Since September of last year, «Ukrzaliznytsia» has stopped selling scrap metal at open auctions, which has resulted in significant financial losses for the company, according to the specialized portal GMK Center. According to journalists, «Ukrzaliznytsia» initially planned to obtain the right to export raw materials, but the Cabinet of Ministers did not grant the necessary permission.
This decision has caused quite a stir in the industry, with many questioning the reasoning behind it. After all, scrap metal is a valuable resource and a source of income for many companies. So why would «Ukrzaliznytsia» suddenly stop selling it at auctions?
The answer lies in the company’s desire to expand its business and diversify its revenue streams. «Ukrzaliznytsia» has been looking for ways to increase its profits and reduce its dependence on government subsidies. And one of the ways to do that was to enter the scrap metal export market.
However, this plan hit a roadblock when the Cabinet of Ministers did not grant the necessary permission. This decision was met with disappointment and frustration from the company’s management, as well as industry experts. After all, the export of scrap metal could have brought in significant revenue for «Ukrzaliznytsia» and helped improve its financial situation.
But despite this setback, the company remains determined to find new ways to increase its profits. In fact, «Ukrzaliznytsia» has already started exploring alternative options for selling scrap metal, such as through direct contracts with buyers. This approach may not bring in as much revenue as open auctions, but it is still a step in the right direction.
Moreover, the company is also looking at ways to improve its internal processes and reduce costs. This includes modernizing its equipment and optimizing its operations. By doing so, «Ukrzaliznytsia» hopes to become more competitive and efficient, which will ultimately benefit both the company and its customers.
It is also worth noting that the decision to stop selling scrap metal at auctions was not made lightly. The company carefully considered all the potential risks and benefits before making this move. And while it may have caused some short-term losses, «Ukrzaliznytsia» believes that in the long run, this decision will pay off.
In addition, the company is also taking steps to ensure transparency and fairness in its operations. This includes implementing a new electronic system for tracking and selling scrap metal, which will prevent any potential corruption or manipulation.
Overall, while the decision to stop selling scrap metal at open auctions may have caused some financial losses for «Ukrzaliznytsia,» it is a part of the company’s larger strategy to improve its financial situation and become more competitive. And with its determination and innovative approach, «Ukrzaliznytsia» is well on its way to achieving its goals and becoming a stronger player in the industry.