SIMS Registration - Procedures, Fees, and Documents Required

The government of India implements the SIMS registration for arranged import and export of steel in India. The SIMS registration is issued by the Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industry. The SIMS registration is a record tracker of the government for the steel import and export of India. Due to the multiple importance of steel imports, such as growing infrastructure and increased need for specialized steel grades, the SIMS registration is important for the entities that deal with steel imports in India.

Therefore, the DGFT has taken action to procure the imported steel by mandating the applicants to register themselves under SIMS registration. Steel importer entities have to make sure that they comply with the legal guidelines of SIMS registration before making any commitments for importing specialized grading steel. Get complete insights into how to get SIMS registration, including the documents, procedures, eligibility criteria, and fee structure for acquiring the SIMS registration here.

What is a SIMS Registration?

SIMS Registration is the process of registering with India's Steel Import Monitoring System (SIMS). This method forces importers of specific steel items to register the items they buy before they reach the country. The goal of this register is to monitor steel imports and give the Indian government specific details on the quantity and type of steel imported.

By focusing only on quality steel imports, the government ensured that the steel import wouldn’t corrupt and flood the domestic market with cheap quality steel. Importers must provide advance information via an online system and pay a registration fee to get an automated registration number. The registration number is valid for 75 days only. The SIMS registration must be placed into the bill of entry so that customs can clear the consignment.

Objectives of SIMS Registration

Here are the objectives of SIMS registration which encompass this certificate more valuable in import industry of steel:

• To protect and regulate the fair trade practices for importing steel
• To collect comprehensive and full information on steel imports, such as the types, amounts, sources, and values of imported goods.
• To help prevent illegal imports, such as smuggling or dumping, keep track of registered importers and their activities.
• To aid trade analysis and policymaking by providing accurate data on steel imports.

Importance of obtaining SIMS Registration

Here is the importance of SIMS registration, which is as follows:

• Market observation: It enables the Indian government to keep a careful eye on the types and quantities of steel that get imported into the nation. Making informed policy decisions and comprehending market patterns depend largely on this data.
• Supporting Domestic Sector: By allowing the government to act right away, such as modifying tariffs or quotas with response to data gathered, the SIMS registration helps ensure the protection of the domestic steel sector.
• Managing Imports: SIMS assists in preventing the dumping of cheap steel from foreign nations, which might collapse the growth of the domestic steel industry. It guarantees that import regulations are set up to promote fair competition.
• Foster Transparency: The import procedure is made transparent by requiring importers to submit complete data about their merchandise. This aids in preventing unauthorized imports of steel.

Documents Required for SIMS Registration

Following are the documents required for SIMS registration:

• Basic details and documents of applicants
• Proof of business
• Digital signature certificate (e-token)
• Import-export code
• HSN code of the product
• Bill of lading, invoice copy

Fees Structure of SIMS Registration

The fees structure for obtaining Steel Import Monitoring System (SIMS) registration is ₹500/-, as directed by Directorate General of Foreign Trade (DGFT).

Eligibility Criteria for SIMS Registration

Following are the eligibility criteria for Steel Import monitoring System (SIMS) Registration:

• Importers of Specified Steel Products: A SIMS registration is necessary for those importing steel products that correspond to the Harmonised System (HS) codes that the Indian government has defined. Numerous types of steel products, including iron and steel in different forms, are covered by these HS codes.
• Brokers for Customs: Before submitting the Bill of Entry to Customs, brokers for Customs must make sure that the importers they serve have obtained the required SIMS registration.
• Importers of Items in Transit: In order for importers to have their steel goods cleared by customs, they must obtain a SIMS registration, even if the goods are already on their route to India.

Note: Businesses must import steel goods that are classified under chapters 72, 73, and 86 of ITC (HS) 2017 Schedule-1.

Procedures for Obtaining SIMS Registration

Here are the complete procedures to obtain the SIMS registration with the help of our Bizfoc experts:

• Step 1: Documentation: Gather all the required documents, such as personal details of the organization, an authorized representative of the business, incorporation documents, and the basic details of the business.
• Step 2: Submit application: Your next step is to communicate all the credentials as and when required with our team of professionals, which will help you to assist in getting your Steel Import Monitoring System (SIMS) registration.
• Step 3: Pay fees: After submitting the application fee, your next step is to pay the application fees for proceeding with the further process that is mentioned in the above slab categories.
• Step 4: Verification and approval: Upon filing and paying all the formalities that are being required by our team, we would send the application to the concerned authority for further verification and approval of the application. If the authority finds any errors or discrepancies, then your application may be revoked or held cancelled, or may require you to repeat the process from the beginning.
• Step 5: Issuance of certificate: Upon successful verification of the application, the concerned authority would grant the approval and issue the certificate on the behalf of the applicant.

Validity and Renewal of Chips Import Monitoring System

The registration number for the Steel Import Monitoring System (SIMS) lasts for 75 days once it is generated. Importers can apply for registration 60 to 15 days before submitting the bill of entry.

Modification/Cancellation of SIMS Registration

Licenses that are not yet submitted can be canceled by deleting the draft certificate. In case the application has been submitted, cancellations cannot be made.

Why Choose Bizfoc for SIMS Registration?

Here are the evident reasons why you should choose Bizfoc for SIMS registration:

• Focus planning: Our team of professionals will focus on building your registration faster.
• Cost efficiency solution: In terms of cost efficiency, our company will provide you at relatively lower cost.
• Focus on business core: By outsourcing your task to our expert, your team can focus on what they do best—growing and managing your business by resting trust tag on us.
• Tailor fine touch: We provide you tailored and fine touch on getting your SIMS registration.

Conclusion

The Steel Import Monitoring System (SIMS) Registration is evidence to check the import of specific steel products. It requires importers to register online and obtain a SIMS registration number before importing these products into India. The registration applies to a range of steel products listed under specific Harmonized System (HS) codes. Importers must register at least 15 days before the shipment's expected arrival in India and must include the SIMS registration number in the Bill of Entry to clear customs. The system aims to provide advanced information about steel imports to help the government monitor and manage the import volume, supporting domestic industries.

Frequently Asked Questions (FAQs)