Benefits of MMTA membership
Dispute resolution: Arbitration and Mediation
MMTA dispute resolution is internationally recognised under the New York Convention of 1956.
Arbitration panel members include both experienced legal professionals and also MMTA members skilled and knowledgeable in the terms and practices of our industry. In an industry where contract renege and renegotiation can occur, the MMTA offers to its members an arbitration facility well reputed around the world.
Trade regulations
One of the founding principles of the MMTA was to establish regulations, terms and conditions of trade to enable members to trade freely with the minimum of doubt or ambiguity as to contractual obligations thereby reducing the probability of misunderstandings which could result in contractual default.
The MMTA clearly lays out a set of contractual terms which members must adhere to, clearly the key details of commodity/price/delivery point and time is agreed during the individual negotiation but other terms that are not necessarily discussed at time of negotiating/concluding the contract are clearly laid down and understood between associate members whether it be documentary requirement, standard acceptable assays or standard packing methodology.
The key factor is that if two members conclude business together they are bound by the rules of the association which is particularly important if companies that have no previous trading background contract with each other. For more information on the MMTA’s trade regulations click on http://www.mmta.co.uk/regulations/
Lobbying
The MMTA Main Committee assisted by various Sub Committees keeps a roving watch over legislative and other developments that will affect the metals business. Examples of areas that the MMTA has become involved to the benefit of its members are:
1/ Monitoring of the proposal and then development of the European REACH Regulation and actively lobbying on behalf of the minor metals industry against this while at the same time keeping the membership briefed on developments and advising them on the steps they needed and need to take to protect their respective positions:
2/ Ongoing monitoring of the development of European and other legislation world wide by the newly constituted Trade and Lobby Sub Committee to ensure that legislation relevant to our trade is detected and appropriate representation is made at the earliest possible stage:
3/ Representation of MMTA members by the MMTA "Credit Insurance Focus Group" which is in the process of meeting the key credit insurers to press our members case. The objective is to raise awareness and improve understanding of the metals sector and its difficulties with the credit insurers and in particular to differentiate minor metals from steel which dominates "metals" in the minds of credit insurers and is an industry with far worse fortunes than the sectors many MMTA members sell into.
The International Minor Metals Conference
One clear benefit of being a member of the MMTA is "The International Minor Metals Conference". The MMTA endeavours to style their conferences to meet the ever changing pattern and demand of metals that fall into the category of Minor Metals and Rare Earths. This often results in speakers on topics for which there is no other material specific forum. These conferences are generally credited with achieving variety and relevance, receive wide acclaim and are reported in most trade press
They create a friendly environment for leading consumers, producers and other interested parties to hold private meetings in the relaxed surroundings of the conference hotel and to meet and entertain at key events surrounding the conference such as the MMTA Gala dinner.
The MMTA believe that one of the key elements that drive such a successful conference is the input of the members into topic selection. Many members are involved in supplying technologies at the forefront of innovation. To this end the MMTA is keen to encourage the member input into the various activities of the MMTA including conferences. Being a member of the MMTA gives you the ability to book in advance at preferential rates. Full details at: http://www.mmta.co.uk/events/international_minor_metals_conference_2010/
Business and Social Events
Participants in the Minor Metals industry who wish to expand their knowledge and develop new contacts would be well advised to join the MMTA.
A core advantage of MMTA membership is the opportunity to attend a wide range of quality events which are designed purely for the benefit of members.
Some events are intended to inform attendees on important subjects. Such events have included seminars on REACH legislation, lobbying and arbitration and visits to various plants around the world, giving attendees the chance to meet, and learn from, experts in particular fields relevant to their own businesses.
Many of the MMTA’s events are intended to allow members to mingle with each other, creating new contacts and relationships, and cementing existing ones. In a world of instant messaging and mass communication, nothing beats face-to-face conversation in friendly surroundings for this purpose.
Social events arranged by the MMTA range from quarterly lunches where it is possible to meet other members in informal surroundings, to the bi-annual International Minor Metals Conference and associated gala dinner, to the black-tie Anniversary Dinner held every October during the London Metals Week.
Joining the MMTA and attending our events is surely the single most effective and condensed opportunity of making contact with a congregation of like-minded professionals who are involved in one way or another in the Minor Metals industry; producers, consumers, traders, distributors, warehouses, forwarders, insurers, financiers, lawyers, and so on. Hence, members enjoy unrivalled access to a wide range of relevant opinions, ideas and expertise.
It may be a cliché, but members get as much out of their membership as they put into it. Professional membership confers a special status on those who hold it, and MMTA membership, underwritten by the stringent application process, can be regarded as a warranty of trustworthiness and good professional conduct. At the next level, regular attendance at MMTA events enables members to develop a network of industry contacts. Those seeking deeper involvement will find plenty opportunity to contribute to the work of the association by joining one of the numerous committees.
Warehousing
When the Association was first formed 36 years ago, one of the first steps was to establish a list of Warehousing Companies with whom the trading members could safely store their metals in worldwide locations prior to delivery. Based upon the trading membership's own individual experiences they would nominate Warehousing Companies to become approved locations and their nomination would then be checked by the Warehouse Sub-Committee, prior to their becoming an approved location.
The Association has over the years updated the requirements for warehouses, including a Liability Insurance Cover and more recently requiring the warehouses to be inspected by independent expert surveyors. Certainly, we believe that accreditation as an 'MMTA Approved Warehouse' gives the warehouse a certain stature in today's world with both the banking and insurance industries having a greater degree of 'comfort' when their client's cargo is/will be warehoused in approved locations.
MMTA WAREHOUSE CRITERIA
All companies who wish to become MMTA Approved must conform to the following:
WAREHOUSE COMPANY
A) The Company shall be neutral, not owned by or associated with any Trading Company.
B) The Company must have their own experienced personnel in the metals business, of at least 1 person in the Office and 1 person outside in the Warehouse at all times.
C) The Company must be financially sound with a minimum net worth of US$1,000,000.00, or have financial guarantees in place to cover the purchase of leased premises, equipment, staff costs etc for a minimum period of 12 months.
D) The Company must have an Indemnity Insurance in place for a minimum of US$1,250,000.00, each occurrence, to cover any losses caused by fraud and/or negligence by their personnel and any unexplained losses. The minimum figure requirement may be increased by the Association if the market prices of metals on the MMTA’s product list greatly increase in value.
E) The Company must have strict working procedures in place, to ISO standard or equivalent.
F) The Company must be fully customs licensed.
WAREHOUSE
A) The warehouse company should ideally own the warehouse building, or they must hold a direct lease with the owners for a period of at least 2 years. A copy of said lease will be inspected by Cunningham Lindsey Marine at the first and all subsequent inspections.
B) The warehouse must have a fully fenced perimeter. If any side(s) of the warehouse borders a public road, then it should not have any operational doors bordering the road and any such doors must always be locked and alarmed.
C) Loading and Unloading must always take place within the perimeter of the warehouse ie not in a public area.
D) There must always be an access control on the entrance to the fenced perimeter.
E) A fully operational contact alarm system must be in place on all doors and ideally an internal alarm i.e. infrared, within the warehouse building.
F) A CCTV surveillance system is required.
G) If there is not a 24 hour presence by security guards then when the warehouse is closed there must be inspection of the premises at regular intervals by a security company.
H) The storage of precious or high value material ie APR, Indium etc MUST be in a special vault or a high security area within the warehouse.
I) When the warehouse is open, operational staff directly employed by the Warehouse Company must be on site at all times.
J) Movement of material i.e. loading and unloading of Trucks, Containers etc must always be controlled by staff directly employed by the warehouse company.
K) Electronic weighing scales must be available at all times, with all parcels gross weighed into warehouse at the time of storage. Such weighing is to be undertaken on a pallet by pallet, case by case or drum by drum basis for the account of the storing party.
L) Records to be available at all times for all maintenance issues.
