The National Association of Scraps, Waste, Dealers and Employers of Nigeria, NASWADEN has decried that its members have lost up to about N20 billion in three months.
Aminu Soja, Northern Chairman of NASWADEN disclosed this at a one-day summit, held in Kano on Wednesday.
Mr Soja said the members are still counting losses as a result price instability from their clients.
According to him, in the last two months, they were selling a ton of iron at N350,000, but the companies buying the commodities suddenly crashed the price to N270,000 per ton.
“Our major challenge is rise and fall of prices of our goods. For instance, in the last one to two months, we were selling scrap iron and other commodities. For instance, a ton of iron was sold at N350,000 or N350 per Kilogram in Lagos.
“However, all of a sudden, the companies that purchase the commodities reduced the price to N270,000 per ton, that means they cut about N80,000 in a ton. That means any person loading 30 tons is losing about N2.4 million. Our members have lost a lot of money.
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” We are still gathering data but our members have lost about N15 to N20 billion. Our members have lost N10 m, N20m, up to N200m. Also some of our agents have lost a lot of money,” he lamented.
“This summit is to discuss and take a position on the way forward. We will meet the companies to discuss and resolve the price crisis. In this meeting, we will come up with approach to meet the companies to see how to make the price stable to enable our members return to the market,” he said.
The Chairman said the companies gave issues of flooding and rainy season as reasons for instability of the prices.
“The major reason the companies gave is that they made a lot of production but there is low sale. Thre is no buyers and their trucks can not transpot the goods to parts of this country and neighbouring countries because of flooding that ravaged the roads during the rainy season.
“Another reason is that in the rainy season, most of the people, especially in Northern Nigeria invest their money in farming. They so not do building much, that had also caused them law sale.
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“That is why we are holding this summit to cart way forwar to our challenges. The aim of the summit is to look towards stability, sustainability and challenge of our business. To also discuss prospect and growth of our business.
In his remarks earlier, Chairman in charge of Southwest of the union, Dr Abdul’aziz Abdulrahman Otumba noted that lack of good leadership is the major challenge of the association.
The Otumba of Oyo noted that if there is unity and formed leadership, members of the union would not face the challenges bidevelling them currently.
He however expressed hope that the summit would be an evenue to map out modalities on how to squarely address the challenges of the association to make it stronger.
“I am happy with the turnout of the participants. This gives me hope that we are on course to tackling challenges in our great union.
“I am sure this meeting is going to be productive in a bid to make our union wax stronger,” Otumba said.
