Internet-based trade finance platform bolero.net has signed up five Korean bulk carriers to take part in a trading chain with steel company Posco, and metals and mining giants BHP Billiton and Rio Tinto.
Beginning next month, the companies will see 25 million tons of imported iron ore and coal, valued at $500 million, sent from Australia to Korea, says Bolero. All contractual, settlement and fulfilment details will be processed electronically through the Bolero system.
The five Korean bulk carriers are Hyundai Merchant Marine, Hanjin Shipping, Korea Shipping, Keoyang Shipping and Pan Ocean Shipping.
Peter Scott, bolero.net commercial director, says: "This is the first time bolero.net has been used by the dry bulk shipping community and we see it as a significant move in our development. The move also signals our continued commitment to increasing our market share in the region, with many of our largest live implementations so far taking place with Asia Pacific transaction chains."
Although initially restricted to coal and iron ore, Posco says it expects to use the Bolero system to import other raw materials in the future.