SCRAP 101 SEMINAR: Common Ground

If the organizers of the scrap and steel industry dialog events were to appoint a spokesperson, it just might be Monty Parker Sr., vice president of procurement and rail transportation with the CMC Steel Group, Seguin, Texas.

Parker, who was one of several speakers of the “Steel Scrap 101” event hosted in St. Louis in February by the Institute of Scrap Recycling Industries Inc. (ISRI) and the Steel Manufacturers Association (SMA), spoke on the topic of scrap performance metrics, but first addressed the similarities of the scrap and steel industries.

“We have a common purpose,” Parker told the scrap dealing and steelmaking attendees. “Our two industries need each other—we are inextricably linked.”

Parker remarked that is was in the mutual interests of both sides to address problems with a unified approach, naming keeping radioactive items out of the scrap as just one example.

“Helping each other out should be way up on our priority lists every day,” Parker stated. “For both of us, creating a margin between our costs and our sales has been difficult for the past couple of years.”

Mill rejections of scrap loads were identified by Parker as potential sources of animosity, but Parker said, “Steelmakers hate to reject [a load] just as much as you hate to hear it.”

The scrap buyer urged attendees to get to know each others’ businesses better by taking tours and talking regularly with their suppliers or customers. “There should be no surprises,” he stated. “Communicate directly with the mill as often as necessary,” Parker urged scrap dealers in attendance.

Parker clarified that dealers and mill buyers “have the right to question each other,” but urged attendees to adhere to rules of courtesy and good behavior, including being humble, respecting the dignity of the individual and adhering to the golden rule: Do unto others as you would have them to unto you.