Hydro informs on trade in Tajikistan

The Ministry of Trade, Industry and Fisheries (NFD) has asked Hydro to provide further information on its trade in Tajikistan. Hydro has today delivered its report to NFD with the main conclusion that there are no indications of Hydro having acted in violation of applicable laws, internal rules or guidelines.

March 7, 2016

In the report, signed by the Chair of the Board of Directors, Dag Mejdell, Hydro emphasizes that the company has zero tolerance towards corruption. In Tajikistan, Hydro has exclusively bought and sold products at market prices and did not engage any agents or intermediaries. Hydro has not negotiated with Tajikistan’s President, although we have had several meetings – as we also have meetings with government representatives in many countries where we operate or are engaged in trade. Nor has Hydro had dealings with companies in which the ownership has not been known.

"Hydro has carried out internal and external reviews of the dilemmas related to this trade. Among other things, the company has had an open dialogue on the conditions in Tajikistan with international organizations like the World Bank, the European Bank for Reconstruction and Development (EBRD), the International Monetary Fund (IMF) and Norwegian authorities," says Chair Dag Mejdell.

"We have conducted an active, open and extensive dialogue with international organisations about challenges in Tajikistan and our relation with Talco to seek advice and guidance on these challenging matters. Openness and dialogue have been important for our handling of dilemmas in this matter," says CEO Svein Richard Brandtzæg.

Hydro has repeatedly tried to contribute to improvements in transparency, health, environment and safety in Talco (f. TadAZ). Lack of progress in these areas was an important reason for why Hydro in November 2009, decided not to enter into new metal purchase contracts for purchase of metal and for commercial activity coming to an end in 2012.

"Hydro’s trade in Tajikistan has been carefully evaluated throughout. The main conclusion of all earlier reviews has been that there were no indication of Hydro having acted in violation of any applicable laws, internal rules or guidelines. We have now submitted a thorough report on the extensive information available after 20 years of trade. Again, our conclusion is clear: There are no indications of Hydro having acted in violation of applicable laws, internal rules or guidelines," says Mejdell.

The statement can be read in its entirety in Norwegian via this link. The English translation will be published as soon as it is available. Chair Dag Mejdell and CEO Svein Richard Brandtzæg are available for media at the company's offices, Drammensveien 264 today at 10:00.


Updated: October 11, 2016