OREANDA-NEWS. June 21, 2011. Baosteel has vigorously promoted "paperless trading" for purchase of materials and spare parts since this year. The signed ration of electronic contract in May hits an all-time high of 68.1%.

Baosteel has continued to explore and promote the information technology for pruchase in recent years, and the online business model has been more and more mature taking document collaboration, quotation and price comparing online as the main contents. Baosteel has developed the conception of "paperless trading" since last year in order to lower the trading cost and improve the online trading efficiency. As the leading department, Material and Spare Parts Purchase Department established a project group with Baosight and Oriental Steel, and has finished the test of "paperless trading" in a small scope.   

Material and Spare Parts Purchase Department has widely promoted the idea of "paperless trading", commissioned Oriental Steel to train suppliers and signed "Agreement on digital signature for electronic contract" with Oriental Steel. Up to now, there have been 218 supplies signed electronic contract.    

Through calculation, each signed E-contract can save 20 Yuan compared with the paper contract. Meanwhile, time for signing the E-contract is 2 hours at the most, which improves the efficiency substantially. Besides, nearly 1 ton of contract paper can be saved every year.