> I can't think of many other markets where this dynamic exists.
Recycling market is the same - UK government pays you to recycle plastic, £60 per tonne. You find someone in a 3rd world country that will take it off your hands for £30 per tonne, and pocket the difference. They give you a document saying the plastic was 'recycled' and dump it in the ocean.
The sums may be wrong, but you get the gist