Senegalese trade unions in SOS for local chemical firm

Dakar, Senegal, 02/26 - Four national trade unions on Friday urged the government of Senegal to save Senegal`s Chemical Company (ICS) from bankruptcy by quickly injecting new capital into the firm.

The National Confederation of Senegal`s Workers (CNTS), the Confederation of Senegal`s Independent Unions (CSA), the National Union of Senegal`s Independent Unions (UDTS), and Senegal`s Workers` Unions (UTS), made the appeal at a meeting held in Dakar on the flagging sectors of the national economy.

The unions said that it was up to the government of Senegal, as ICS`s main shareholder with 46.38% of the capital, to quickly find a solution to the company`s financial crisis

"We are not asking for a social action. We rather want the government to assume its legitimate responsibility after a candid analysis of the situation," said Mody Guiro, secretary-general of CNTS.

The trade unions also called for the re-capitalisation of the company, which would allow private companies to take control of ICS and "meet the real demands of the national economy," Guiro added.

In that respect, they demanded the opening of direct negotiations with Indian private and public investors, who are the company`s second largest shareholders after Senegal, with 27.26% of its capital, and whose intention is to take the lead of ICS.

Senegal`s minister of Industry, Mining, and Craft Industry, Binta Samb, announced that the government has disbursed some 10 billion FCFA for the operation of ICS, assuring that tough negotiations were underway between Senegal, the World Bank, and the IMF, in a bid to rescue the jewel of Senegal`s industry.

Senegal`s Chemical Company, created in 1984, with a revised capital of 130 billion FCFA ($250 million) in 2004, is facing a serious financial crisis with debts estimated at over 200 billion FCFA ($380 million) and some 2,500 jobs at stake.