Trading with commodity group waste and secondary raw materials

Classification of the commodity as either waste, or secondary raw material is decided by their other use, hence the possibility of their further profitable processing.

• Secondary raw material generally has non-zero value and its producer is trading for a price in the exchange contract.
• With regards to waste, it is on the contrary, the producer demands its liquidation and pays for the negotiated price of the service himself.

Using the commodity exchange as an institution with strong governing conditions and state conditions for trading with waste, also arises from Act No. 185/2001 Coll., on waste. Specifically in Principle II concerning Obligations, Part 1, section 16 of this law states that the waste generator is obligated to transfer the waste only into the ownership authorised to accept it as pursuant to section 12, par. 3, and either directly, or using an authorised legal entity for it (the Commodity Exchange is stated as an example of such a legal entity).