Basic iron and steel

Basic information

1

Outline of the system

The industrial license is required for the importation, manufacturing, exportation and re exportation of iron and steel products. Industrial licenses are only issued to a firm or individual resident in the Kingdom of Bahrain.

2

Product coverage

The industrial license includes:

• Operations of conversion by reduction of iron ore in blast furnaces and oxygen converters or of ferrous waste and scrap in electric arc furnaces or by direct reduction of iron ore without fusion to obtain crude steel which is smelted and refined in a ladle furnace and then poured and solidified in a continuous caster in order to produce semi-finished flat or long products, which are used, after reheating, in rolling, drawing and extruding operations to manufacture finished products such as plate, sheet, strip, bars, rods, wire, tubes, pipes and hollow profiles.
• Operation of blast furnaces, steel converters, rolling and finishing mills
• Production of pig iron and spiegeleisen in pigs, blocks or other primary forms
• Production of ferro-alloys
• Production of ferrous products by direct reduction of iron and other spongy ferrous products
• Production of iron of exceptional purity by electrolysis or other chemical processes
• Production of granular iron and iron powder
• Production of steel in ingots or other primary forms
• Remelting of scrap ingots of iron or steel
• Production of semi-finished products of steel
• Manufacture of hot-rolled and cold-rolled flat-rolled products of steel
• Manufacture of hot-rolled bars and rods of steel
• Manufacture of hot-rolled open sections of steel
• Manufacture of steel bars and solid sections of steel by cold drawing, grinding or turning
• Manufacture of open sections by progressive cold forming on a roll mill or folding on a press of flat-rolled products of steel
• Manufacture of wire of steel by cold drawing or stretching
• Manufacture of sheet piling of steel and welded open sections of steel
• Manufacture of railway track materials (unassembled rails) of steel
• Manufacture of seamless tubes, pipes and hollow profiles of steel, by hot rolling, hot extrusion or hot drawing, or by cold drawing or cold rolling
• Manufacture of welded tubes and pipes of steel, by cold or hot forming and welding, delivered as welded or further processed by cold drawing or cold rolling or manufactured by hot forming, welding and reducing
• Manufacture of tube fittings of steel

Nature of licensing

Automatic

3

If Automatic, administrative purpose

Non-Automatic

4

If Non-Automatic, description of the notified Non-Automatic Licensing regime

5

Products under restriction as to the quantity or value of imports

The industrial license does not restrict the quantity or value of imports. The purpose of the license is to allow for manufacturing, importation and exportation.

6

Questions for products under restriction as to the quantity or value of imports

Not applicable.

7

The system applies to products originating from which country?

The industrial licence applies to products coming from all countries with exceptions.

8

Expected duration of licensing procedure

Eligibility of applicants

12

Is there a system of registration of persons or firms permitted to engage in importation?

13

What persons or firms are eligible to apply for a licence?

Any individual, partnership, corporation, association, joint venture or other legal entity may be eligible to apply for industrial license under non-restrictive system.

14

Is there a registration fee?

15

Is there a published list of authorized importers?

Contact point for information on eligibility

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Ministry/Authority

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Address

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Telephone

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Fax

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E-mail address

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Website

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Contact officer

Submission of an application

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Administrative body(ies) for submission of an application

Documentation requirements

24

What information is required in applications?

The information and documents required in the industrial license application is as follow (as per attached industrial license sample form (industrial license application)):

• Investment amount
• Workforce
• Project utilities
• Area
• Production details
• Product documents (Pictures)

25

What documents is the importer required to supply with the application?

The information and documents required in the industrial license application is as follow (as per attached industrial license sample form (industrial license application)):

• Investment amount
• Workforce
• Project utilities
• Area
• Production details
• Product documents (Pictures)

Window of submission of an application

26

How far in advance of importation must application for a licence be made?

27

Are there any limitations as to the period of the year during which application for licence can be made? If so, explain

Issuing the license

28

Can a licence be granted immediately on request?

29

Can licences be obtained within a shorter time-limit or for goods arriving at the port without a licence

The industrial license cannot be obtained within a shorter time limit and must be obtained for all goods through the normal process.

30

Which administrative body is responsible for approving application of licences?

The Industrial licenses obtained through the online system of the Ministry of Industry, Commerce and Tourism. All applications are passed on to other governmental authorities for approvals.

31

Must the applications be passed on to other organs for visa, note or approval?

For the Manufacture of Basic Iron and Steel activity, the application will be passed to following governmental authorities:

• Environmental licensing section
• Directorate of Industrial Development
• Municipality affairs

32

Are there any other conditions attached to the issue of a licence?

There are no conditions attached to the issuance of industrial license for products not subject to quantitative restriction.

Fees and other administrative charges

33

Is there any licensing fee or administrative charge?

Yes.

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What is the amount of the fee or charge?

The industrial license fee is BD100 for the first industrial activity and BD50 for each of the second and third activity. Any additional industrial activity will have a fee of BD100 each.

35

Is there any deposit or advance payment required associated with the issue of licences?

No deposit or advanced payment is required in connection with the issue of the industrial license.

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Amount or rate?

No deposit or advanced payment is required in connection with the issue of the industrial license.

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Is it refundable?

No deposit or advanced payment is required in connection with the issue of the industrial license.

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What is the period of retention?

No deposit or advanced payment is required in connection with the issue of the industrial license.

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What is the purpose of this requirement?

No deposit or advanced payment is required in connection with the issue of the industrial license.

Refusal of an application

40

Under what circumstances may an application for a licence be refused other than failure to meet the ordinary criteria?

There are no circumstances other than failure to meet standard criteria under which an industrial license may be refused except for applying for illegal products.

41

Are the reasons for any refusal given to applicants?

Reasons for refusal are given to the applicant.

42

Have applicants a right of appeal in the event of refusal to issue a licence?

No appeal procedures are specified in the legislation.

43

If so, to what bodies and under what procedures?

No appeal procedures are specified in the legislation.

Importation

44

Are there any limitations as to the period of year during which importation may be made?

45

What documents are required upon actual importation?

No documents are required from the Ministry of Industry, Commerce and Tourism.

46

Are there any other administrative procedures, apart from import licensing and similar administrative procedures, required prior to importation?

There are no other administrative procedures required prior to importation.

Conditions of licensing

47

What is the period of validity of a licence? Can the validity be extended? How?

The industrial license is valid for 1 year and can be renewed annually by re-application.

48

Is there any penalty for the non-utilization of a licence or a portion of a licence?

There is no penalty for non-utilization of a permit.

49

Are licences transferable between importers? If so, are any limitations or conditions attached to such transfer?

The industrial license can be transferable between importers and there are no limitations or conditions attached to such transfer.

Foreign Exchange

50

Is foreign exchange automatically provided by the banking authorities for goods to be imported?

Not applicable.

51

Is a licence required as a condition to obtaining foreign exchange?

Not applicable.

52

Is foreign exchange always available to cover licences issued?

Not applicable.

53

What formalities must be fulfilled for obtaining the foreign exchange?

Not applicable.