Scrap metal at Prozorro.Sale auctions: who sells it and how to buy a batch

Scrap metal is one of the most traded goods on Prozorro.Sale. Large companies constantly write off rails, wagons, pipes, equipment and cable and sell them as scrap at open auctions. The lots range from small batches of aluminium for a few thousand hryvnias to thousands of tonnes of ferrous metal worth millions.

Who sells

• Ukrzaliznytsia (Ukrainian Railways) — the largest seller: ferrous scrap from written-off wagons, track and parts, plus non-ferrous metals.
• Ukrposhta — small batches all over the country: ferrous metals, aluminium, copper.
• Pipeline operators and energy companies — Ukrtransnafta, Ukrtransgaz, heating and power grids: pipes, fittings, equipment, electrical steel.
• Municipal enterprises, factories, banks — whatever is left after modernization or write-off.

Most lots are in the “Property sale” group, private sellers are in “Commercial sale”. For other assets of these companies, see the article on assets of Ukrposhta, Ukrzaliznytsia and customs.

How to read a lot

• Metal and grade. Ferrous scrap is divided into grades (“вид”) under the national standard DSTU 4121 — the title says so directly: “вид 4”, “вид 10”, “вид 301”. The grade determines where you can resell the scrap and for how much. For non-ferrous metals the metal itself is named: copper, aluminium, brass, lead.
• Weight. The weight in the announcement is often approximate. Check the draft contract to see how the final amount is calculated: by the price of the whole lot or by actual weight after weighing.
• Contamination. The percentage of non-metal impurities reduces the accepted weight — it is stated in the lot documents.
• Location. The scrap of a single lot may be stored at several stations or depots. The addresses are in the announcement; our lot page shows the region and locality.
• VAT. The lot page shows whether tax is included in the starting price.

Buyer requirements

Scrap metal operations in Ukraine are governed by a separate law, and sellers of large batches usually ask the buyer to prove the right to carry them out: documents of a specialized enterprise, a site, equipment. Each seller has its own list of documents — check it in the announcement before paying the fees. A winner who does not meet the requirements is disqualified and the guarantee deposit is not returned.

Removal

The buyer almost always removes the scrap: cutting, loading, transport and weighing are at the buyer’s expense and within the contract deadline. Work out the logistics before the auction — for cheap grades it can eat up the entire margin. If possible, inspect the batch on site: contacts are in the announcement.

Price and discounts

These are usually ascending auctions: the starting price is for the whole lot, and bidders raise it step by step. If nobody came, the lot is offered again, often cheaper, and some batches are sold at a Dutch auction with a falling price. Compare the price per tonne with what steel mills currently pay and add removal costs — that shows how far it makes sense to bid.

How to take part

1. Register on one of the accredited Prozorro.Sale e-marketplaces.
2. Pay the registration fee and the guarantee deposit and submit an application with documents before the deadline shown on the lot page.
3. On auction day, take part online; whoever offers the most wins.
4. After winning — the protocol, the contract, payment and removal within the deadlines in the announcement.

Scrap metal currently accepting applications

Discounted at repeat auctions

New batches appear every day. Save a filter with the word “брухт” (scrap) and your region — the radar will message you in Telegram as soon as a new lot appears.

This is an overview for orientation, not legal advice. The binding terms of each auction are in its announcement and documents on prozorro.sale.