How We Work – A Secure & Transparent Trade Process
At Ferric Trade, we follow a structured, risk-free, and transparent scrap trading model, ensuring seamless procurement, compliance, logistics, and financial security for our global buyers.
We understand that scrap metal trade requires absolute reliability, quality control, and financial security—which is why our 4-step trading process ensures full buyer protection, optimized logistics, and a zero-risk transaction experience.
Step 1 : Scrap Selection & Quality Assurance – Ensuring the Right Material, Every Time
Selecting the right scrap quality, grade, and supplier is the foundation of a successful trade. We ensure that our buyers receive 100% contamination-free, high-quality ferrous scrap that meets strict international standards.
How We Guarantee the Best Quality Scrap?
Access to Verified Global Scrap Yards – Buyers can select from a wide range of scrap yards across Europe, the USA, the Middle East, Africa, and Asia, based on:
- Scrap grade & chemical composition (HMS 1, HMS 2, PNS, shredded, re-rollable, etc.)
- Material origin & compliance certifications
- Yard reputation & pre-inspected supply lots
Guaranteed Compliance with International Standards – We ensure that all ferrous scrap materials comply with ISRI, EU, BIS, JIS, and ASTM standards for steel production.
Third-Party Inspection & Pre-Shipment Certification – Every batch undergoes:
- SGS, BV, or Intertek testing for purity, weight, and grade verification.
- Pre-shipment cargo assessment, ensuring buyers receive what they paid for.
- Live video/photo inspections from the yard for full buyer transparency.
Impurity & Non-Ferrous Material removal – We ensure that scrap is free from contaminants like tin, copper, and aluminum, maximizing melt efficiency and reducing refining costs.
Chemical & Physical Composition Verification – Buyers receive detailed lab reports on:
- Carbon, sulfur, and alloy content
- Size & density checks
- Moisture content analysis
Step 2 : Contract Finalization & Secure Payment Process – Eliminating Trade Risks
Once the scrap quality is confirmed, we ensure a clear and structured trade agreement that protects both the buyer and supplier.
How We Ensure Financial Security & Trade Transparency?
Transparent Trade Agreements – Every contract clearly defines:
- Pricing terms (fixed-rate or market-linked pricing)
- Delivery responsibilities (FOB, CIF, CFR, DAP, DDP Incoterms)
- Payment structures and financial security mechanisms
- Dispute resolution and arbitration suppor
Flexible & Secure Payment Structures – Buyers can choose from:
- L/C (Letter of Credit) – 100% bank-secured payment, ensuring funds are only released upon fulfillment of contract terms.
- D/P (Documents Against Payment) – Payment is made only after buyers receive and verify the shipping documents.
- T/T (Telegraphic Transfer) – Fast and efficient payment method, ideal for recurring shipments and trusted partnerships.
Advance Payment vs. Deferred Payment Options – Based on buyer eligibility and contract size, we offer:
- Spot Payments – One-time bulk payments at a fixed rate.
- Long-Term Supply Agreements – Contracts with flexible installment-based payment schedules.
- All transactions are bank-verified, ensuring full legal security.
- Zero hidden fees, ensuring buyers receive the agreed scrap quality without unexpected financial liabilities.
- AML & KYC-verified transactions, ensuring fraud prevention and secure financial dealings.
Step 3 : Logistics, Freight & Customs Clearance – Ensuring Smooth & Cost-Efficient Delivery
Shipping bulk scrap across international markets requires precise coordination, optimized freight options, and customs clearance expertise. At Ferric Trade, we handle end-to-end logistics, ensuring on-time and cost-effective delivery.
How We Guarantee Hassle-Free Shipping & Customs Handling?
- Breakbulk Shipments – Ideal for large HMS 1, HMS 2, PNS, and structural scrap shipments.
- Containerized Shipping (20ft/40ft FCL) – Cost-effective option for shredded scrap, busheling, and re-rollable materials.
- Barge & Rail Transport for Inland Buyers – Ensuring connectivity beyond ports.
- Full documentation support (Bill of Lading, Certificate of Origin, Packing List, PSI Reports).
- Hassle-free clearance at major ports worldwide, ensuring no shipment delays.
- Assistance with import licensing & duty exemptions for eligible buyers.
- GPS-enabled tracking on all bulk shipments.
- Automated notifications for estimated time of arrival (ETA).
- Buyers receive live updates on vessel departure, transit, and unloading.
Step 4 : Final Delivery, Cargo Insurance & Risk Management – Full Buyer Protection
The final stage of our process ensures complete trade security with cargo insurance, post-shipment verification, and legal risk mitigation mechanisms.
How We Protect Buyers from Trade Risks?
- Full-value insurance against damage, theft, and weight discrepancies.
- Coverage for cargo lost due to shipping incidents or misrouting.
- Buyers are financially protected at every stage of the transaction.
- Weight Draft Surveys – Ensuring scrap quantity matches contractual obligations.
- Third-Party Inspection Upon Arrival – Buyers can verify the quality before acceptance.
Advance Payment vs. Deferred Payment Options – Based on buyer eligibility and contract size, we offer:
- Legal support under INCOTERMS 2020, ensuring quick resolution of trade disputes.
- Guaranteed replacement or compensation for non-compliant scrap shipments.
Delivering Reliable, Transparent, and
Sustainable Scrap Trade Solutions
