Supply Chain Operator

Xiamen C&D Inc. Stock code: 600153

Client: ANC
Date: 2020-01-17 | Source:C&D
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The Philippines is one of the most important exporters of nickel ore in the world. ANC is a mainstream mining enterprise that mainly produces high-grade nickel ore. They have abundant reserves of mining resources and all our products are sold to mainland China.
 
Due to the differences existing the cultural background and business model of the China-Philippines commercial market, there are some difficulties in actual business negotiation and communication, which leads to the situation that market sales channels are unsmooth, and there are many middlemen of intermingled quality. In the absence of a pricing benchmark for mines and downstream factories, the mines suffer from benefit loss and downstream factories receive unfair prices.
 
The sales model of the traditional mining industry is difficult to meet ANC’s requirements for order stability and predictability, and even difficult to support their expectations of rapid growth.
 
C&D Logistics have boldly reformed the traditional buying-out middleman link, and created the business model of joint direct supply to end-users by large state-owned enterprises and above-designated scale mines in the industry. 
 
This new model of joint direct supply, with the participation of C&D, has set up a bridge between resource providers and users, which not only solves the most insurmountable trust problem in business, but also dispels downstream manufacturers’ concerns about the uncertainty of raw material procurement. In the second year of cooperation, ANC has rapidly developed into the most profitable mining company with the largest export volume in the Philippines.
 
The direct supply service model jointly created by C&D and ANC Mine not only simplifies the supply chain and reduces the factory procurement cost, but also saves the hidden cost in production with the stable supply of goods. It enables factories to save time and effort, and focus on production and operation, to achieve healthy development. It truly realizes win-win results among the supplier and buyer of the industrial chain and the service provider of the supply chain.

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