(Photo Courtesy: Image by KamranAydinov on Freepik)
New Delhi: The government has introduced a simplified registration mechanism —SARAL SIMS — under the steel import monitoring system (SIMS) to ease compliance for MSMEs and small importers bringing in small consignments of iron and steel products. The facility will also cover imports made under the advance authorisation, SEZ and EOU schemes for export production. The new system, aimed at reducing paperwork and improving ease of doing business, will come into effect from November 21, 2025.
Under SARAL SIMS, importers will only need to declare the total intended import quantity for the year, after which a SARAL SIMS number will be issued. This registration will allow importers to bring in multiple consignments during the financial year without the need for individual consignment-wise SIMS numbers. The facility can be availed for small consignments of up to 10 tonnes, subject to an annual cap of 1,000 tonnes, under the category: ‘SARAL SIMS for small import’. For imports under advance authorisation, SEZ or EOU routes meant exclusively for exports, there will be no quantity threshold, under: ‘SARAL SIMS for export purposes’.
Importers using SARAL SIMS will need to submit an annual return detailing actual imports made against the registration by April 30 of the following financial year, and shipments under the same number will be permitted until that date. In cases where the total quantity imported under SARAL SIMS exceeds the prescribed annual cap of 1,000 tonnes, the importer will have to shift to the regular SIMS system for the remainder of the year. Once migrated to regular SIMS, SARAL SIMS cannot be used again during that financial year. For FY 2025-26, the annual cap for SARAL SIMS for small imports has been set at 500 tonnes, applicable until April 2026. From FY 2026-27 onward, the 1,000-tonne annual threshold will apply.
Existing System Streamlined
Alongside the new facility, the government has also streamlined the existing regular SIMS system by reducing the number of data fields in the application form from 56 to 20, significantly cutting down compliance effort. Additionally, the requirement of seeking clarification or a no-objection certificate from the Ministry of Steel for non-QCO (quality control order) covered steel grades has been withdrawn, enabling importers to generate SIMS numbers directly from the portal without additional approvals.
Officials said the reforms are intended to boost trade facilitation and support steel-based manufacturing industries by reducing procedural burdens and turnaround time for import clearances.