VIJAYAWADA: Of late, Indian coins are in high demand. It is suspected that these coins are being sent to Bangladesh where the metal is being used to making blades used in shaving equipment, earrings, necklaces and bracelets worn by boys and girls.
The coins made of ferratic stainless steel are being lapped up by unscrupulous traders by offering up to 15 per cent more value than their face value.
The Reserve Bank of India (RBI) uses ferratic stainless steel and nickel in making Rs 1, 2 and 5 coins and uses copper, aluminum and nickel in the ratio of 92:6:2 in making Rs 10 coin.
According to sources, small scale industries in Bangladesh have been making razor blades for shaving purpose and selling the products back in India.
They melt the ferratic stainless steel coins for making razors. Five razor blades are being made from Rs 5 coin and each blade is sold at Rs 2.
A large number of hair dressers are using these razor blades. Some groups are engaged in making labels for the razor blades also.
The makers of these products are also offering gifts like raincoats and umbrellas, all clocks, lunch boxes if bulk orders are placed by hair dressers and retailers who sell the other products.
As demand for coins is going up, the traders are offering good commission to the youth asking them to collect coins in variousdenominations. They are offering up to 15 to 20 per cent commission on the value of the coins.
“The RBI is aware of the smuggling of coins out of the country. The banking regulator is planning to introduce plastic currency even for small denomination of coins. The problem now is the coins released by RBI are disappearing,” an officer of the rank of the Assistant General Manager in SBI said, adding: “All the banks have released large number of coins during Godavari and Krishna Pushkarams but it is suspected that 50 per cent of them have just vanished.”
“I don’t know for why they are taking coins. For the past several years they take coins from us by paying a premium. If I give coins of a face value of Rs 88, they are paying Rs 100,” says a beggar near Kanaka Durga temple.