Associated Battery Manufacturers (ABM) East Africa Managing Director, Guy Jack/HANDOUTThe Associated Battery Manufacturers (East Africa) Limited has warned that if illegal smuggling of scrap batteries is not urgently stopped, the company will be forced to suspend production.
The firm's collection of used batteries has declined by 50 per cent, the company has said.
“This will put many direct and indirect jobs at risk and negatively affect local manufacturing, tax revenue and export earnings,” warned Guy Jack, the Group Managing Director.
Jack said the industry had noted with concern the increased illegal export of scrap lead-acid used batteries to neighbouring countries despite the existing ban on the export of the critical raw material through border points.
He said the illegal trade will, as a result, affect the firm's ability to sustain production and called on the security agencies, mainly those along border points, to intensify patrols and make sure smugglers arrested are charged in court to deter others.
The Scrap Metal Council has blamed lack of cooperation between the line agencies for contributing to the illegal smuggling of scrap metals to neigbouring countries.
“The council wishes to remind all industry players that the scrap metal business is a highly regulated industry, given its sensitivity and the risk of vandalism of private property, public and critical national infrastructure,” said council chairman Francis Mugo in a statement.
He added,” The Council has noted an increase in the number of dealers operating without valid licenses, which is a criminal offence punishable by law. The Council has also noted cases of importation and exportation of scrap metal without the requisite permits and approvals, in disregard of the law.”
The Council, Mugo said is further concerned about the increasing cases of illegal exportation and smuggling of lead-acid batteries whose export is currently prohibited.
Such unlawful activities pose a serious threat to Kenya’s local battery manufacturing Industry and undermine the Country’s industrialisation agenda.
Scrap Metal Council chairperson Francis Mugo/HANDOUTOver the weekend, border security officers at the Taveta border point intercepted a truck ferrying scrap batteries to Tanzania but was later released under unspecified reasons.
According to an official from the Associated Battery Manufacturer, the truck was trailed from Nairobi, where it collected scrap batteries from different yards.
“It then continued to load scrap batteries at various stops in Mombasa Road. The truck was intercepted by KRA officials at the Kimana area along Emali and was detained at the border point, only to be released under mysterious circumstances and allowed to cross the border to Tanzania,” James Wafula from the ABM, alleged.
The Council, according to Mugo, has called upon all scrap metal dealers and other industry players across the country to strictly comply with the law, maintain proper documentation, conduct due diligence and refrain from engaging in or supporting any form of vandalism or illegal trade.
Mugo said the Council remains committed to fostering a responsible, transparent and sustainable scrap metal industry that contributes positively to Kenya’s economic growth and industrialisation agenda.
