Ship Breaking and Railroad Scrap Newsgroup

Location: CANADA, VANCOUVER BRITISH COLUMBIA

USED RAIL.
We need offer for USED RAIL Here is our decision making process: 1. Pricing: This is very important. You may or may not understand the Chinese value chain. We were under great pressure to reach a price of $300/MT this time. We know that the market price is bit higher. However, as with large US companies, like Walmart, we need to invest in our entire value chain. Just as in other businesses, there are several layers of value added professionals that incur significant expenses to push through these large quantities. 2. Purchase Process: our process started with the execution of NCNDA to protect every party's interest. Then, we proceeded to check the seller's record in the Chinese Customs Department. Once we have verified continuing business by the seller to China, we move to the contract phase with an LOI/ICPO, etc. We then performed a product and/or yard inspection. The seller is expected to post a 2% performance bond prior to our LC, followed by POP from the seller's bank. The rest of the process is relatively straight forward.