Pula Steel issues to be resolved � Molefhi

Addressing a kgotla meeting in Botshabelo on Wednesday afternoon Molefhi said the Pula Steel issue is a bit complicated but it will soon be resolved once government starts regulating exports of raw materials by producing companies without first satisfying the local market.

He added that this will leave the only three manufacturing companies in the country to compete on prices. He said this however will be closely monitored to ensure that companies do not overprice as a strategy to avoid the local market in preference of the South African market. Early this year Pula Steel faced a challenge of shortage of scrap metals and discovered that tonnes of scrap metals were being exported and this impacted negatively on its business. Without scrap metal, Pula Steel cannot produce.