Oluwatobi Adu 
KANO, Nigeria – Scrap metal dealers across Nigeria have threatened to halt supplies to iron and steel companies from October 1 over what they describe as unfair pricing, deductions and growing competition from foreign operators.
The National Association of Scrap and Waste Dealers Employers of Nigeria (NASWDEN) announced the planned action in Kano on Friday, saying the initial suspension would run until October 15.
The association said the stoppage would continue indefinitely if it failed to reach a satisfactory Memorandum of Understanding with affected iron and steel companies.
NASWDEN National President, Abdulfatah Adisa Ogunwale, issued the directive, which was released by the association’s Deputy National President, Aminu Hassan Soja.
The dealers said sudden and unannounced reductions in scrap metal prices were causing significant financial losses, with a single truckload potentially losing between N3 million and N6 million in value.
They also protested deductions known as “Extra Dust”, which they said ranged from one to five per cent on some transactions and added to their financial burden.
The association further raised concerns over the growing involvement of foreign operators who, it alleged, were establishing dumpsites and scrap collection centres in different parts of the country.
According to the group, the development was squeezing indigenous dealers out of the scrap metal trade.
NASWDEN also accused some iron and steel companies of purchasing scrap from unregistered or uncertified agents, warning that inadequate verification could allow vandalised public and private infrastructure to enter the scrap market.
The association called for stronger regulation and verification of scrap dealers, agents and collection centres.
It urged government agencies, steel companies and other stakeholders to support negotiations aimed at resolving the dispute and ensuring legitimate scrap materials continue to reach the steel industry.
The planned suspension could affect manufacturers that depend on scrap metal as a raw material for producing iron rods and other steel products.
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Mirian Gom 
