COVID-19: Centre simplifies Oxygen cylinders' import procedure amid nationwide shortage

In the wake of an unprecedented second wave of COVID-19 in India, the Government has eased the procedure for the import of oxygen cylinders. The updated lax procedure is pertaining to a simplified grant for registration and approval. It does not incorporate the physical inspection and can be carried out online itself. This boost in the speed will foster speedy oxygen inflow in order to meet the undulating medical requirements of our country currently

The Government of India reviewed the previous procedure of registration and approval of global manufacturers for importing oxygen cylinders and cryogenic tankers/ containers by Petroleum and Explosive Safety Organization (PESO).

In a press release by the Ministry of Commerce and Industry, they clarified, "In view of the COVID pandemic, PESO shall not carry out physical inspection of global manufacturers' production facilities before grant of such registration and approval."

According to the press release, thereon approvals shall be granted online with no prolonged ado in the supply of this utmost critical component of India's medical industry as of now. Amendment in compliances has eliminated processes that included submissions as follows:

• manufacturer's particulars;
• International Organization for Standardisation (ISO) certificate of manufacturer;
• List of Cylinders/ Tankers/ Containers alongwith their specifications, drawings and batch number;
• Hydro-test certificate and
• Third party inspection Certificate.

As COVID-19 cases have been on the rise since April, 2021 which has been resulting in a grave shortage of medical oxygen for hospital-admitted critical COVID-19 patients, the Government of India has already imported numerous batches of life-saving medical equipment and pharmaceutical items from across the globe. This is essential particularly when India's dislocated rather flooded medical infrastructure has evidently outstretched its capacity. 

The Government has taken steps to simplify the import of such items. For instance, last month, the finance ministry waived off basic customs duty and health cess on imported oxygen and related equipment for three years. Ministry of Finance also reduced the Integrated Goods and Services Tax (IGST) on the import of oxygen concentrators for personal use from 28 per cent to 12 per cent. Integrated tax is leviable on State import of oxygen concentrators as IGST is the tax collected on interstate transactions when the seller and the consumer are located in different States. Earlier, Finance Ministry had, in the wake of an unprecedented surge in COVID-19 infections and ordeals that stemmed out of it, waived off import duty on vital diagnostic kits and reagents used in COVID-19 related diagnosis for the coming 6 months. This was issued in the public interest according to the Ministry of Finance. Earlier, basic customs duty was exempted on Remdesivir and its API (active pharmaceutical ingredient).