Iron rod dealers back NASS crackdown on substandard steel producers

The Iron Rod and Steel Distributors Employers of Nigeria (IRSDEUN) has reassured the National Assembly of its commitment to supporting efforts to eliminate substandard steel products that have saturated the Nigerian market.

In a statement by the National President of IRSDEUN, Chief Gbenga Awoyale, the union attributed the proliferation of substandard steel products to the alleged greed of some producers, primarily foreigners, who are reportedly collaborating with certain government officials.

The union praised the recent initiative by the House of Representatives Committee on Steel Development to gather information regarding the statutory compliance obligations and production processes of suspected iron rod producers from the Standards Organization of Nigeria (SON) and the Federal Inland Revenue Service (FIRS). This move is intended to validate reports and ensure compliance with relevant laws.

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“We applaud this as a bold step in the right direction after a prolonged period of calling for action against the inefficacy of SON in sanitizing the industrial production sector and eliminating substandard products. It is highly commendable,” the statement read.

“However, we at IRSDEUN are cautious, as the deep-seated corruption and vested interests within SON may attempt to undermine this public-spirited initiative.

We urge members of the National Assembly, particularly the Steel Development Committee, to remain steadfast and uncompromising as they are on the verge of making history.

We assure them of our unwavering support in the interest of the safety of Nigerian citizens and their properties.”

The union also recalled that in a letter dated August 4, 2024, the National Assembly House Committee on Steel Development had written to SON and FIRS, requesting information on the extent of compliance with the laws and regulations governing the metallurgical and foundry operations of certain steel-producing companies in Nigeria.

This request was made in accordance with Section 62(1) and (2) of the Constitution of the Federal Republic of Nigeria and Order 130, Subsection (2)(I) of the Standing Orders of the House of Representatives.

The companies for which information is sought include Honxing Steel Mills, Amuwo Odofin, Lagos; Yongxing Steel Mills, Benin, Edo State; Inner Galaxy Steel Mills, Aba, Abia State; Bao Yao Steel Mills, Calabar, Cross River State; African Foundries (Tiger TMT), and African Foundries, Km 45 Shagamu, Ikorodu.

Also included are Abuja Steel Mill Limited, Sabon Wuse, Kaduna Road; Sunflag Steel Company (formerly Real Infrastructures Nigeria Limited), Adeyemo Alakija, N.I.J. House, Victoria Island, Lagos State; Quantum Steel Nigeria Limited, Office 16km Ikorodu-Sagamu Road, Ogijo, Ogun State; Phoenix Steel Mills, Km 14, Ikorodu-Shagamu Road, Ita Yakubu, Ogijo Remo, Ogun State, among others.

The reports are expected to be submitted to the National Assembly on or before Wednesday, August 28, 2024, according to a letter by the Committee Chairman, Hon. Zainab Gimba, PhD.

NIGERIA TRIBUNE