Enterprise Europe Network

Belgian SME specialised in the depollution and dismantling of end-of-life vehicles with high traceability standards is looking for commercial and distribution agreements

Country of origin:
Country: 
BELGIUM
Opportunity:
External Id: 
BOBE20200825001
Published
10/09/2020
Last update
19/09/2020
Expiration date
20/09/2021

Keywords

Partner keyword: 
Batteries
Other pollution and recycling related
Motor vehicles, transportation equipment and parts
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Summary

Summary: 
The Belgian company specialises in decontamination of end-of-life vehicles (ELV), and is certified centre which positions the company as one of the two only centres authorised to deal also with hybrid and electric vehicles (HEV). The company aims to guarantee the traceability of each part recovered on an ELV. It is willing to expand its activities in export on the second-hand market in Africa and is looking for distributors/sales agents, able to take care of the whole supply chain.

Description

Description: 

The Belgian SME was launched in August 2019, started from the ambition of a well-known company in towing activities based in the region of Liège, active in the local sale of used vehicle and second-hand parts. The latter identified the necessity to consolidate its activities through the integration of the missing step of depollution and dismantling of ELV to grow in the automotive second-hand parts business.

The idea came from an observation in terms of vertical integration: a missing link between the vehicles towing and repair process and the second-hand parts market. This missing part consists of the elimination of hazardous waste and the recovery of metals and parts in a transparent quality framework. This initiative is supported by an innovative operational model not present in Wallonia, integrated into the rationales defended by the circular economy (recycling and reuse beyond valuation).

In Wallonia, ca 30 centres authorized by FEBELAUTO exist for the decontamination / depollution of end-of-life vehicles. FEBELAUTO is the Belgian organization for management of ELV and batteries used in hybrid and electric vehicles. It stimulates and coordinates collection, treatment & recycling of wrecked vehicles.

There is only one centre authorised by FEBELAUTO to accept hybrid and electric vehicles as well. This centre has now agreed a partnership with the company to cover the Liège region, so that the company would become the second centre in Wallonia, both centres working in collaboration.

The objective of the company is to guarantee the traceability of each part recovered on an ELV, to offer maximum transparency and safety, via digitization of the part from the line to the sales site (bar code, scanning, original vehicle data, description, digital photos, etc.). It is therefore intended to proceed on their site with the complete dismantling of the vehicle, the recovering of the recoverable parts, and the identification of those parts one by one before putting them on the second-hand market.
Ability to optimize line and inventory management by analyzing data collected continuously at each station by ERP program.

Source of ELV has been secured through diversified channels. As of today, the company captures roughly a bit less than 1000 ELV per year and opportunistically commercializes second-hand parts out of it. They plan in near future to acquire a new innovative and mechanized line enabling the company to dismantle parts out of ELV to a much greater extent than the traditional activity allowed so far economically and capture more than 4000 ELV / year.
This industrial line will allow to:
1) Exceed the recovery rates observed in the ELV centres sector on materials and in particular plastic (min 10 kilos versus 3 to 5 today);
2) Exceed the current results of the sector in terms of the percentage of reuse of second-hand parts.

The company is willing to expand its activities in export since it will multiply the volume of second-hand parts by a factor 5 in coming 18 months.
The outlet is currently mainly a local market - Benelux, France ... The export market is very important here (65%). Above all, the company targets the second-hand market towards Africa - North, West, possibly South. They are hence looking for partners interested in such parts for batch export in the African market. This should represent parts coming from above 3000 ELV in next 2 years after actual start of the activity in 2021.

The search for a partner is mainly focused on identifying professionals based in Europe who will play the role of exporters to Africa; they must have a strong network on-site, can take care of administrative formalities, logistics, etc.
The typical partnership would therefore be a distributor or a sales agent, who takes care of the supply chain aspect. The company aims at BtoB relationship, under EXW incoterms.

The company will select partners able to deal with all parts that wouldn’t fit the local market needs.

Advantages & innovations

Cooperation plus value: 
Every part will be traced, with link to the original vehicle (ELV). The company will be able to dismantle ELV to a much further extent than competition thanks to an innovative industrial based mechanized line. The flow of material shall be pushed through the logistic chain within a rather short cycle time. The company shall supply the parts as consolidated lots with associated Bill of Material as every part will be individually labelled.

Technical Specification or Expertise Sought

Cooperation sought: 
Expertise in automotive second hand parts exportation.

Stage of development

Cooperation stage dev stage: 
Project already started

Partner sought

Cooperation area: 
The company is looking for partners specialized in automotive second hand parts exportation. The target focuses on African countries; the company would sell all possible parts out of ELV except safety related parts. The company shall sell the lots EXW (ExWork) and is therefore looking for partners taking care of the supply chain aspect, including every steps in necessary export administrative transaction. It should be professionals based in Europe who will play the role of exporters to Africa; they must have a strong network on-site, can take care of administrative formalities, logistics, etc. The typical partnership would therefore be a distributor or a sales agent. The company will select partners able to deal with all parts that wouldn’t fit the local market needs.

Type and size

Cooperation task: 
SME 11-50,SME <10,SME 51-250