Friday, 14 June 2019

FOREX FOR SCRAP METAL SPARKS SCRAMBLE


HUNDREDS of residents in Mutare’s high-density suburbs have besieged two recently opened scrap yards, supplying all sorts of metals with a tonne going for US$100.

Merchants from Harare, South Africa and Zambia have set camp on the outskirts of the eastern border city to collect used metal which is badly needed by steel manufacturers.

Heaps of scrap metal are now a common feature near the Grain Marketing Board and the Mutare Teachers College premises along the Mutare-Masvingo Highway.

Residents are bringing used vehicle engines blocks, springs, rims, burglar bars, bed frames, cast iron sinks and industrial machinery among other things.  When The Manica Post visited the scrap yards yesterday, hired haulage trucks were queuing to transport the scrap metal either to Harare, South Africa or Zambia. 

Some of the interviewed buyers said the international market was paying a fortune for the scrap metal. “People from all walks of life are coming in numbers with scrap metal especially broken down vehicles and heavy industrial machinery. We weigh each metal and give a value. We charge US0,09 cents per kg while a tonne costs US$90, which can be converted to local currency,” said one of the buyers who requested anonymity.  Another buyer said: “We hire transporters to ferry the scrap metal to Harare for melting and other processes before they are exported to South Africa. A haulage truck transports about 34 tonnes and we usually hire three trucks per day.” The rush has resulted in dump sites that usually gave the city a bad picture being swept clean as residents are picking anything metal for resale. The trade has also resulted in the flooding of the US dollar on the market since the merchants are buying the scrap metal in foreign currency from anyone. Manica Post

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