—–Sets Up Inter-Agency Committee to probe issues surrounding exportation of unprocessed natural rubber

IPNEWS: The President of Liberia, H.E Joseph N. Boakai, Sr., over the weekend announced the formation of a multi-agency investigative committee to probe issues surrounding the exportation of unprocessed natural rubber, which has been the subject of controversy.

The Committee is composed of Agriculture Minister Alexander Nuetah as Chairman, along with Commerce and Industry Minister Amin Modad, Justice Minister N. Oswald Tweh. National Investment Commission Chairman Jeff Blibo, and Senior Economic Advisor Sahr Johnny as members.

The President noted that he attaches utmost urgency to this process and asked the committee to provide detailed report upon the completion of the investigation.

The issue of exporting unprocessed natural rubber has been a source of disagreement among stakeholders in the rubber industry for some time now.

In November 2023, the former Government issued Executive Order #124, which imposed a moratorium on the export of unprocessed natural rubber from Liberia.

The moratorium covered various forms of unprocessed natural rubber, including natural latex, coagulum, cup lump, tree lace, bark scrap, ground scrap, and concentrated latex or dry rubber produced from rubber trees.

The Executive Order directed the Ministries of Commerce and Industry, Finance and Development Planning, and other government agencies to stop issuing export permits for unprocessed natural rubber.

Last week Tuesday, April 2, 2024, the Honorable House of Representatives- HOR, has unanimously voted to lift the moratorium on the exportation of unprocessed rubber.

It followed a communication from Bong County District #7 Representative, Foday Fahnbulleh.

Representative Fahnbulleh recounted the continuous negative impact and unbearable suffering Liberian rubber farmers and all other actors within the rubber sector are faced with as a result of Executive Order No.124.

According to him, Executive Order No. 124 is actually intended to suffocate rubber farmers and deprive other actors within the rubber sector of Liberia business opportunities.

He said the brokers are the aggregators in the value chain and investment risk bearers.

The Bong County Lawmaker said they invest resources in the smallholders, buying the rubber from them and selling it to big buyers. The ban has also restricted their options to sell, as some of the current buyers’ policies do not permit them to buy from aggregators.

It can be recalled an executive order was issued by former President George Weah in November 2023 prohibiting the export of unprocessed rubber or raw latex cup lumps from Liberia.

It may be recall, former Liberian President George Manneh Weah issued “Executive Order No. 124 placing a Moratorium on the exportation of unprocessed natural rubber from Liberia. The Executive Order was issued by the Liberian leader late Tuesday, December 12, 2023.

The Executive Order noted, “Article 5 (c) of the Liberian Constitution provides that the Republic shall take steps, by appropriate legislation and Executive Orders to eliminate the misuse of government resources and all other corrupt practices.”

President Weah in issuing the Executive Order noted, “The Liberian rubber industry has been part of the national economic heritage for over 95 years, providing the highest single source of annual revenue for the Government and providing more employment nationwide than any other single economic sector, but having been greatly affected by abuse, misuse, abandonment and especially theft.”

The Executive noted that the Liberia rubber industry has been and continues to be depleted by its tapping observed to be increasing in addition to having massive economic consequences on employment and Government revenue the theft situation has major security implications throughout the country.

It added that in order to deal with the depreciating situation obtaining in the Liberian rubber industry, the Government believes that further strategy is necessary so that proper policies can be developed and an appropriate institutional and regulatory framework established to curb retrogression, sustain development of the industry and stimulate growth.

“Executive Order No. 16 was issued in 2008 to remedy this situation: but in the meantime, the Government believes that, in the national interest, urgent action still necessary in order to stem the current decline in the industry, and as part of this an immediate pause in the exportation of unprocessed natural rubber is required,” Weah added.

“I, George M. Weah, Sr. with the intention of taking immediate steps to curb the decline in the Liberian rubber industry until appropriate policies and frameworks can be put in place to improve the situation of the rubber industry in the longer term in order to ensure redevelopment, new development., increased production, increased job opportunities and increased revenue to government, hereby ordered as follows,” President Weah noted.