Jamaica: Not a Dump for Used Tires - Tire Review Magazine

Jamaica: Not a Dump for Used Tires

The Jamaica Observer published an editorial on March 4 concerning recent government action to prevent the further dumping of "used tires" in that country:

"The decision by the Minister of Industry, Investment and Commerce Karl Samuda to stand by his decision to impose a ban on the importation of used tires into Jamaica will prove beneficial to the country’s motorists and will stop the funeral parlors profiting from what could have spelt a major impediment to the transportation industry and have serious concerns for the environment.

“Already Jamaica is plagued by terrible roads and an excessive of deportee cars and to contend with unfit and substandard tires would simply place yet another burden on motorists’ shoulders.

“Earlier this week, it was widely reported that the government was all set to lift the originally imposed ban on the wholesale importation of used tires. Samuda said that he was cognizant of the argument that used tires at 50% cheaper than brand new one would prove cheaper for cash-strapped Jamaicans. He called on the Bureau of Standards Jamaica to develop a table of tire measurements and requirements, in other words a standard for used tires.

“Prior to the government’s recent policy shift, the only used tires that were allowed to be imported in to Jamaica were used tires that were to be retreaded, that is, they were subject to manufacturing prior to them being available to the Jamaican consumer. Hence, used tires attract 0% duty. Unfortunately, the government of Jamaica has allowed used tires that are not subject to any manufacturing process to be imported and sold directly to the Jamaican consumer, duty free.

“New passenger tires, upon arrival at the ports of Jamaica, attract a 25% customs duty based on the CIF value of the goods. Hence, used tires sold directly to the consumer are indeed cheaper than new tires.

“Is it not worrisome to the government that their duty policy that favors manufacturing inputs has been exploited by sharp thinking business persons?

“Used tire imports are proving to be quite costly for Jamaica as based on projections of used tire usage compared to new tire usage, the government of Jamaica stands to lose a minimum of J$1billion per annum in revenues lost using the current duty regime.

“Imported used tires that have been sold in Jamaica, have been sold at up to 65% of the cost of a new tire of the same size. So for the consumer, the initial cost is indeed less. But are these savings realized in the long term?

“Based on the recommendations of the Ministry of Industry and Commerce to allow used tires with a tread depth of 4 mm to be imported, the cost per mile for tires will increase for the Jamaican consumer. Why is this so? On the average, a new tire has a tread depth of 8 mm. When a tire reaches a tread depth of 1.66 mm is it no longer fit for safe use and so, for a tire with a 4 mm tread depth, only 2.34 mm or 36% of the tire is available for use, even though the consumer paid up to 65% of the price of a new tire. So, the Jamaican consumer does not gain from purchasing a used tire based on recommendations of the Ministry of Industry and Commerce, in fact the cost is between two to three times more!

“What about the cost to the environment? Since a consumer will have to purchase up to three used tires to get the same wear as one new tire, the amount of old tires that will now be in our garbage disposal sites will be at least three times more. Who will be paying for the increased cost for the disposal of these tires? Who will be paying for the increased environmental impact of these tires remaining in our ecosystem for many years? Who will be paying for the increased cost of extinguishing larger fires at Riverton that smoulder and create a smoke that stifles citizens, especially those with respiratory ailments? Who will be paying the increased cost for our public health bill for controlling the dengue outbreak caused by water gathering in the increased amounts of used tires in our environment?

“So yes, these tires are cheaper at the outset but are they more costly in terms of safety? Do consumers or even the importers of used tires know what conditions the tires were subjected to and therefore the integrity of these tires prior to arrival in this country? Were they stored in some outdoor dump and therefore continuously exposed to weather elements? Yes, they are inspected upon arrival, but the method currently employed does not allow for proper assessment of the integrity of the inner wire framework of the tire nor the rubber compounds that degrade over time. Who does it cost when consumers are allowed to put their lives and the lives of all road users at risk in using goods that have not been tested by scientific methods and they meet in accidents on our already perilous roadways?

“Will the insurance view used tires as a potential increased risk on the Jamaican road and therefore increase their premiums?

“Speaking with Caribbean Business Report last night Managing Director of Globe Insurance Evan Thwaites said: ‘The idea of importing used tires for Jamaican motorists is fundamentally not a good one for the country and its motorists. However, we in the insurance industry view a tire as just a tire and do not adjust our premiums accordingly. However if there were a number of accidents due to poor quality tires coming into the country, we would certainly have to take a look at it. I don’t think as things stand now it will result in a raise in premiums immediately.’

“Let’s hope good sense continues to prevail on this matter.”

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