Following the resumption of the scrap metal trade more than two months ago, members of the Guyana Metal Recyclers Association say new surveillance procedures that have been implemented are hindering their operations and putting their livelihoods under threat.
At a press conference yesterday afternoon, Treasurer of the Asso-ciation Shalini Dias and exporter Alisha Mohamed said the “strenuous” procedures in place, especially as it relates to the loading process and availability of enforcement officers, have virtually ground their businesses to a standstill.
They said several efforts to engage the Scrap Metal Unit on the issue were to no avail and as a result they made an appeal for the intervention of President Irfaan Ali or Vice President Bharrat Jagdeo.
“We have gotten nowhere. The last email we got from the Scrap Metal Unit, when we complained [about] the loading system, [said] we should try to accomplish what they are asking and when we get at that bridge, they will cross it. Well we already at that bridge. Some of us are drowning, some floating and some barely hanging on the bridge,” Dias said.
Minister of Tourism, Industry and Commerce Oneidge Walrond had announced that scrap metal trading in Guyana would resume on April 8th with reinforced surveillance as government continued to assess the operations of the sector.
The announcement came after the trade was halted last year after illicit drugs were discovered in a shipment of scrap metal in Belgium that originated from Guyana.
Dias yesterday explained that two weeks after the trade resumed, exporters were provided with a document that outlined the new Standard Operating Procedures.
However, what was not included in the document was the implementation of a turn system.
“So we were given some recommendations. There were supposed to be 23 exporters but 12 have complied so far with all the requirements that they asked. However, when we reach that point of loading, we had some real shocking discoveries that we consider impossible because it is not possible to get any of what they are asking us to do done. Some persons have tried it and they have faced difficulties,” Dias explained.
Among the new measures, Walrond had outlined were the use of the only authorised location where the scrap metal must be packed. She informed that the ministry would authorise the yard as long as it was assessed and met the requirement, which includes having 24-hour surveillance.
As part of the new measures, two units have been established. One of the units is internal, within the ministry, while the other is an external unit which will comprise officials from the Guyana Police Force, the Customs Anti-Narcotic Unit (CANU), the Guyana Revenue Authority, and the ministry.
She had explained that containers will be scanned in the presence of officers from the external unit and CANU officers will be required to assist with escorting the metal to the designated wharf. Walrond said that the metal will not be permitted to stay at the wharf for more than seven days. Should the container remain at the wharf for more than seven days, she said, it would have to undergo the scanning process once again.
Additionally CANU has to be notified before any container can be loaded with scrap metal.
Dias yesterday related that so far, all of the exporters have complied with the SOPs.
However, she said the issues have arisen surrounding the loading of the containers and the availability of the officers.
“We had no idea when you book your documents that you weren’t able to load when you need to load. We only learnt of this when the first scrap metal dealer had the issue when he load his container,” Mohamed said.
“What they are asking us to do is to load on a turn system. Bear in mind we are loading scrap metal. Bear in mind scrap metal is a multi-million dollar investment. They are asking us to load on a turn system, meaning you are only allowed to operate your business twice per a month. You have staff to facilitate, you have your overhead expenses to facilitate, you have the rental of your yard to facilitate and it is impossible for us to operate a business on a turn system,” Mohamed explained.
“Foreign companies are being allowed to come in this country and work freely…The president has emphasized a lot on growing small businesses…..in the private sector…..and why are we not giving a fair chance to operate our business on a daily basis?” she questioned.
Mohamed suggested that every scrap yard should be given the opportunity to operate on a daily basis, as it was before.
She said the addition of the new SOPs are affecting the operation of every exporter at every level.
“This doesn’t only affect us the exporters. It affected the collectors, it affects the buyers because buyers are now refusing to do transactions with the exporters. It affects the shipping line. Shipping lines are now refusing to do business with the scrap metal industry… based on the SOPs and the regulations that they have put in place for us. So it’s really impossible. The task that they are asking us to do is really impossible,” Mohamed explained.
According to Mohamed, it is “impossible” to operate with the existing measures.
“The daily routine that they had set out for us……You book your date, your container comes to the yard, you have four officers there for you to load and at the end of the day whatever is in your container, that is what you are sending down to the wharf. Sealed and scanned on the same day,” she said.
“Bear in mind all overhead costs, all extra costs that is attached to doing that, we have to offset that. Your container must leave your premises, trucked to the scanner, scanned and placed on the wharf within a day… Which is very impossible because it takes almost a day and a half for you to get adequate weight in your container. Bear in mind, customers pay you by weight. If your container is below 20 tonnes, nobody would buy your container. We are not loading feathers or ice or rice, we are dealing with iron. It takes machinery to get these irons, labourers to get these irons into the containers. So it’s really impossible for us to work two days,” Mohammed further added.
The members are questioning why only the scrap metal sector is being “penalized” with such measures.
“No other industry works on a turn system… This is not supporting the economic development our administration is talking about. We have children to take care of, we have families,” Dias said.
“…No other industries, the rice, the logs, no other industry is being penalized like this. So I don’t understand why the scrap metal industry has to face all these challenges” Mohamed added.
Last November, law enforcement officials in Belgium announced that they were probing the discovery of 11.5 tonnes of cocaine in the container of scrap metal shipped from Guyana.
The shipment, which has been described as “the largest overseas drug bust ever, worldwide,” was seized upon its arrival at the Port of Antwerp. It carries an estimated street value of 900 million Euros.
