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Mongolia's Iron, a Vanishing Act PDF Print E-mail
Friday, 12 May 2006

mongolia.neweurasia.net

Many of Mongolia’s border crossings with China, especially Zamyn-Uud, can be cluttered with trucks and rail cars carrying scrap metal to China. A 2004, New York Times article quoted extensive illegal exports to China of scrap metal from Mongolia. This week’s UB Post quotes another Mongolian journalist who has been investigating the situation.

Journalist G. Dashrentsen asserted at a press conference om May 9, that the claims in his report on iron smuggling have now been vindicated by facts, and called on both the police and courts to take suitable and proper action against the important people he has accused of being involved with the offenses.

After Dashrentsen’s first report, he was accused of libel, found guilty and paid a fine of Tg300,000. However, one of the officials that Dashrentsen accused was Kh. Baatar, the former Customs chairman who was arrested on charges of corruption and found with over US$500,000 in cash in his personal safe....

Continued here: http://mongolia.neweurasia.net/?p=179

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 1 Corruption within the Customs Department
Written by Guest, on 2006-05-13 02:05:15, IP: 202.179.3.171
The pariliment raised the export tax on iron so that customs could extort more money. 
 
Customs regularly takes the money from exports of raw cashmere. Approximately 4000 tons is exported, at Tg4,000,000 per ton. Very little of this money reaches the treasury. 
 
If Mongolia wants to increase the income to people living in the countryside, they should remove the export tax on raw cashmere and scrap iron. 
 
The rumor is that Parliment is considering raising the export tax on raw cashmere, which will reduce the herder's income and increase money available to corrupt customs officials who most likely share this money with other members of the MPRP.

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