Nigeria’s Scrap Dealers Shut Down Operations Over Alleged Unfair Pricing

Nigeria’s Scrap Dealers Shut Down Operations Over Alleged Unfair Pricing

The National Association of Scrap and Waste Dealers and Employers of Nigeria (NASWDEN) has commenced a 15-day nationwide warning strike over alleged unfair pricing, manipulation of weighing scales and the production of substandard iron rods by some foreign-owned steel companies.

The association’s Deputy National President, Comrade Aminu Hassan Soja, announced the strike at a press conference, saying it began on October 1, 2026, with members directed to stop supplying scrap metal to steel companies across the country.

Soja warned that the strike could become indefinite if the association fails to reach an agreement with the affected companies or the Federal Government during the 15-day period.

He alleged that some foreign-owned steel companies had reduced the prices they paid for scrap metal, causing dealers to lose between ₦3 million and ₦4 million on a single truckload.

He also accused some companies of manipulating weighing scales, claiming that dealers supplying one tonne, equivalent to 1,000 kilogrammes, were sometimes paid for significantly lower weights.

The NASWDEN leader further alleged that some companies were producing substandard iron rods by manipulating the sizes and quantities of materials used in production. He claimed that rods advertised as 12mm were sometimes produced at 10mm, raising concerns about the quality and safety of construction materials.

Another complaint involved what the association called “extra dose”, which Soja said resulted in deductions of between one and five per cent from the weight of scrap supplied, allegedly due to impurities.

He also accused some foreign-owned companies of establishing scrap collection points and dump sites in communities, arguing that this was pushing indigenous scrap dealers out of business and threatening jobs.

According to Soja, the association had repeatedly reported the issues to relevant government ministries and agencies but had yet to receive a satisfactory resolution.

He said the Federal Government had invited the association through the Executive Secretary of the National Steel Council, Ambassador Abdelkader Fadi, who received the dealers’ complaints and assured them that the matter would be presented to the relevant minister.

Soja said scrap dealers across the country had complied with the strike directive, with trucks loaded with scrap metal parked at various locations.

The association is also asking the Federal Government to formalise the informal scrap industry and provide intervention funds to enable indigenous operators to establish and expand their own businesses.

NASWDEN appealed to the government to intervene before the dispute escalates, saying its demands are aimed at protecting jobs and increasing the participation of indigenous businesses in Nigeria’s steel and recycling industries.

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