Scrap yards: Earning Millions with Recycling Waste

What would happen to this world environment if there are not enough disposals of heavy industrial wastes? The effects we already face today are massive changes in the global climate. The one and only medicine for this is recycling of wastes. In an industry there are lots of wastes in the form of ferrous and non-ferrous metals. There may be other wastes also. It varies from industries to industries. These wastes are acquired by the scrap dealers and are recycled in scrap yards. After this these are sold to other big scrap merchants. Thus, it is a chain process which benefits everyone. New products are manufactured just by simple recycling of the old scrap products.

How do these scrap yards operate?

  • The first and foremost thing you need to do is the identification of the types of materials. Different materials have different values as par its market standard. If it is high cost non- ferrous metals then it has got huge profits. If it is ferrous metals then they are basically of low price in the market. But it has got the most demand in the market. If the products are plastic then they are very much desirable in plastic industries where raw materials are plastics granules. Its depend on the dealers on what types of materials he like to concentrate according his/her scrap yards.
  • Small dealers usually have contacts in various industries from which they can acquire the scraps once it is no longer in use. They collect scraps in smaller quantities from various industries be it fabrication industry, or automobile industry or simply any manufacturing industries. They buy at much lower prices these scraps and procure it to their recycling scrap yards. They are making huge profits simply by selling these scraps at higher prices to their bigger counterparts.
  • Generally, the dealers have low waged unskilled labors who sort the non- defective parts from the whole lot. And with proper verification and inspection, scrap yards give them a recycled touch so that the scraps can be sold to the bigger clients. Actually, the whole business is networking. If the scrap dealers have proper industrial producers contacts, they shipped these scrap materials to them and demand a lofty price for this.
  • Where there is a mix of different materials the price will be low. And where there is one material the prices are high.
  • If the scrap dealer is a big fish in the business then he can also give rent to his large warehouse to someone small if necessary.

Where do these scrap yards operate?

The scrap yards are normally seen near industrial zones where lots of industrial work is undergoing. Where large demolitions or constructions are going on they are seen there also. They are also seen near port where the materials can be easily transported through roads, rails and ships. As the yard needs larger space to operate it’s always advisable to have open areas.

How the scrap yards make profits?

Usually, these yards fix their rates as par the weight of the materials. The prices generally are fixed as par the trading market price and there is no fix price. The prices may vary from one yard to another yard as par stock trading market. They do not generally operate on local basis by picking up only few ounces of steel or other materials. The cost will not help them to bear the huge bearing costs of transportation including the driver charges. Only in industrial wastes pick up the scrap yards benefit the most where there are bulk materials to recycle and earn huge profits.

These yards are thus benefiting themselves and also the environment by simply recycling the products and also helps in preserving natural resources.

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