$300M scrap metal stranded on wharves

Apr 07, 2011 News

Workers of the scrap metal industry picket the offices of Prime Minister Sam Hinds.

– workers protest trade ban at PM’s offices

By Leonard Gildarie

Almost 200 containers of scrap metal valued $300M are stranded at the city wharves as Government for the third time since 2007 closed the trade, citing vandalism.
Several employees yesterday picketed the offices of Prime Minister Sam Hinds demanding the decision be reviewed since it would place several hundreds of them on the breadline.
On Tuesday, the PM’s office announced that the export trade of scrap metal had been suspended with immediate effect. The decision was linked to the recent arrest of two cane-cutters who allegedly used welding torches to dismantle sugar punts at the LBI/Diamond estates.
The Guyana Sugar Corporation (GuySuCo) had disclosed that it had collaborated with police and an East Bank Demerara scrap metal trader in a sting operation to apprehend the men.
According to Ramchand Netram, a scrap metal trader who operates at Craig and Friendship, his business directly employs almost 80 persons.
“I can confirm that we have 25 containers left on the wharf. I am affected because of the ban.
Workers were filling another eight containers when we heard the PM’s announcement.”
According to officials of that operation, they were the ones that worked with GuySuCo and the police to nab the two cane cutters.
Also at the picketing site at the PM’s office in Kingston yesterday was Desmond Sears, an executive of the Guyana Metal Recyclers Association.
He pointed out that the decision will heavily impact the lives of workers and operations of many families who depend on the industry.
“We have been doing a lot of things since the trade was reopened in August.”
Among these were the mandatory establishment of a secretariat and the appointment of in-house inspectors.
A multi-sectoral team to monitor the trade was also launched involving personnel from the Trade Ministry and the utility companies.
According to Sears, the association is fully aware of many illegal “shop” operations and has been appealing for them to be regularized.
While there are over 100 suppliers, the association has only managed to attract less than 20 members.
There have been several accusations that the trade had sparked increased vandalisms with even pieces of the fence at the High Court stolen.
In some cases the Guyana Telephone and Telegraph Company lost millions of dollars after thieves removed cables for copper, leaving communities without telephone services.
GT&T is estimating that $20M is lost annually from vandalism of its cables.
Heavy industrialization in especially China has been fueling demand for scrap metal and raw materials.
It has been reported that even though the trade is banned, scrap metal was being smuggled to Suriname via Corentyne.
Yesterday Sears signaled the association’s intentions to write Prime Minister Hinds on the ban, to ask for a review.