T&T gov't bans scrap metal exports amid widespread theft

PORT OF SPAIN, Trinidad, CMC – The Trinidad and Tobago government Monday announced a six-month ban on the exportation of scrap metals even as the Scrap Iron Dealers Association (SIDA) said it was prepared to take legal action to prevent the move.

Attorney General Reginald Armour told a news conference that the government had to deal effectively with what he described as the “wanton assault on national security infrastructure,” as a result of the illegal activities linked to the scrap iron industry.

Armour flanked by National Security Minister, Fitzgerald Hinds, said the theft of copper particularly from telecommunication companies' equipment had escalated within the past four months.

“The exportation of old metal is prohibited except by manufactures licensed by the minister with responsibility for trade to export old material as a bi-product of manufacturing goods or surplus material not required for manufacturing it, old metal and scrap metal are defined in that order,” Armour told reporters, adding that the government acknowledges the legitimacy of the scrap iron industry.

But he said that the widespread theft was an abuse of the industry in an attempt to convert it into a criminal enterprise and as a result Cabinet has taken the decision to enact a prohibition order pursuant to section 44 of the Customs Act to ban the exportation of old metal and scrap metal for six months.

He warned that those violating the order would be subject to a fine and imprisonment.

“The law enforcement ability to arrest this challenge needs to be buttressed, reinforced by giving the country a proper regulatory – and by regulatory, I mean legislative and regulatory – framework within which we can bring this crisis under control. The men and women in the street will recognise the scourge that this criminal event has brought upon us.

“We are on a regular basis finding that we have no lights in our homes, no cellular access and our very national security infrastructure in the public utilities is being undermined by the theft of copper, ferrous and nonferrous metals which are the blood of our infrastructure that produces electricity and communication,” Armour told reporters.

He said that a Cabinet subcommittee to review the issue was appointed in early July consisting of Minister in the Office of the Prime Minister and Energy Affairs, Stuart Young, Minister of Trade, Paula Gopee-Scoon, Hinds and himself.

The committee he said has met with key stakeholders to gauge the issue and was asked to report to the Cabinet its findings.

“We met with the scrap dealer's association president Alan Ferguson… and a number of persons and we have invited correspondence and representation from a number of critical businesses. The result of that has been quite alarming, as a result of that the subcommittee reported to the cabinet that the situation required urgent short-term action so as to enable the Government to bring the crisis under control,” Armour added.

He said last week, the Committee met with Cabinet and advised the preparation of the prohibition order as well as amendments to the negative list of the Ministry of Trade, preparation of a regulatory and licensing framework by the Ministry of Trade in consultation with the Ministry of the Attorney General and Ministry of Finance.

Armour said that the order, effected on Friday August 12, will last until February 2023, but that within three months  he would bring a further note to Cabinet in review and analyse the existing legislation.

Hinds told reporters that the move to temporarily shut down the scrap iron industry was as a result of the drastic rise in the number of copper theft related arrests and reports since 2020.

Hinds said that according to the police crime and problem analysis branch, in 2020 there were 58 reports of such activity and 30 persons arrested. In 2021 there were 87 reports and 52 persons arrested. Between January and August 8, this year, there were 162 reports and 136 persons arrested.

“We have cable all over this country, thousands of gates, metal fences. Somebody is obviously buying these bits of material, and somebody is actually selling them. We observed a report in one of the newspapers where this is referred to as vandalism, this is not vandalism, it is to feed an industry, theft, serious criminal conduct and it is severely disruptive,” he said

Meanwhile, SIDA president, Allan Ferguson said the association is prepared to take legal action against the move by the government.

“If they close down this industry. We will take them straight to the Privy Council. Anytime they touch this industry, the government will have to pay millions of dollars to us,” he told the SIDA's 13th annual general meeting over the weekend.

Ferguson said that neither this government nor its predecessor had done anything to regulate the scrap iron industry, insisting “the government is to blame.”

Follow The Gleaner on Twitter and Instagram @JamaicaGleaner and on Facebook @GleanerJamaica. Send us a message on WhatsApp at 1-876-499-0169 or email us at onlinefeedback@gleanerjm.com or editors@gleanerjm.com.