Scrap merchants perform a risky and undervalued job. Their tasks were never before seen as a legitimate business undertaking with possibilities of beneficially linking to value chains.

In Chile, 260 micro-suppliers of scrap metal are participating in a process led by FUNDES to improve their performance practices and standards as Gerdau Aza suppliers, who are dedicated to manufacturing metal profiles. 

These micro-businesses are mainly family-owned, with low incomes, from 2 to 8 workers whose owners have low levels of instruction. These micro-businesses are a source of income for many families and they generate employment for a large amount of people. However, they operate informally and under great risk.

As suppliers for Gerdau Aza, they represent 25% of their purchases and are of great importance for this company. FUNDES’s program is allowing them to improve their possibilities of sustainability, develop sound management practices, incorporate information technology and fulfill the industry’s requirements in terms of security, occupational health and the environment.