Economy

Govt lifts ban on scrap metal trade on conditions

The Ministry of Trade has announced a gradual lifting of a moratorium placed on the trade in scrap metal.

Speaking during a presser at the NSSF building, Trade Cabinet Secretary Betty Maina said trading in scrap metal would now be confined to those who are duly licensed.

“All who have applied for licenses will be vetted by the Multi-Agency teams established and chaired by the County Commissioner (CC) in each county prior to the issuance of licenses,” said Maina.

The government has developed rules and regulations to guide the trade in consultation with relevant Government Ministries, Departments and stakeholders in the industry. The rules have been reviewed by National Security Agencies and recommended for implementation.

“The rules apply to collectors, agents, dealers, millers, smelters, transporters, steel fabricators, stockists of second hand metal parts, motor vehicle salvage operators, electrical re-winders and local welding machines fabricators,” said Maina.

In a set of fresh regulations, the license will be non-transferrable and must be displayed conspicuously at each licensed site, and all recipients of scrap metal will have to maintain records of supplies and suppliers after verification of identity.

“Every licensed dealer shall comply with the prescribed hours of operation between half-past six o’clock in the morning and half-past six o’clock in the evening for the purposes of transporting scrap metal.”

Every licensed dealer shall carry a licensed copy of the license of the licensed dealer and the recipient of the scrap metal on any vehicle that is being used to transport any scrap metal.

Any person who undertakes scrap metal trade without a license commits an offence and will be liable for prosecution.

“For a first offence to a fine not exceeding Sh10 million or an imprisonment not exceeding three years or both, for a second offence to a fine not exceeding Sh20 million or an imprisonment not exceeding five years or both.”

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