NAIROBI, Kenya – From March 15, 2025, all registered scrap metal dealers in Kenya will be required to apply for import and export permits through an online system, the government has announced, in a bid to streamline operations and curb illegal trade.
The Scrap Metal Council (SMC), in a statement released on Tuesday, March 11, said the shift to digital applications via the Trade Facilitation Platform (TFP) will enhance compliance and improve efficiency in the sector.
The platform, managed in collaboration with the Kenya Trade Network Agency (KenTrade), is expected to reduce bureaucratic delays and strengthen oversight.
Kenya’s scrap metal trade, which exports approximately 13,000 tonnes annually, has long been marred by concerns over vandalism and smuggling.
In May 2024, the SMC suspended the renewal and issuance of export licenses following increased cases of destruction of critical infrastructure, including guardrails and power lines.
The council later introduced stricter measures that officials say have led to a decline in vandalism and illegal exports.
Scrap Metal Council Chairperson Francis Mugo noted in December 2024 that these efforts had stabilized local supplies for steel production, benefiting industries and creating jobs.
“We’ve engaged extensively with scrap metal associations, steel millers, and other stakeholders to address industry challenges and build a more stable sector,” Mugo stated.
While the new permit system aims to enhance regulation, industry players are also facing uncertainty over the government’s plan to merge over 40 state corporations, including the Scrap Metal Council.
Scrap Metal Dealers Association Chairman Evans Ng’ang’a has warned that dissolving the SMC could undo the gains made in regulating the sector.
“Give us back the Scrap Metal Council so we can continue improving the sector. The industry has grown due to the regulations in place. We don’t want illegal activities to return,” Ng’ang’a said.
Under the Scrap Metal Act of 2015, dealers must be registered and licensed before applying for import or export permits.
Operating a scrap metal yard without a license can attract fines of up to KSh 20 million or imprisonment for seven years, or both.
It is also illegal for a licensee to accept scrap metal of unknown origin.
The SMC has assured stakeholders that it will offer refresher training on the new digital permit system upon request.
Officials believe the automation will not only ease business operations but also tighten monitoring to prevent illegal trade.