Housing Development Corporation (HDC) has announced it will allocate plots from Hulhumale’ for iron and scrap businesses.
HDC decided to provide designated plots for scrap dealers after observing a boom in such businesses.
Scrap dealer businesses started to increase following a surge in discarded iron and articles of iron. Discarded iron and scrap increased due to the rise of developmental projects in the Maldives. Contractors often discard large quantities of damaged iron and articles of iron after each project.
Many of these scrap dealers promote their sales on streets or roads. However, many of these businesses do not acquire permission to operate on roads which in turn creates difficulties.
HDC said it decided to allocate the plots to provide sufficient and legitimate space for scrap businesses.
Another reason for this decision is to reduce criminal elements, said HDC. According to the corporation, due to the lack of a designated space for dealers, Hulhumale’ observed a rise in illegal scrap businesses. HDC aims to reduce the number of theft of scrap materials including iron bars, cables, wires, and other articles of scrap.
HDC will begin taking necessary action against businesses found in breach of the corporation’s regulations, effective from February 15, 2023.
Scrap dealers should have legitimate business registration certificates and export licenses, said HDC. Additionally, businesses that have outstanding payments with HDC will not be granted permission to operate.