Is it necessary to prohibit the export of scrap ferrous and non-ferrous metals?

In early February, two meetings were held at the Ministry of Industry and Infrastructure Development (MIIR): the first - with the participation of representatives of enterprises involved in the collection, preparation, storage, processing, and sale of scrap and waste non-ferrous and ferrous metals, the second - with the participation of representatives of metallurgical plants .

The main agenda of both meetings: the introduction of a ban on the export of scrap outside Kazakhstan due to its shortage for the country's metallurgical plants. MIIR Vice-Minister Amaniyaz Yerzhanov said that there is no alternative to the ban, and the department is preparing an order.

The ban on the export of scrap is not the first time. A similar sanction was in force in 2014-2017. As a result, during that period, the scrap procurement industry was virtually destroyed. Until 2014, there were about 150 enterprises in the country purchasing and processing scrap and having a license for such activities.

These companies are able not only to resell scrap, but also to process it into high-quality goods, demanded by any metallurgical plants in the world. By 2017, after licensing was canceled for this type of activity and about 2 thousand more enterprises entered the market that can only deal with the resale of scrap, the quality of scrap has deteriorated. The costs of steelmakers for the production of steel from scrap increased, despite the fact that the price fell.

05-03-2020 11:24