HomeMarketsWhy use a broker

How this trade works

Why trade through a broker

We are a broker ourselves, so this page is written against our own interest where it needs to be: what a broker adds, what we cost, and when you should not use one.

A broker earns a commission by making buyers compete for your cargo, and the margin comes from four places that have nothing to do with the commission: more bidders on the same cargo, the buyer whose specification fits yours exactly, paperwork that survives compliance, and term structure instead of spot luck. A first-time seller in this trade typically loses more money on classification, documentation and failed cargoes than on price, and a single-buyer relationship caps what any cargo can clear. A broker is paid only when business concludes -- which is the alignment, and also the limit of what a broker is.

How we work a file
  1. 1You send the facts
  2. 2We test the market
  3. 3We introduce
  4. 4You contract directly
  5. 5We stay reachable

We never take title, so the contract is always between you and the counterparty.

The five mechanisms, concretely

This is the whole argument, so it deserves precision rather than adjectives.

Where the money actually comes from. Each row is a mechanism you can check in your own trades.
MechanismHow it worksWhat it is worth
Competition on the same cargoOne negotiated price becomes several bids from qualified buyers on the same specification and volume.The spread between the best and the worst bid on the same cargo is regularly wider than the commission.
Specification-to-buyer matchingThe same analysis is worth different amounts to different plants: chlorine gates crackers, FFA sets pretreatment cost, category decides the door.The wrong buyer list discounts a cargo that the right one pays a premium for.
Deals that do not failCertification chains, delivery terms, surveyors and payment structures agreed before the cargo moves.A deal that collapses after nomination costs more than any price improvement.
Term structureMulti-year offtake and project supply instead of spot parcels at whatever the week offers.The larger part of this trade runs on term for exactly this reason.
ReachA KYC-cleared broker walks material into counterparties whose onboarding otherwise takes months.Access to buyers a new seller cannot cold-open.

A cargo clears at the top of its range when all five work together, and at the bottom when any one of them is missing -- which is why "best buyer" is not one name but a match between specification, timing and door.

The margin, honestly

Brokers are paid a commission on concluded business, normally quoted per tonne. What no honest broker will do is promise you a fixed price improvement, because the cargo, the week and the specification decide that, not us.

What can be said structurally: a seller with one buyer accepts the price that buyer offers; a seller with several qualified bidders discovers the price the market offers. The commission is a known, small, per-tonne cost. The difference between one bid and several is not known in advance -- but it is the reason the profession exists.

The margin that sellers most often leave on the table is not the price at all: it is classification (waste or product), certification scope, and the specification doors the analysis could have opened. See our parameters page for what each number does to the buyer list.

What a broker is not -- and does not promise

This section exists because the honest version protects both sides, and because the trade has enough intermediaries who blur it.

  • Not a party to your transaction. The sale contract and the payment run directly between buyer and seller. We never sit in the money flow and, on feedstocks and fuels, we never take title to cargo. (Additives and blending components are the one exception, and we state our capacity before anything is agreed -- general terms, article 4.7.)
  • No price guarantee, no market forecast. We do not promise a price level, a direction, or a minimum result. Anyone who does is guessing with your cargo.
  • Not a substitute for your own diligence. We KYC-verify counterparties before they trade and we only introduce parties we would trade with ourselves -- but counterparty performance, contract terms and payment remain between the principals, under their contract and our general terms.
  • Not a warehouse, a bank or an insurer. Storage, financing and cargo insurance are arranged with the parties who provide them, in their name.

In one sentence: a broker widens your options and tightens your paperwork; the decision, the contract and the outcome stay yours.

How we are paid

  • Commission on concluded business only. No listing fees, no retainer, no charge for an honest "this is not ready to sell yet".
  • Agreed before introduction. The side that pays and the rate are settled before anyone meets anyone.
  • No hidden markup. We do not buy your cargo cheap and resell it; on feedstocks and fuels there is no spread because there is no title.
  • Anonymity until it pays. Offers and requests travel without your company name; we broker the introduction only when both sides are interested.

When you do not need a broker

Three honest cases. If one of them is you, a broker adds cost without adding much.

You have one long-standing buyer who takes everything you produce at terms you have watched for years -- competition would add little.

You sell one standard product, in one grade, to an industry with published prices -- the discovery work is already done.

You have in-house compliance, documentation and market intelligence -- the services layer of a broker is duplicated in your own building.

In every other case the question is not whether a broker helps, but whether this broker's buyer list and this cargo's specification fit -- which is a question about a specific parcel, not a philosophy.

Frequently asked questions

Is a broker worth it for small volumes?

For a single small parcel, sometimes not -- and we say so when that is the answer. Volumes below what buyers screen on belong in aggregation, and a broker who regularly places your product can aggregate several sellers into one contract-size stream.

Who pays the broker, the buyer or the seller?

That is agreed before any introduction, and either structure exists in this trade. What does not exist at this brokerage: both sides paying without knowing, or a markup hidden in the price.

Are you liable if the counterparty does not perform?

No. The contract and the payment run between buyer and seller, and our general terms govern the brokerage -- not the trade itself. What we do is verify every counterparty through KYC before it can trade, which removes most of the surprises, not the responsibility that belongs to the principals.

Do you guarantee the best price?

No, and no broker honestly can. What we guarantee is competition: your cargo presented to the qualified buyers whose specifications fit it, with the paperwork in order -- the rest is the market's to decide.

Market news

Recent headlines from across the feedstock and renewable fuel sector. Nothing specific to this market has come through the wires lately, so this is the wider view. The links go to the publisher; we do not host or edit their reporting, and a headline here is not our endorsement of it. Scroll for more.

18 headlines, updated automatically. Last refreshed .

Sources and further reading

Primary sources for the rules and figures on this page, so you can check them yourself. Legislation is amended: always read the consolidated text on the date that matters to you.

Who to ask about Why use a broker

Just ask. Want to know what your material is worth to the right buyer? Send the analysis and volume and we will tell you honestly. You get Bart van den Brug on the other end, same working day, in English or Dutch, and across the team also in French, Portuguese, Polish, Czech and Russian.

On how we work: on the feedstocks and fuels on this site we are a broker. We never take title, we do not trade our own book, and we are paid a commission on business that concludes. Additives are the one exception: those we also buy and sell for our own account, and we say in which capacity we are acting before you commit to anything. Either way you will hear it from us when the answer is no, or when your parcel is not ready for the conversation you want to have. A market read or a second opinion on a specification costs nothing and commits you to nothing.

Happy to look at whatever you have, even if it is half an analysis and a question.

+31 6 115 83 448
bart@sustainablecommodities.eu
Sustainable Commodities 3 B.V., Lemmer, the Netherlands

Ask about Why use a broker

Specification, volume, location and certification are enough to start.

Or e-mail us directly: bart@sustainablecommodities.eu

Last reviewed 20 September 2026. Regulatory references are given for orientation and are not legal advice: verify against the current Official Journal text before contracting.