Leading companies to set up on-line market place
HANSON, Heidelberger, Lafarge and RMC are to create a customer-focused on-line business-to-business (b2b) market place in an effort to reduce costs and increase efficiencies within the $1 trillion global building materials industry. The market place, which will serve industry suppliers, distributors and customers, will operate for the trading of bulk cement, aggregates, ready-mixed concrete and asphalt.
Once operational in 2001, and subject to regulatory approval, the exchange will initially operate in Europe, starting in Benelux, France, Germany and the UK. The business will be set up as a separate company but, recognising the regional nature of sales of heavy building materials, will focus on serving local markets within these countries.
The founding partners say they will bring together the necessary volume to 'jump start' trading in each of the exchange's planned product areas, and in doing so the new company will seek to offer:
- significantly lower transaction costs
- increased provision of on-line product information
- provision of value-added services
- state-of-the-art e-commerce technology
- guaranteed confidentiality of all transactions.
Commenting on the development, Andrew Dougal, chief executive of Hanson plc, said: 'E-commerce will increase significantly over the next few years and the proposed new market place aims to be part of this new and important distribution channel.'
