Scrap License in Madhya Pradesh - procedure, fees, and documents required

Updated on February 18, 2025 11:54:25 AM

Madhya Pradesh, known as the "Heart of India" because of its central location, is a state that is growing quickly and has a varied economy. It has many different types of industries, such as farming, mining, making things, and building. Because of more factories and cities, there is a lot more waste, especially old materials, being made these days. It's important to handle and recycle these old materials well to protect the environment and use fewer natural resources. In Madhya Pradesh, companies that collect, process, and recycle old materials need to have a special permission called a scrap license.

There are different kinds of permits for handling scrap materials, the steps to get one, the costs associated, and the difficulties businesses in this industry encounter.

What is a Scrap License?

In India, the term ‘Scrap License’ refers to a license that is needed to collect, purchase, sell, and process scrap of any kind. This license is among the legal structures that govern the sustainable management of scrap.

The main Madhya Pradeshls are to:

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Types of Scrap License in Madhya Pradesh

In Madhya Pradesh, companies that handle various kinds of waste materials need to get the right permit to work legally. The kinds of waste materials that usually need a license are:

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Documents required for scrap licenses in Madhya Pradesh

Documents required for Scrap License in Madhya Pradesh. Here is the following list.

  1. Duly Filled Application Form (Form-1)
  2. Incorporation Certificate, Shop Act Registration, or Udyam Aadhaar
  3. Valid PAN
  4. Consent to Establish Proof
  5. Proof of Technical Requirements
  6. Proof of Machinery
  7. Consent to Operate (CTO)
  8. Quality Certification Undertaking
  9. Proof of Occupation
  10. Approved Layout Plan
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What is the application process for obtaining a Scrap License in Madhya Pradesh?

This is the application process for obtaining a Scrap license in Madhya Pradesh. Here is the following list.

Step 1: Application Submission

Form-1: The applicant has to complete an application form appropriately called Form-1 and hand it over to the Registration Authority of the particular state government or union territory.

Processing Fee: It is required that an application be accompanied by a non-refundable processing fee.

Step 2: Documentation Requirements

Applicants are required to submit various documents, including Applicants are required to submit various documents, including any one of the business registration certificates, such as the incorporation certificate, shop act registration, or Udyam Aadhaar.

Step 3: Single-Window Clearance Portal

It has set up a single window clearance mechanism for the submission of applications and renewals for FDI. This has been made easier by this portal, whereby the applicant can follow the status of his or her application.

Step 4: Verification and Approval

After submission of the application and documents, the authorities shall peruse through all the documents submitted, conduct physical inspections as and when necessary, and ensure that all laws have been complied with.

Step 5: License validity and renewal

The RVSF license is initially issued for a period of ten years and may be renewed for further terms of ten years, subject to compliance with the current legal requirements.

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Fees for Scrap License in Madhya Pradesh filling applications?

The scrap license in Madhya Pradesh is provided to scrap dealers involved in the collection, storage, and sale of scrap materials such as metal, plastic, paper, etc. Here is a summary of the fee structure and other general guidelines to get a scrap license in Madhya Pradesh.

Particulars Category Fees Range (INR)
Application Fees Small-scale operations ₹ 10,000 to ₹ 25,000
Medium-scale operations ₹ 25,000 to ₹ 50,000
Large-scale operations ₹ 50,000 and above
License Fees Small-scale operations ₹ 50,000 to ₹ 1,00,000
Medium-scale operations ₹ 1,00,000 to ₹ 1,50,000
Large-scale operations ₹ 1,50,000 to ₹ 2,00,000
Environmental Compliance Fees General Compliance ₹ 20,000 to ₹ 50,000
Hazardous Waste Compliance ₹ 50,000 to ₹ 1,00,000
Security Deposit Low-Risk Scrap ₹ 50,000 to ₹ 1,00,000
Moderate-Risk Scrap ₹ 1,00,000 to ₹ 2,00,000
High-Risk Scrap ₹ 2,00,000 to ₹ 5,00,000
Inspection Fees ₹ 10,000 to ₹ 30,000
Renewal Fees ₹ 25,000 to ₹ 1,00,000

Professional Fee for the same starts at ₹15,000.

Note: The abovementioned fee is exclusive of GST.

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Conclusion

Getting a permit for handling scrap in Madhya Pradesh is important for companies that collect, recycle, and process scrap materials. This permit makes sure that the company works legally, follows rules to protect the environment, and helps save natural resources. Although the process can be complicated and expensive, the advantages of following the law and saving resources make it a good investment. As industries in Madhya Pradesh keep growing, companies with this permit will become more important in taking care of waste properly and helping the state stay environmentally friendly.

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Frequently Asked Questions

What is a Scrap License in Madhya Pradesh?

A scrap license in Madhya Pradesh is a legal document that businesses need if they collect, process, or recycle materials like metal, plastic, and electronic waste. This license makes sure that these businesses follow the rules and protect the environment.

Who needs to get a scrap license in Madhya Pradesh?

Anyone or any company in Madhya Pradesh that buys, sells, processes, or recycles scrap materials must have a Scrap License. This applies to businesses that handle metal, plastic, electronic waste, car parts, and other recyclable items.

Can I relocate or transfer my scrap license?

Usually, scrap licenses are tied to a specific place and business. If you want to move the license to a new place or to a new owner, you might have to get a new license or ask for permission from the Madhya Pradesh Authority. Whether you can transfer the license depends on the rules that are in place.

What tasks come with having a scrap license?

If you have a scrap license, you must make sure your business follows all the rules about the environment and safety.

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