A MUST READ: Even worse than a greedy capitalist is an ignorant bureaucrat

THE DAILY INSIDER:

EVEN WORSE THAN A GREEDY CAPITALIST

IS AN IGNORANT BUREAUCRAT

First published in The BizNews Insider on 13 January 2022
by Alec Hogg

Earlier in the week, I pointed out how ArcelorMittal (AM) shareholders enjoyed a ten-bagging 2021 primarily due to the lobbying efforts of the Indian-owned company. A construction professional dropped me a note to confirm why users of the steel maker’s products are at the opposite end of the spectrum.

He wrote: “A cursory look at index PO151.1 from Aug 2020 to Jul 2021 shows the cost increase in Metal Roofing steel was 57%; Structural Steel 30%; and Metalwork 38%. This is a direct consequence of material availability (AM chokes the supply) with potentially competitive imports limited by duties.”

He added: “While AM whines about unfair foreign competition, it is not competitive because of its outdated plant and machinery. The plant is being run into the ground and the owners are only interested in their bottom line profit while the lights are still on in RSA.”

Even worse than a greedy capitalist is an ignorant (or crooked) bureaucrat who writes regulations that make such excesses possible.

Alec Hogg is the Founder and Editor at BizNews.

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