Steel companies in Ghana risk folding up in the next five years if nothing is done by the government to sustain the industry. This is said to be due to high electricity costs which is impeding activities of the scrap dealers in the country. Communication Director of the Steel Manufacturers Association of Ghana (SMAG) Micheal Tetteh Mortu disclosed to Adom News that, despite the major challenge which is scarce raw materials for production, about thirty per cent (30%) of their production costs go into electricity, which is affecting productivity. SMAG is appealing to the Ministry of Trade and Industry to enforce the ban on exportation of scrap metals in the country. The Association stressed that although a ban had been imposed on the export of scrap since 1980, alongside stricter enforcement effort in 2007, some dealers still smuggle the commodity to neighboring countries. Mr. Mortu alleged that some big men in the country use the main Tema harbour to export a chunk of scrap metals overseas, under the very noses of the security agencies. Speaking with Adom Business News, Mr. Mortu claims a number of illegal exit routes along the country’s borders are notorious for being used to cart scrap metals out of the country. He cited the Paga Border in the north-east of Ghana and some areas around the eastern border with Togo. Mr. Mortu stated though it is believed that scrap exporters get better deals for their goods on the international market, the illegal export is seriously killing the local steel companies. He said the Ministry needs to streamline its preventive operations to combat illegal scrap exports, as despite the ban, the practice continues unabated. Mr. Mortu tells Adom Business News this is necessary, to protect steel companies from collapse, save jobs and provide more employment to Ghanaians. Story by Afia Akyere/Adom Business News