2021-02-04 How Toyota Tsusho's Metalsplanet.com Will Be The New Gamechanger
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Last year, the outbreak of the Covid-19pandemic had severely impacted the global automobile, construction, and electrical machinery industries, which together contribute 75-85% to the global non-ferrous metal demand. As a result, consumption of these metals had contracted significantly, ranging from 3 - 4% for copper and zinc, and up to 8percent for aluminum on a Y-o-Y basis.
However, the good news is that the tides are changing. There has been a steady turnaround in demand conditions, possibly due to the ample liquidity in the global financial markets. The turnaround in demand conditions in China has also helped.
According to rating agency ICRA, this favorable momentum for non-ferrous metal prices is likely to continue for the next 12-15months. From a 15% margin in FY2020, the agency is projecting margins to increase to 21% in FY2021 and 23 percent in FY2022.
What’s fueling this trend is the digitization of the entire process. While Europe has made rapid strides in this space, the trend has caught up in India too. The steel and metals trade discovers that processes could be accelerated and better structured, i.e. made more efficient using digital platforms.
One player that is revolutionizing the online metals buy-and-sell process is metalsplanet.com - an e-commerce vertical of Toyota Tsusho India Pvt Ltd for non-ferrous & ferrous metals. Toyota Tsusho is the world’s leading trading and investment company, which is continuously engaged in solving material procurement issues of the society at large. For Toyota Tsusho customers always come first and in addition to being cost competitive, it strives to find convenient solutions to issues and challenges its consumers face.
What is unique about this portal is it provides an opportunity to purchase and sell material at different price options - List, Bid and LME - to buyers and sellers. Buyers have choices to buy material at desired target prices from available sellers within the agreed delivery time.
With the aim of becoming the go-to ecommerce portal for trading of all metals, Metals Planet offers a range of services that no other platform offers in India, like credit card facility, real-time tracking. In the initial phase, however, it is primarily concentrating on Aluminum Ingots, Aluminum Billets, Aluminum Wire Rods, Copper Cathode, Copper Wire Rods, Tin Ingots, Lead Ingots, Zinc Ingots, Nickel cathode and Pig iron, catering to the SME and the MSME the monumental role that SMEs play in India.
Metalsplanet.com provides a host of services that will be a gamechanger in the market:
■It has tied up with reputed banks, which provide nodal account services to metalsplanet.com and offers up to INR 50 million credit limit to buyers through a credit card facility.
■Buyers have choices to buymaterial at desired target prices from available sellers within the agreeddelivery time.
■Tie-ups with India'sreputed logistics partners to provide safe and secure logistics services withlive tracking. This enables sellers and buyers to know the cargo's real-timelocation and expected arrival time at their plant.
■Tie-ups with India’sreputed insurance companies for timely and faster claim settlement if anyissues arise during the transit period.
■Facilities to create E-Invoices and E-Way bills andmeet necessary compliances as announced by the Goods & Services Tax Council(GST) from time to time.
■Money protection for sellers for the successfuldelivery of material, and for buyers in case of return of goods.
With a suitable platform like metalsplanet.com, many steel trade suppliers who have not yet experienced the benefits of using e-commerce to boost their business, can catapult themselves into the digital age. Buyers can easily locate sellers and vice versa; this will benefit both large traditional companies and small specialist providers who can easily reach customers all over India on a digital marketplace.
An e-commerce solution in the B2B sector is a convenient solution because individual dealers do not have to make any investments to sell their products online. There is no need to set up your own online shop and no need to connect to many customers who want to order digitally. Both suppliers and consumers only need one interface if they trade on one platform.
Buyers and sellers want a simple, fair process. At this point, metalsplanet.com offers registered companies, in addition to a digital solution for the purchasing and sales process, personal contact and service to accompany them on their digital journey. Therefore, it is obvious, that the Indian metals industry is all set to transform with this game-changing ecommerce portal. Toyota Tsusho expect sales volume around 1200 Mill USD/Year until March-2025.