Business News of Sunday, 24 February 2013
Source: Joy FM
Export of ferrous scrap metal could soon be banned as government begins moves to seek parliamentary approval to stop it.
Joy News has learnt that many steel manufacturing companies in the country are operating below capacity due to the non-availability of raw materials as a large volume is exported. An administrative ban is currently in place but the Ministry of Trade and Industry is seeking an indefinite ban on their export.
Trade and Industry Minister, Haruna Iddrisu, told Joy News the law, when finally passed, will ensure available raw materials for the steel industry.
He said: “There’s been an administrative ban on the export of ferrous scrap to save and protect our steel industry in order that they are assured of some raw materials to use.”
The government, he added, is “elevating that administrative ban into a legal ban and consequently within the expiration of 21 days after the Committee on Subsidiary Legislation has considered it, it will become law.”
Haruna Iddrisu said: “Our steel industries are operating below capacity; I understand they are operating at 30 per cent, some even less and not more than 40 per cent, because of the absence of the raw material.”
Earlier this month seized scrap metals destined for export went missing while in the care of customs at Tema Harbour. It is alleged that the metals for offered for sale to a local company and there is currently an ongoing investigation as to their whereabouts.