Business
Jamaica: Scrap metal trade to resume in early 2013
The scrap metal trade which was suspended in Jamaica eighteen months ago is now scheduled to resume early in the New Year.
Industry Minister, Anthony Hylton who made the announcement on Wednesday said the trade will re-start in the third week of January under far more stringent measures aimed at curbing widespread theft which led to the ban last year.
Under the new regime, exporters, individuals and companies will now be required to post a J$7-million (US$ 76,000) bond, a portion of which will be used to compensate victims of theft.
Scrap material will be on display at the sites for five days to facilitate public viewing before the loading of containers can commence.
According to Hylton there will be a distinction between industrial scrap generated by companies from their manufacturing operations and non-industrial scrap, which is purchased from individuals.
“Anything remotely suspect will be detained for investigation by the police and customs for an additional 10 days, to allow for viewing by the public,” Hylton said, adding that a website will be set up for the public to view and lodge complaints of theft.
Restrictions have also been imposed on the exportation of copper, irrigation pipes, manhole covers, railway lines and sign posts.
With the resumption of the trade, the processing of scrap metal will also now be restricted to three existing sites, two of which are situated in the Corporate Area and the central parish of Clarendon. These processing sites will operate in the interim, while the government works to establish a single central processing site for the trade.
The Industry Minister also addressed concerns that the new measures would lengthen the turnaround time for the scrap metal trade.
“My priority concern is that stolen metal does not contaminate the trade; that’s where the focus has been. These regulations have been put in place so it puts everyone on notice as to the time period involved, so you can make your plans accordingly” he said.
The Minister’s announcement was welcomed by telecommunications company LIME, which suffered great losses at the hands of scrap metal thieves.
“LIME has never been opposed to the resumption of scrap metal exports. What we want to see are the appropriate regulations in place to properly monitor the gathering and export of scrap metal,” said Vice-President of Service Support and Delivery at LIME Jamaica, Howard Mollison.
The company is said to have lost some J$300 million (US$3.2 million) to theft. -(CMC)