6 Things to Know About Trading Commodities on Zowasel Marketplace

Zowasel Marketplace is a platform that connects commodity sellers with verified and trusted buyers, saving both parties time and money. It enhances interactions between verified and vetted customers, ensures smooth transactions, and fosters credible partnerships, efficiency, transparency, trustworthiness, and accountability across the supply chain.

For sellers, placing your goods on the Marketplace for sale is a hassle-free and cost-free process. Nonetheless, navigating the path from sealing a deal to effectively delivering the produce to the buyer involves several pivotal phases that Zowasel treats with utmost seriousness, demanding the seller’s diligent involvement.

As a seller, it’s important to understand vital aspects such as insurance coverage, logistics expenses, local revenue considerations, and more, to efficiently handle your costs and shipping processes. To assist you in this endeavour, we’ve crafted a comprehensive guide outlining pertinent questions for sellers aiming to fulfil purchase orders on the Marketplace. We trust that these insights will offer valuable clarity.

What are Zowasel Marketplace buyer’s payment terms?

To protect the interests of our sellers and promote transparency, we profile every crop buyer based on their company confirmation, financial capacity, processing capacity, historical payment terms, and current economic realities. The Marketplace is solely guided by these terms, which enables you, as a seller, to ascertain when your payment will be received.

The classification framework protects buyers and sellers, ensures smooth transactions, fosters credible partnerships, and optimises delivery efficiency. The buyer classifications established within the Marketplace embody the core principles of transparency, trustworthiness, and accountability. For example, most brown-chip and blue-chip buyers on the Marketplace have a payment term within 48 hours after every delivery quality and quantity confirmation.

Efficiency and precision are fundamental pillars within the Zowasel Marketplace, and these aspects have become even more paramount in the agricultural sector. Zowasel has risen admirably to this challenge by implementing a meticulous classification process that categorises buyers based on essential criteria. This thoughtfully designed process accounts for factors such as company formation, payment terms, offtake capacity, and financial records, culminating in creating a meticulously structured hierarchy of buyer accounts that seamlessly serves both parties involved — the buyers and sellers.

A. The first classification is “Red-Hot”, where every buyer falls upon registration on the Marketplace pending review and reclassification. However, the category encompasses small to medium-scale processors and manufacturers. These buyers form the foundation of agricultural commerce, and Zowasel ensures that their classification process is comprehensive and accessible. To qualify for this classification, buyers must fulfil requirements below:

• A signed fulfilment agreement
• Provide company registration certificates
• Directors’ valid means of identification
• Directors’ BVN (Bank Verification Number)
• 12 months of Bank Statements
• Company TAX ID
• Tax Clearance Certificate

Red-hot buyers can opt for convenient online payment methods such as Debit cards, Bank transfers, WeTransfer, and USSD. Additionally, they can explore deferred payment options, including Credit guarantees, Banker’s Cheques, and Letters of Credit, provided they upload the necessary confirmations.

B.The second classification is “Brown-Chip”; this caters to national processors and manufacturers, acknowledging their pivotal role in the agricultural supply chain. These buyers, with a broader scale of operations, have specific requirements to attain this classification:

• A signed fulfilment agreement
• Provide company registration certificates
• Directors’ valid means of identification
• Directors’ BVN
• 12 months of Bank Statements
• Company TAX ID
• Tax clearance certificate

Brown-Chip buyers have the flexibility of online payment methods, similar to Red-Hot, and can also offer Payments on Delivery within 24 hours or 48 hours. The deferred payment options of Credit Guarantee, Banker’s Cheque, and Letter of Credit also remain available for this classification. However, Zowasel caps the delivery quantity per time based on historical payment and processing capacity.

C. At the pinnacle of the classification system stands the “Blue-Chip” classification, reserved for multinational and publicly listed processors and manufacturers. Acknowledging its international reach and extensive operations, Zowasel provides a classification process that aligns with its stature. The requirements for Blue-Chip classification include:

• A signed fulfillment agreement
• Provide company registration certificates
• Directors’ valid means of identification
• Directors’ BVN
• Public annual report
• Company TAX ID
• Tax clearance certificate

Blue-chip buyers enjoy limitless delivery and a full range of payment options, from online payments to payments on delivery within 24 or 48 hours. Deferred payment choices, such as Credit Guarantee, Banker’s Cheque, and Letter of Credit, are also available for convenience.

Marketplace buyers’ classifications transcend mere categorization; they represent a commitment to precision and integrity on the platform. By catering to various buyers’ unique needs and capabilities, Zowasel ensures that the marketplace becomes a harmonious ecosystem where transparency and trust flourish. Whether nurturing small-scale enterprises, empowering national players, or partnering with global giants, Zowasel’s classification system is a testament to the platform’s dedication to transforming agricultural trade into a seamless experience, saving time and money.

This classification makes it easy for sellers to understand each buyer’s payment terms before delivering. To protect sellers’ interests and promote transparency, Zowasel profiles every crop buyer with the ratings above based on their company confirmation, financial capacity, processing capacity, and payment terms.

2. What are my cost benefits?

As a seller selling on the Marketplace, you get the best price offers compared to selling offline in the open market. More bids and better crop quality result in a more significant price increase. Marketplace’s unique Negotiation feature allows you to negotiate with buyers for a fair price and good deal. Marketplace specialists assist you in making the right decisions for the best offers.

Marketplace saves you time and money and eliminates the hassle of seeking LPOs. It offers the opportunity to pick up every purchase order on one platform at the same rate. Here are a few reasons to join our network of vendors to grow your agribusiness:

• Access to all LPOs on one platform
• Pick up juicy LPOs at the same rate for your deliveries
• Ship today and get paid within 48HRS after delivery confirmation
• We manage your shipment, and you pay later
• Weekly Market Report to help make delivery decisions
• Save time and money seeking LPOs across offices
• Sign up and start trading; no vendor registration is required
• Grow and expand your agribusiness with your smartphone
• Compare and negotiate price offers to earn more for your crop
• One-stop-shop to access all purchase orders from off-takers
• Access to a vast network of pre-vetted processors and manufacturers
• Access to real-time price discovery to power your agribusiness

We have successfully verified and profiled over 100 processors and manufacturers, including national and multinational corporates such as Promasidor, Guinness Nigeria, Olam, Barry Callebaut, Sucden, Grand Cereals, Flour Mills of Nigeria, and Tolaram. Still, a few use the Zowasel platform to connect with merchants like you.

There is no better benefit than digitizing your supply chain efficiency to save time and money. Get real-time pricing information to understand buyers’ prices from the comfort of your home on your mobile device. Eliminate all outdated paperwork — compliance documents, purchase orders, payment advice, and more can be found on your seamless mobile. Get expert support 24/7 online with dedicated Account Managers to assist you through every stage of the supply process.

3. Am I covered when selling my crops on Zowasel?

Every buyer on the Marketplace Platform undergoes a thorough verification process to authenticate the information supplied during registration. Zowasel also carries out a detailed validation and compliance process for each customer, including contract agreements. Above all, delivery MUST be made and confirmed before payment is released to the seller.

Buyers must also provide payment in deposits, total costs, and bank guarantees and sign a contract agreement with Zowasel, depending on the buyer’s classification, before initiating transactions. Zowasel only allows sellers to make deliveries to verified and vetted buyers who meet the above conditions. Therefore, you can be sure you are 100% covered when selling crops on the Marketplace.

4. Why does Zowasel only make payments after delivery confirmation?

Zowasel makes payment only after delivery confirmation or holds a reserve for a simple reason: to protect ourselves, the seller, and the buyer if the invoice is not paid in full or delivery is not made. There are many reasons why invoices may not be paid in full, including order errors, breakage (i.e. not all crops were delivered in good condition), delivery errors, quantity and quality errors, etc.

5. How do I receive payment for my crops?

Payments are made exclusively to crop sellers who have conducted transactions within the buyer’s payment terms after delivery and confirmation. The buyer must confirm receipt of goods before payment can be made to the seller’s account.

6. How it works

Step 1 — Visit www.zowasel.com/marketplace to create an account using your telephone number and email address. Then, check your email to validate your account by clicking the link.

Step 2 — Afterward, we will verify your account, including your personal, business, and general information.

Step 3 — Upload the crop you want to sell in the create offer field. We will notify you automatically when we have bids that match your offer.

Step 4 — Accept as many bids as possible to sell your crop. You can manage your delivery or ask Zowasel to coordinate it with the buyer. Proceed to receive your payment with 48hours.

Commodity trading is more than just matching offers and connecting with buyers on the Zowasel Marketplace; knowing quality specifications and what each supply entails is equally essential.

For inquiries email; marketplace@zowasel.com