Resources

To help you understand the trade platform better we have these links below explaining all the details of how an trade works and the steps involved in the same.

About Trade Platform

Types of Trades

There are Different types of trade options available
i) Auction Platform
Trade Type Price Quantity Winner
English Auction Highest Price Single Party Single winner for the entire quantity
Indian Auction Highest Price Multiple Party Multiple winners for the discovered price. Two sessions. First one to discover the price and then second session for the allotment of pending Quantity to all those who can match the price.
Dutch Auction Highest price point where the Quantity is exhausted. Multiple Party Multiple winners driven by the highest price point at which the entire quantity is exhausted. i.e. 25 MT / 102 , 35MT / 103 , 45MT / 101, 40Mt / 105 …. The price set is 102 and the Qty. is allocated.
Yankee Auction Multiple price point above thebase price Multiple Party Allocation is on Price / Qty / Time. All those who bid above base price will be allocated until the quantity is exhausted.
Ascending Price Auction Single Price Multiple Party Multiple rounds starting at base price, depending upon demand supply next round is set at the pre-determined price.
ii) Order Based Trade

Order based continuous market will show live sell/buy offers of various products (supplier wise / origin wise / anonymous ) which can be negotiated upon (by both) & trade will be concluded successfully when price is matched.

Membership Types

Type Of Membership Privileges spacer
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Multi Account Member(MAM) Trading / Clearing Membership(Broker / Agent) The MA member is allowed to trade on behalf of his clients. The member will have multiple trading accounts and he will be solely be responsible to settle the same. His limits will be used for trade settlement. He can have a maximum of 5 entities
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Single Account Member (SAM) Organisation/Individual Membership The SA member will be buying on his behalf and will settle on his own behalf. No other trading account is assigned under this membership type.
   
Premium Membership Corporates with many Group Companies or SBU In this category he will be holding upto 10 Single Account Member details and can give individual account details to different SBU or Group Company.
   

Products

The products that can be bought or sold would be as follows
  • Copper cathod, Copper Continuous Cast Rod,
  • Copper Wire, Copper Tubes and such
  • Aluminium Ingots
  • Aluminium, Copper, Brass, Zinc, Tin, Lead, Nickel Scrap

Procedures of Trade

Basic Trade Rules

  • Seller / Initiator Identity will be disclosed based on the initiator
  • Buyers / Bidders Identity will not be disclosed
  • In case of default: 75% of the margin of the defaulting party will be paid to the non defaulting party and 25% of the margin will be retained by MtlexsSpot
Auction Timings:

A base time of 1 hour 30 minutes

  • 1st extension if there is a bid in the last 3 minutes
  • 2nd extension if there is a bid in the last 3 minutes
  • 3rd extension if there is a bid in the last 3 minutes
  • At the end successful winner is announced

Existence of stock to be self declared. Any wrong information regarding the stock will be treated as default and the margins will be forfeited.

Taxes: As per the prevailing govt. rules
  • Excise Duty: 12.5%: Applicable on Qty * Rate = Net value
  • State tax: VAT / CST depending upon the location: VAT: 4% or 5% / CST: C form Nil or 2%
  • CST: as per location…
  • LBT and Octroias applicable
Delivery Charges / Freight Charges
  • Freight will be as per the contract
  • Delivery Charges as per the contract(Which the initiator (buyer or seller) will define)

Margin Money

Particulars UPFRONT 2 WORKING DAY

 

Buyer

Seller

Buyer

Seller

Scrap

2 %

2 %

3 %

-

Virgin

1 %

1%

9 %

-

Finished Goods

1 %

1 %

9 %

-

Value less than 30 lacs

2 %

2 %

8 %

-

Advantages on Online Trade Platform

  • Price Discovery: The Online trade helps in a better price discovery as the entire process is transparent, discrete and transcends the physical boundaries. The use of various trade algorithms helps in better price discovery in a limited participated market.
  • Standardization: Sets benchmark for standardization of the price discovery, service and delivery.
  • Risk & Settlement: Trade settlement is smooth as the margin monies are collected in advance and risks are monitored during the entire trade process.
  • Transaction Cost: Lower transaction costs for both the buyer and seller as most of the processes are automated.
  • Participation: Widens the participation with the easy reach of internet technology
  • Workflow: End to end workflow management including banking gateway ensure speedy execution
  • Widens Market: Generic products such as Aluminium Sections and Aluminium Roofing Sheets can be tapped / sold to a larger audience using the online platform.
  • Can be used for settling: Pre-negotiated trades, including long term contracts
  • Automation: Parametrization of the Trade System allows you to target much bigger market.
  • Banking: The integrated banking gateway open vistas for easy financing and banking transactions.
  • MTLEXSSPOT targets to onboard SME buyers onto the market thereby widening the scope of the trade.
  • ERP Integration: The MTLEXSSPOT platform is designed for integration into your existing ERP.
  • Closed Group Auction /Auction by Invitation: We can have auctions with only closed group of people or people of choice of the organization.