The National Association of Scrap and Waste Dealers Employers of Nigeria (NASWDEN) has directed its members to strike from October 1 over alleged irregularities in the scrap metal industry.

NASWDEN national president, Abdulfatah Adisa-Ogunwale, gave the directive in a statement made available by the deputy national president, Aminu Hassan-Soja, on Friday in Kano.

The association said the decision followed what it described as persistent anomalies, irregularities, and grievances affecting scrap-metal dealers and their businesses.

“The industrial action is aimed at suspending the supply of scrap metals to iron-smelting companies producing iron rods and other steel products from non-ferrous and scrap metals.

“The industrial action is scheduled to commence on October 1 and will run until October 15.

“The action will continue indefinitely beyond that date if no satisfactory memorandum of understanding (MoU) is reached with the affected iron and steel companies,” the association stated.

It cited unannounced reductions in scrap metal prices as a key concern.

“In some instances, dealers could lose approximately N3 million to N6 million on a single truckload as a result of sudden price reductions,” it said.

Others, according to the statement, are alleged deductions by some companies under the term “Extra Dust”.

“Deductions ranging from one per cent to five per cent are imposed on some transactions, which it considers as an additional financial burden and an unfair practice against its members,” it said.

The association also alleged involvement of foreigners in the scrap business.

“The association further expressed concern over what it described as the increasing involvement of foreigners in the scrap-metal business.

“Some foreigners are allegedly taking over portions of the business by establishing dumpsites and scrap-collection centres across different parts of the country, thereby creating difficulties for indigenous Nigerian scrap dealers,” it claimed.

The association also alleged that some iron companies purchase scrap metals from unregistered or uncertified agents and dealers.

“The association is concerned that such practices could encourage the circulation of vandalised public and private property within the scrap-metal market,” it warned.

The association therefore called for greater regulation and verification of scrap dealers, agents, and collection centres to ensure that materials entering the steel industry were obtained through legitimate channels.

It appealed to relevant government agencies, stakeholders in the iron and steel sector, and the general public to take note of the planned industrial action and support efforts to resolve the issues through constructive engagement.

(NAN)