CUSTOMS IMPOUNDS SCRAP FOR EXPORT, DAILY GRAPHIC, FRI, FEB 18, 2011 (BACK PAGE)

Story: Della Russel Ocloo, Tema

TWENTY-FOUR containers of ferrous scrap metal which were being exported from the country have been intercepted by the Tema Collection Point of the Customs Division of the Ghana Revenue Authority (GRA) after weeks of surveillance of activities at the Tema Harbour. The consignment is estimated at GHC240, 000.
The exportation of ferrous metals was ban by the Ministry of Trade and Industry in 2004 to ensure adequate supplies to local steel companies.
Briefing the Daily Graphic in Tema yesterday, Chief Collector in charge of Export at the Tema Habour, Mr Mark Tchorly said following a tip-off, custom officials mounted surveillance at the various loading bays in the Tema metropolis leading to the interception the containers which were brought under seal to the port for export.
He said the Customs Division has intensify efforts to arrest the owners of the companies who were allegedly behind the exportation and indicated that the products would be converted into a seizure after the 14days mandated period in which the owners are supposed to produce a permit that allows them to engage in the trade.
He pointed out that local steel industries were currently producing under capacity due to the inadequacy of raw materials resulting from the surge in ferrous scrap metal exports.
The illegal exportation of the metals he said resulted from the souring prices of scraps on the world market thus encouraging local scrap entrepreneurs to intensify their trade.
While sounding warning to persons associated with the export on the enforcement stringent regulations at their disposal, Mr Tchorly called on the Trade Ministry and Parliament to speed up work on the Legislation Instrument to back the administration ban on the export.
Steel companies in the Tema metropolis currently face imminent closure with an estimated loss of over 3,000 jobs as a result of acute shortage of basic raw materials for the production scraps to produce iron rods and other steel products.
Already Wahome Steel Limited has had to shut down and send an entire workforce of about 350 home, whilst Ferro Fabrick and Special Steel Limited have also halted production temporarily.
Managers of these factories believe a legislative instrument could serve as serious deterrent to scrap exporters especially if the local steel manufactures are to be protected.