{"id":55000,"date":"2023-04-12T17:33:38","date_gmt":"2023-04-12T12:03:38","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=55000"},"modified":"2023-04-12T17:33:40","modified_gmt":"2023-04-12T12:03:40","slug":"ec-legalities-applicable-on-foundries-in-the-metallurgical-sector","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/ec-legalities-applicable-on-foundries-in-the-metallurgical-sector\/","title":{"rendered":"EC Legalities Applicable On Foundries in the Metallurgical Sector"},"content":{"rendered":"\n<p>Metals are crucial to other manufacturing sectors like engineering, electrical and electronics, automobile and automobile components, packaging and infrastructure. The performance of the metallurgical industry is a reflection of the overall economy. India\u2019s metallurgical industries are very crucial to the country\u2019s economic development. This sector produces 95 minerals, 4 fuel-related minerals, 10 metallic minerals, 23 non-metallic minerals, 3 atomic minerals and 55 minor minerals, including building and other types of minerals. Sustained growth is therefore expected to be seen across all key segments, including the foundry sector. However, the Metallurgical industries have the potential to cause damage to the terrestrial and aquatic environment. Therefore, legalities applicable on foundries include <strong><a href=\"https:\/\/corpbiz.io\/environmental-clearance\">environmental clearance<\/a><\/strong> for setting up any primary metallurgical process under category A. However, in the case of secondary metallurgical units, the project will be appraised at the state level as Category B projects under section 3 (a) Metallurgical Industry. Also, in the case of the secondary metallurgical industry, those projects involving the operation of a furnace only, such as induction and electric arc furnace, submerged arc furnace and cupola with a capacity of more than 30,000 TPA, would require environmental clearance.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/ec-legalities-applicable-on-foundries-in-the-metallurgical-sector\/#Categorisation_Used_in_Indian_Metallurgical_Industry\" >Categorisation Used in Indian Metallurgical Industry<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/ec-legalities-applicable-on-foundries-in-the-metallurgical-sector\/#Legalities_Applicable_On_Foundries_in_the_Indian_Metallurgical_Industry\" >Legalities Applicable On Foundries in the Indian Metallurgical Industry<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/ec-legalities-applicable-on-foundries-in-the-metallurgical-sector\/#Government_Initiatives_for_the_Development_of_Foundries\" >Government Initiatives for the Development of Foundries<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/ec-legalities-applicable-on-foundries-in-the-metallurgical-sector\/#Environment_Clearance_Legalities_Applicable_On_Foundries\" >Environment Clearance Legalities Applicable On Foundries<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/ec-legalities-applicable-on-foundries-in-the-metallurgical-sector\/#Environment_Clearance_Legalities_Applicable_On_Foundries-2\" >Environment Clearance Legalities Applicable On Foundries<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/ec-legalities-applicable-on-foundries-in-the-metallurgical-sector\/#Siting_Legalities_Applicable_On_Foundries\" >Siting Legalities Applicable On Foundries<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/corpbiz.io\/learning\/ec-legalities-applicable-on-foundries-in-the-metallurgical-sector\/#Structure_of_EIA_Report\" >Structure of EIA Report<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/corpbiz.io\/learning\/ec-legalities-applicable-on-foundries-in-the-metallurgical-sector\/#Issues_with_the_Indian_Foundry_Sector\" >Issues with the Indian Foundry Sector<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/corpbiz.io\/learning\/ec-legalities-applicable-on-foundries-in-the-metallurgical-sector\/#Market_Overview_and_Scope_of_Foundries_in_India\" >Market Overview and Scope of Foundries in India<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/corpbiz.io\/learning\/ec-legalities-applicable-on-foundries-in-the-metallurgical-sector\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Categorisation_Used_in_Indian_Metallurgical_Industry\"><\/span>Categorisation Used in Indian Metallurgical Industry<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>If there\nare more than one way of extracting a metal from its ore or mineral, then the\nprocess which gives a purer form of metal will belong to the category of\nprimary metallurgy, while the others fall into the secondary metallurgy\ncategory. e.g. in the case of iron making, the blast furnace process is a\nprimary metallurgical process, whereas other processes of iron making, i.e.,\nsponge iron or HBI making, will belong to the category of secondary metallurgy.\nSecondary metallurgical processes start with the output of the ore reduction\nprocess, scrap, salvage and ingots as input to the industry. Its products are\nsemi-finished and finished products. It includes melting, giving the aimed\nshape to the final output, forming, pouring liquid metal and alloys into the\nmould cavity, and forging. The processes and input materials used for the\nproduction of metals like sponge iron, foundries, re-rolling mills, mini-blast\nfurnace (MBF) based steel plants, electric arc furnace (EAF) and induction\nfurnaces, aluminium, lead, copper, zinc, and ferroalloys.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Legalities_Applicable_On_Foundries_in_the_Indian_Metallurgical_Industry\"><\/span>Legalities Applicable On Foundries in the Indian Metallurgical Industry<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Foundries\nare facilities that produce metal castings and offer casting-related services. They\nare categorised under the orange category of Industries as \u2018industry or\nprocesses involving foundry operations\u2019. These foundries perform all sorts of\nmetallurgical activities ranging from patternmaking, moulding, melting,\npouring, ejection, cleaning, fettling, and inspection. If a proposed activity\nfalls under Sector 3(a) (Metallurgical Industries- ferrous and non-ferrous\nunder <strong>the EIA\nNotification of 2006<\/strong><sup><a class=\"text-primary\" href=\"http:\/\/www.environmentwb.gov.in\/pdf\/EIA%20Notification,%202006.pdf\"><strong>[1]<\/strong><\/a><\/sup>), the unit will need an environment clearance\nunder the respective category it falls under category A or B.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Government_Initiatives_for_the_Development_of_Foundries\"><\/span>Government Initiatives for the Development of Foundries<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The\n2022-23 Union Budget shows the step the government has taken as planned to help\nthis sector. The followings are the initiatives and measures undertaken by the\ngovernment of India in this regard<\/p>\n\n\n\n<ul><li>The last Budget announced that coking coal and\nanthracite will be exempted from import duty, which the duty was 5%. Also,\nimport duty on metallurgical coke was reduced to zero from 5% earlier.<\/li><li>Apart from exempting duty on fuel sources, the\ngovernment also withdrew customs duty on stainless steel, flat products and\nhigh steel bars.<\/li><li>The Budget also extended the Emergency credit line\nGuarantee Scheme for small and medium-scale industries up to March 2023. It\nexpanded the guaranteed cover by 50,000 crores to cover an amount of 5,00,000\ncrores. It also restructured the Credit Guarantee Trust for Micro and Small Enterprise\nScheme to facilitate an additional credit of 2 lakh crore for improving\nemployment opportunities.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Environment_Clearance_Legalities_Applicable_On_Foundries\"><\/span>Environment Clearance Legalities Applicable On Foundries<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In iron\nfoundries, harmful substances are evolved in cupola furnaces, the places where\nthe cast iron is poured into moulds, and where the mould and cores are dried.\nIn steel foundries, harmful substances are mainly evolved in the electric\nfurnaces for melting the steel, during the preparation of the moulds, when\nextracting the casting from the moulds and cleaning them.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Environment_Clearance_Legalities_Applicable_On_Foundries-2\"><\/span>Environment Clearance Legalities Applicable On Foundries<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>After\nidentifying the site and carrying out a pre-feasibility study, the next legalities\napplicable on foundries includes application for the prior environmental\nclearance using Form 1 given in Annexure III. The proponent has to submit the\nfilled-in Form 1 along with the pre-feasibility report and draft ToR for EIA\nstudies to the concerned authority i.e. MoEF, Government of India for Category\nA projects and the SEIAA in case of Category B projects<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Siting_Legalities_Applicable_On_Foundries\"><\/span>Siting Legalities Applicable On Foundries<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Areas\nthat must be preferably avoided include <\/p>\n\n\n\n<ul><li>Ecologically and\/or otherwise sensitive areas:\nPreferably 5 km; depending on the geoclimatic conditions, the requisite\ndistance may be decided appropriately by the agency.<\/li><li>Coastal Areas: Preferably \u00bd km away from the high\ntide line (HTL).<\/li><li>Flood Plain of the Riverine System: Preferably \u00bd\nkm away from flood plain or modified flood plain affected by dams in the\nupstream or flood control systems.<\/li><li>\u0307Transport\/Communication System:\nPreferably \u00bd km away from highway and railway line.<\/li><li>Major Settlements (3,00,000 population)<\/li><li>Critically polluted areas are identified by MoEF\nfrom time-to-time<\/li><\/ul>\n\n\n\n<p><strong>Screening Stage<\/strong><\/p>\n\n\n\n<p>This\nstage is applicable only for Category &#8216;B&#8217; developmental activity, i.e., if\ngeneral conditions are applicable for a Category B project, then it will be\ntreated as a category A project. Besides, screening also refers to classifying\nCategory B projects into either Category B1 or Category B2. Category B1\nprojects require to follow all stages applicable for a Category A project but\nis processed at the SEIAA\/UTEIAA. Category B2 projects, on the other hand,\nrequire neither EIA nor public consultation.<\/p>\n\n\n\n<p><strong>Scoping Stage<\/strong><\/p>\n\n\n\n<p>The\nproject proponent shall submit the application to the concerned authority. The\napplication (Form 1 as given in Annexure III) shall be attached with the\npre-feasibility report and proposed ToR for EIA Studies.<\/p>\n\n\n\n<p><strong>Terms of Reference<\/strong><\/p>\n\n\n\n<p>ToR for EIA\nstudies in respect of the metallurgical industry (ferrous and non-ferrous) must\ninclude an Executive summary of the project \u2013 giving a prima facie idea of the\nobjectives of the proposal, use of resources, justification, etc. In addition,\nit should provide a compilation of the EIA report, including EMP and\npost-project monitoring plan in brief.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Structure_of_EIA_Report\"><\/span>Structure of EIA Report<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li>Introduction<\/li><li>Project Description<\/li><li>Description of the Environment<\/li><li>Anticipated Environmental Impacts &amp; Mitigation\nMeasures<\/li><li>Analysis of Alternatives (Technology &amp; Site)<\/li><li>Environmental Monitoring Program<\/li><li>Additional Studies (Public consultation, risk\nassessment, social impact assessment, R&amp;R action plans)<\/li><li>Project Benefits<\/li><li>Environmental Cost Benefit Analysis<\/li><li>EMP<\/li><li>Summary &amp; Conclusion (This will constitute the\nsummary of the EIA Report)<\/li><li>Disclosure of Consultants engaged<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Issues_with_the_Indian_Foundry_Sector\"><\/span>Issues with the Indian Foundry Sector<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Foundries\nare known to create air pollution and soil degradation in the form of burnt\nsand and slag. That is why the establishment of foundries becomes a challenging\ntask in many parts of the country. However, with the guidance of experts who\nhave experience in assisting in the legalities applicable on foundries can make\nthe setup process hassle-free. Some of the significant issues that need consideration\nare<\/p>\n\n\n\n<ul><li>Use of Old and Obsolete technologies<\/li><li>Use of Polluting Fuel<\/li><li>Lack of Air Pollution Control Devices<\/li><li>Lack of mechanism to manage waste<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Market_Overview_and_Scope_of_Foundries_in_India\"><\/span>Market Overview and Scope of Foundries in India<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>As per\nsome reports, there are about 5000 foundries in the country. They are mostly\nlocated in the form of clusters in the country, and these clusters specialise\nin the specific needs of the market. For instance, the foundry castings in\nBelgaum and Kolhapur are famous for automotive castings, while the diesel\nengine castings of Rajkot are known throughout the country.<\/p>\n\n\n\n<p>As per\nthe data released by the Foundry Information Centre (FIC), the total production\nof castings in India stood at 11.31 million tonnes, and the major market is\noccupied by the casting of automobile parts (32 %), followed by sanitary\ncasting (8%), Pipeline fittings (8 %) railway valves (5 %) and pumps and\ncompressors (5%).<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The legalities applicable on foundries are depend on the type of metallurgical operations in the foundry. However, with the current demand of metal in the economy, the market is bound to rise. The scope of foundries in India will also be aided by several factors, such as growing domestic demand, investment in capacity addition, increasing supply deficit in other countries and favourable government regulations. This is a lucrative opportunity for those who want to venture into this business. However, the applicable licencing and compliances associated with the business can be hectic and time-consuming and, therefore, will need the assistance of experts and consultants who speed up the entire process.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read Our Article<\/b>: <mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/environment-clearance-ec-for-thermal-power-plants\/\">Environment Clearance (EC) For Thermal Power Plants<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Metals are crucial to other manufacturing sectors like engineering, electrical and electronics, automobile and automobile components, packaging and infrastructure. The performance of the metallurgical industry is a reflection of the overall economy. India\u2019s metallurgical industries are very crucial to the country\u2019s economic development. This sector produces 95 minerals, 4 fuel-related minerals, 10 metallic minerals, 23 [&hellip;]<\/p>\n","protected":false},"author":40,"featured_media":55001,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[3185],"tags":[3423],"acf":{"service_id":"571"},"authorName":"Shalin Verma","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/05\/MicrosoftTeams-image-16.jpg","authorDescription":"Shalin is a Postgraduate in Applied Sciences from the University of Delhi with a specialisation in Wildlife Forensics. He has an in-depth knowledge of the environment domain and keen interest in curating informative content. Some of his research work includes research on environmental science and transboundary wildlife offences.","postViews":4010,"readingTime":5,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/55000"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/40"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=55000"}],"version-history":[{"count":2,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/55000\/revisions"}],"predecessor-version":[{"id":55003,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/55000\/revisions\/55003"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/55001"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=55000"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=55000"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=55000"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}