategy: Besides maintaining existing 23.68% forest and tree cover, to achieve target of 33% by 2012 implying a total additional 31.46 Million ha of forest/ tree cover. To execute this gigantic task in a given time-frame on war footing -
- Encourage involvement of various stakeholders
- Resource mobilization to supplement Government�s plan funds
- To streamline/rationalize existing Forest/ Legislative provisions
Corporate Sector as a Stakeholder: Population explosion along with widespread poverty has generated pressure on natural resources and thus contributing to degradation of environment. The forest resources are exploited for fuel wood and are also threatened due to overgrazing. There are other forms of over exploitation, both for commercial and household needs, encroachments and developmental activities. Hence, considering the magnitude of the deficit and the resources required to bridge the gap efforts of the government need to be supplemented by other agencies including the Corporate Sector. While several global majors in the Paper & Pulp business like Brazil, Chile, Canada, Indonesia, China, Malaysia, Scandinavian, USA etc. have derived tremendous benefits by developing production/industrial plantation, India has lost valuable time debating as to how the degradation of forest resources will be halted and what policies should be adopted for restoration and re-forestation of degraded forestlands. Consequently, because of uncertainties regarding cost effective fibrous raw material availabilities there has not been any green field investment in a new integrated pulp and paper mill in the country in the last more than two decades.
Expansion of green cover: Afforestation of degraded forestland by adding forest cover and helping meet the National Target of 33%.
Scaling down pressures on existing natural forests: Deforestation from natural forest areas potentially 20-30 times larger than plantation areas. Man made plantation ensures higher yield.
Employment generation & economic benefits: Rural employment, mostly tribals - approximately 250 million mandays initially (7-8 lakh fully employed persons)
Improvement in rural economy: 70% of the project cost towards wages, Check migration to cities
Fuelwood: Increased availability for local Community - short supply of fuelwood is major factor for forest denudation.
Soil conservation: Increased vegetal cover shall stop the irretrievable loss of top soil.
Water conservation: Being rainfed, afforestation shall improve underground water resource.
Discouraging encroachments: Peripheral to surviving natural forest areas, these man made plantation shall act as a buffer and an effective barrier to encroachments on forest areas.
Improved plantation productivity: Applied R&D will lead to higher yields as has been experienced by several other countries.
Save Foreign Exchange: By reduction in growing imports of fibre/forest based products (Pulp, Paper, Newsprint, Plywood, Timber, etc.)
Why MSP? : Multi Stakeholders Partnership provides an avenue to wood based industries to grow and meet their raw material need and simultaneously, contribute to the Nation�s endeavor for the �Greening and Forestation� of degraded land. Paper Industry needs just 1.2-2 million ha of forest degraded land to create a robust raw material base in the country to effectively charter growth and be globally competitive in terms of wood cost. The ownership of land remains intact with the State. The industry is also committed not only to continue its Social Forestry efforts with marginal farmers but also enlarge areas of such activity across the country. After holding wide ranging discussion for more than 2 years with Govt. Ministries, Industries, Apex Chambers, NGOs, Opinion Leaders etc., Ministry of Environment & Forests ultimately evolved a MSP model for forestation of degraded land. It provides a win-win situation to all � the State, Local Community and the User Industry.
As of now the policy document awaits necessary clearance by the Cabinet.
Media Debate - Should degraded land be leased to industry? Mr R Narayan Moorthy, Secretary General IPMA participated in a debate on the subject �Should degraded land be leased to industry?� organized by leading financial daily - Business Standard.
Mr Moorthy emphasized on the point that Around Rs 60,000 cr is required to meet the country�s forest cover needs. A PPP effort is needed to achieve this goal.
(Sep 03, 2008), IPMA underscores Training Needs of Paper Industry: Professional training and skill development have been identified as key areas to give a fillip to manufacturing sector. Dept. Of Policy & Promotion (DIPP), Union Ministry of Commerce & industry and the Planning Commission are driving the agenda of skill enhancement with a view to attain the targeted 12% growth in manufacturing in the country.
In particular, the challenges for skill development in paper industry need to be addressed urgently as the growth in paper industry is directly linked to economic development. In a recent communication to CPPRI designated as the agency to collect data on the industry, IPMA has provided fresh inputs on training needs of paper industry.
The areas covered for training needs range from raw material to finished products.
These include:
- Raw material like wood, agro and waste paper
- Raw material handling and preparation
- Pulping including Extended Delignification, Oxygen Delignification, ECF/TCF, Bleaching, Deinking etc.
- Evaporation plant
- Chemical Recovery Boiler
- Lime Kiln
- Reacausticising
- Stock preparation including wet end chemistry
- Paper Machine
- Finishing and conversion
- Environmental issues including CREP
- Steam and power - Generation and consumption
- Usage of water and efforts on water conservation
- Instrumentation and control � basics for operators
- Certification systems like ISO,TPM,WCM and OHSAS
- Bench marking
- Climate change and carbon trading
- Clean development mechanism, Climate change and carbon trading
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