To help reduce this accumulation of scrap and allow objects to be reused, Mercado Eletrônico, which operates in B2B e-commerce in Latin America, has had a direct auction system for over 20 years. A platform that finds buyers for all types of industrial scrap, such as ferrous and non-ferrous materials, paper, cardboard, plastic and oils that can be reused.

Sustainability in favor of companies

This service is available to Mercado Eletrônico customers or to companies that wish to contract only the direct auction. To participate as a seller, a company must select the scrap it wishes to dispose of, verify the quantities or the generation forecast for a given period, identify current buyers and send this information to Mercado Eletrônico.

“We analyze the materials and search our database for potential companies interested in making the purchase. In partnership with the client, we define the initial value based on the current weight and a previous quote from the market,” says Valdir Calsavara, Mercado Eletrônico’s auction manager. “From this stage on, the operation is identical to that of a regular auction; buyers place bids until one of the companies wins the scrap lot,” adds Valdir. The platform has transacted over R$250 million in the last 10 years, achieving a premium of over R$50 million.

For sellers, in addition to the premium, another major advantage is the considerable reduction in operating costs, given that the platform reduces negotiation time by finding the right buyer more efficiently. “Our business model also contributes to reducing the cost of the chain, since the payment for the service is made only by the buyers,” adds Alexandre Moreno, director of services at Mercado Eletrônico.

The Electronic Market selects participants based on its database and the recommendations of the selling company. Those who wish to participate as buyers must meet the minimum requirements demanded by the client, such as certifications, compliance with environmental standards, AVCB, etc., and forward them to the ME, proving their concern for sustainability.

“The entire process is extremely rigorous, in order to guarantee transparency and traceability for the parties, from the selection of participating companies to the delivery of the final process report”, adds Alexandre.

Source: InfoChannel

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