Ask a new trader what the hardest part is and they will usually say finding buyers. Ask one who has been trading for a few years and they will say supply. Buyers for scrap are plentiful, from local yards to overseas mills, and competition between them is what makes prices. Reliable, legitimate, well-sorted supply is the scarce thing. This guide explains where scrap comes from, how to judge a source before you commit to it, what to ask, how to set terms and a ten-call plan to find your first regular supplier.
Prices below are the ScrapTrade Price Index, an AI-generated indicative estimate retrieved on 26 October 2026. They are used to show relative value, not to quote a deal.
Why supply is the constraint
Scrap is produced continuously by activity: cutting, building, repairing, replacing, demolishing and manufacturing. A trader's business is limited by how much of that activity they can reach and serve. A single dependable workshop that produces 100 kg of clean non-ferrous scrap a month is worth more over a year than a one-off clean-out, because it repeats. Demand is easy to check, since the buyer requests and the marketplace show what buyers want, so use that to decide what to look for, then go and find it.
Where scrap comes from
| Source | Typical material | Regularity | What it is worth to you |
|---|---|---|---|
| Fabricators and manufacturers | Clean offcuts, turnings, often a single grade | High | Easy to price and sort |
| Trades (electrical, plumbing, HVAC) | Copper wire and tube, brass fittings, mixed metal | Medium to high | Valuable per kilogram. See the copper guide |
| Window and door makers, glaziers | Aluminium extrusion offcuts and old frames | Medium to high | A steady aluminium source. See the aluminium guide |
| Builders and renovators | Mixed metal, steel, frames, cable | Job by job | Larger lots, more sorting |
| Demolition and clean-up crews | Large mixed lots | Irregular | Volume, but more variable |
| Auto and equipment dismantlers | Steel, cast iron, aluminium, copper | High | Heavy material. See the steel guide |
| Facilities and property managers | Equipment, fittings, electronics | Occasional | Needs compliance care, especially for e-waste |
| Households | Mixed small lots | Occasional | Convenient but small |
The index shows why the source matters. On 26 October 2026, a kilogram of copper wire was indicated at A$11.67, aluminium extrusion at A$2.63 and HMS 1 steel at A$0.40. A supplier whose scrap is mostly copper and aluminium is worth far more per visit than one whose scrap is mostly steel.
What makes a good source
| Quality | Why it matters |
|---|---|
| Legitimate provenance | You must be able to show where material came from |
| Consistent grade | One grade is easier and more valuable than a mix |
| Regular volume | Repeat supply lets you plan |
| Easy access | Quick, safe loading keeps costs down |
| Fair dealing | Clear weights and terms prevent disputes |
Questions to ask before you commit
- What do you produce, and how much in a typical month?
- How is it separated now, and could you keep grades apart for me?
- Who collects it today, and what do they do that you like or dislike?
- Does any of it need special handling? Batteries, fluids, hazardous or electronic items change the rules.
- Who owns it? Make sure the person you are dealing with has the right to sell it.
- When is it ready, and what are the loading and access arrangements?
Set clear terms
Agree, in writing, what you will take, how you will grade and weigh, how and when you will pay or settle, how often you will collect and what happens if a lot is rejected. Keep records of every pickup: what, how much, when and from whom. In many places buying scrap from the public is regulated because of theft, and records and traceable payment are expected. Check the rules where you operate.
A ten-call plan for your first regular source
| Call | Task |
|---|---|
| 1 to 3 | Pick the type of source that fits what you can handle. Make a list of ten local businesses in that group |
| 4 to 6 | Phone or visit three. Ask what they produce and what happens to it now |
| 7 | Offer a trial pickup with clear terms. Do not promise prices |
| 8 | Do the trial pickup on time, weigh it and record it |
| 9 | Report back the weight and what you got for it, honestly |
| 10 | Ask for the next pickup date and whether they will keep grades apart |
If three of ten show interest and one repeats, that is a good result. Do not expect every contact to convert.
Check demand before you commit to supply
Once you know what a source produces, check that someone wants it. Look at the live material prices and the buyer requests, then list the material or compare offers on the marketplace. To learn how to pick a selling method, read fixed price, auction or Wanted Board.
If you do not want to buy material at all, you can also work as an agent, running listings or deals for sellers who already have supply. See How Scrap Agents and Brokers Make Money. To grow supply into a network, read Start Small. Build Connections. Scale Up..
Frequently asked questions
Where do I find scrap to sell?
From businesses and people who produce it: fabricators, trades, builders, dismantlers, facilities and households, with their agreement.
What is the best source?
One that produces a single grade of valuable metal regularly, such as clean copper or aluminium offcuts, and that you can serve reliably.
How do I approach a business?
Offer a simple, reliable service with clear terms, and start with a trial pickup. Do not promise prices.
How much supply do I need?
Enough to make a collection worthwhile. Start with one dependable source and build from there.
Is it legal to buy scrap from the public?
Often, but it is regulated in many places. Check your local rules on identification, records and payment.
Sources
- ScrapTrade Price Index, scrap.trade/market-prices, retrieved 26 October 2026. AI-generated indicative estimates, not quotes.
Figures are indicative and as at 26 October 2026. ScrapTrade operates a marketplace and has a commercial interest in the scrap trade. This article is general information, not legal or financial advice. Rules on buying scrap vary by location.