SEIFSA wants scrap metal ban lifted
The South Africa Steel and Engineering Federation (SEIFSA) is opposed to a further extension of the export ban on scrap metals that was intended to tackle theft and vandalism of public infrastructure, saying it hasn’t worked. The export ban came into effect in December last year for six months initially, but was extended as it had not realized the desired results. CNBC Africa is joined by Elias Monage, SEIFSA President for more.
Wed, 22 Nov 2023 12:40:35 GMT
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AI Generated Summary
- The ban on scrap metal exports failed to deter criminal activities and resulted in a surge of infrastructure vandalism incidents, indicating its ineffectiveness without proper enforcement mechanisms.
- SEIFSA emphasizes the importance of collaborative engagement among industry stakeholders, security clusters, and other sectors to develop comprehensive strategies for combating vandalism and protecting public assets.
- The ban's negative impact on downstream industries and the broader supply chain, leading to consequences like job losses and economic decline, highlights the need for a holistic approach to address the issue effectively.
The South African Steel and Engineering Federation (SEIFSA) is advocating against extending the export ban on scrap metals imposed to combat theft and vandalism of public infrastructures in the country. The federation asserts that the ban, implemented in December last year for six months, failed to achieve its intended objectives and should be lifted. SEIFSA President Elias Monage presented the federation's stance in an exclusive interview with CNBC Africa.
The initial purpose of the ban was to curb the rampant theft and destruction of critical public assets, such as power lines and rail systems, which have significantly contributed to social challenges like power outages. However, Monage argues that the ban has proven ineffective in deterring criminal activities and has resulted in adverse consequences for the industry and economy at large.
In his discussion with CNBC Africa, Monage highlighted several key points in opposition to the ban's extension. Firstly, he emphasized the ineffectiveness of the ban by pointing to reports indicating a surge in criminal activities related to infrastructure vandalism during the ban period. This rise in incidents suggests that the ban alone is insufficient without proper enforcement and alternative measures to address the underlying issues.
Secondly, Monage emphasized the need for a collaborative approach involving industry stakeholders, security clusters, and other relevant parties to develop effective strategies for combating vandalism. He outlined the importance of comprehensive engagement and coordination among various sectors to tackle the root causes of criminal behavior and safeguard public assets.
Furthermore, Monage raised concerns about the ban's adverse impact on downstream industries and the broader supply chain, leading to negative repercussions for employment, economic growth, and fiscal contributions. He criticized the government for overlooking the holistic consequences of the ban and called for a more inclusive and strategic approach to address the challenges effectively.
Additionally, Monage drew parallels between the scrap metal ban and previous prohibitions that resulted in underground activities, such as the ban on cigarettes during the COVID-19 pandemic. He underscored the importance of targeted enforcement and collaboration across sectors to combat criminal behavior and protect national infrastructure.
Looking ahead, SEIFSA expressed readiness to challenge any extension of the ban beyond December through legal means, highlighting the industry's commitment to addressing the issue through lawful channels. As the debate continues on the future of the scrap metal export ban, stakeholders await the government's decision and the industry's response to potential developments.
In conclusion, the SEIFSA President's strong opposition to the extension of the scrap metal export ban underscores the critical need for a comprehensive and coordinated approach to tackling vandalism and criminality while safeguarding the interests of the steel and engineering sector and the broader economy.