<p><a href="/en/afganistan/kabul" class="glossify-link">KABUL</a> Steel Mills Union (ASMU) on Sunday said the smuggling of scrap metal to neighbouring countries was hurting the local industry badly.</p>
<p>The union warned if the smuggling of scrap steel was not stopped, the local steel mills – a $450 million investment -- would go in vain and all the mills would stop functioning.</p>
<p>Parvaiz Khawajazada, head of the ASMU, told reporters in Kabul that over $450 million had been invested in 38 steel mills where over 12,000 people worked.</p>
<p>“The biggest challenge our industry is facing is the interference of our neighbouring countries in our scrap market, they interfere directly with the aim to collapse our market,” he said.</p>
<p>He said the government had stopped the export of steel scrap and dumps, but still tens of trucks carrying scrap entered <a href="/en/pakistan" class="glossify-link">Pakistan</a>. He added Pakistan had made metal scrap imports from Afghanistan duty free.</p>
<p>Esmatullah Wardak, deputy head of the union, said: “We are losing patience, it has been three months that the council of ministers is ignoring our problems. Where shall we go to solve our problems.”</p>
<p>Reshad Popal, general director of customs at the Ministry of Finance, said the government was committed to developing the local industry and had prepared a friendly tax plan based on which factory owners could share their productivity plans with the Ministry of Commerce and Industry.</p>
<p>Popal added the government had been successful in preventing the smuggling on scrap metal and had banned the import of scrap.</p>
<p>nh/ma</p>
