Ukrzaliznytsia JSC intends to put up for sale the first batches of scrap metal after a long suspension of auctions in the Prozorro system.
According to the press release, the company currently has about 160,000 tons of scrap metal ready for sale, which will be sold gradually and in separate lots.
It is noted that the railroad is currently working to ensure that the auction is held with maximum competition and number of participants, as well as successful results. To this end, the company is working in detail on each lot planned for sale and consulting with the market.
In particular, Ukrzaliznytsia held a meeting with more than 30 business representatives to discuss upcoming scrap metal auctions.
“We are actively preparing for the auctions, and all procedures have been improved. We have already switched to the updated DSTU in terms of the scrap sale procedure, as well as established a single cost for scrap loading and reduced the number of points of shipment,” said Yevhen Shramko, a member of the Board of Directors of Ukrzaliznytsia.
In addition, the parties discussed in detail payment for scrap purchase contracts, shipment terms and contract validity, and different lot sizes to meet the needs of customers.
Following the meeting, the participants agreed to exchange comments and suggestions as soon as possible to ensure the earliest possible start of the first scrap auctions on transparent, non-discriminatory and favorable terms.
As reported, after a two-year pause, Ukrzaliznytsia will put up scrap metal lots in the Prozorro. Sale in mid-May. In early April, the Cabinet of Ministers allowed Ukrzaliznytsia to independently decide on the disposal of property with a book value of less than UAH 500 million, so the company will be able to start selling scrap metal and gravel.
In September 2023, a government decree canceled the procedure for alienating Ukrzaliznytsia’s property by decision of the company’s board. The sale of property, including scrap metal, and lease of property had to be approved by the Cabinet of Ministers.