Representatives of the tyre manufacturers say that the Customs Department has quarantined their sulphur imports worth 500 million baht.
The department has said that the tyre makers’ sulphur imports are illegal according to the Hazardous Substance Act and it has demanded that importers pay penalties of two billion baht to gain access to the materials.
The tyre makers’ club under the Federation of Thai Industries (FTI) has said that its sulphur imports comply with the law, which only prohibits imports of 80% sulphur, which is soluble in water.
Rachada Singalavanija, director-general of the Industrial Works Department, explained that an Industry Ministry committee on hazardous substances had been asked by the Agriculture Ministry to include 80% water-soluble sulphur on the harmful substance list because Thai farmers could cause chemical contamination by using it to kill molds on fruits and plants.
”If farmers spray these chemicals over plantations, they could contaminate natural water nearby because 80% sulphur is water soluble,” he said. ”The 100% sulphur is legal as it cannot be mixed with water to use in farms.”
The Industry Ministry will file a clarification letter with the Customs the Department and Department of Special Investigation next week to explain that the two types of sulphur are different.
Damri Sukhotanang, the Industry Ministry’s permanent secretary, expressed concern that the interruption would erode investor confidence in Thailand as most tyre makers here are controlled by foreign investors.
The ministry is considering removing sulphur from the act while the Industrial Works Department will ascertain if other substances also face import difficulties.
Sulphur is used as one of the raw materials to make tyres, together with natural and synthetic rubber, carbon, nylon or polyester cord, resins and oil. (Tire Review/Akron)