Metal Recycling Association of India (MRAI), an independent body protecting interests of metal recycling industry in India has shown its concern over rising fraud by Chinese suppliers.
India is one of the largest importers of metal scrap in the world. Indian importers have recently faced issues with quality and delivery of scrap metal from China, Thailand. In a written note MRAI has cautioned its member to trade carefully with Chinese suppliers. Letter reads as
” This is to inform you all that MRAI is extremely concerned with the rapid rise in frauds being committed by Chinese companies, in their export shipments to Indian Buyers. There seems to be a very well established network of such dubious people / companies in China, and the pattern in which they are executing the frauds. A few examples have been recently brought to MRAI’s notice:
1) Fraud regarding Lead Ingots sold by a Chinese Company to one our members
2) Zinc dross from China shipped to one of our members was found loaded with sand
3) Very recently 9 containers of Chinese Silicon metal and 1 container Mn metal shipped to India from China was carrying plaster of paris
4) Similar cases have come to the notice of MRAI from companies based in Middle East & Thailand where imported cargo was from China.”
MRAI also blames that such companies deliberately provide low prices, tempting Indian buyers to get entrapped. They sometimes even allow visits at their plants or warehouses, as well as loading of containers. However when the containers reach India, somehow it carries complete waste or zero value materials. Such dubious companies keep their websites and telephone and fax numbers active till the time money is paid by the Indian Buyers. However after that, there is no trace of these people and companies.