From the tyre-recycling data you shared, it doesn’t appear to be a lucrative business.
Even at 2 million tonnes of annual tyre production, the math — 2,000,000 tonnes × ₹2 × 1% — works out to only about ₹4Cr
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Wow!, its very different when we put it the numbers and calc rather than just reading the million tons and doing mental calculations. I thought it would be a substantial no.
Thanks!
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2 Rs is per kg price not per tonne. 1 tonne = 1000 kg, now do the calculations
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Dropping my screener AI notes for New Initiatives/ Additional Revenue opportunity
New Businesses / Initiatives
MSTC’s current state focuses on e-commerce consolidation (scrap ~50% revenue; auctions/events balance), with new thrusts in software platforms/exchanges (SAAS model), long-term contracts, and private sector (e.g., equipment leasing). Management emphasizes “diversification and sustainability” amid scrap price softness, govt dependency (~90% revenue), and tapering marketing.
From Q2 FY26 Concall/Presentation (H1 FY26, Nov 2025) & earlier docs:
1. EPR Certificate Trading Platform (CPCB award, Sep 2025)
- Develop/operate National EPR Certificate Exchange (hazardous waste +5-10 categories).
- Status: Under development; first exchange-like platform.
- Mgmt View: “game changer… significant revenue inflows… holds good potential… positive from FY27/FY28”(initial costs high; offline trading now).
- PAT Add: No figures; “volumes up with new categories”.
2. Gold Bullion TRQ Platform (DGFT nomination, Nov 2025)
- Online allocation of Tariff Rate Quota for gold imports (MSMEs/non-MSMEs; least-subsidy bidding).
- Status: Development; complex algorithm; transaction fees from registrations/events.
- Mgmt View: “fair volume… pave way for other commodities”.
- PAT Add: “Premature”; small development fees now.
3. Travel Portal
- B2B/B2C govt-focused (central ministries/PSUs; compete Balmer Lawrie/IRCTC); expand private/B2C.
- Status: Planned FY27 Q1; low capex (leverage data centers).
- Mgmt View: “ample opportunity in govt sector… revenues always welcome”.
- PAT Add: “Not significant initially”.
4. Upkaran (Equipment Leasing Portal)
- Digital leasing/purchase for industry equipment (OEMs/dealers).
- Status: Launched recently; onboarding stakeholders.
- Mgmt View: “new area… revenue after 2-3 months” (transaction fees TBD).
- PAT Add: Early stage; pilot traction from India Steel Summit.
5. KPKB Retail Portal
- Software for Kendriya Police Kalyan Bhandar (canteen ops for central police).
- Status: Final delivery stage.
- Mgmt View: “path-breaking… pave way for military/other entities”.
- PAT Add: Backbone software; replicable.
6. Long-term Contracts / Portals
| Initiative | Details | Status |
|---|---|---|
| Syama Prasad Mookerjee Port | 30-yr MoU for port property leasing (~₹5,000 Cr value). | Signed; “sustainable long-term”. |
| Karnataka Liquor Licenses | Excise dept auctions (post-Rajasthan success). | Agreement signed. |
| Chhattisgarh Sand Blocks | Minor minerals (replicating UP success). | MoU signed. |
| Green Steel Portal | NISST/MoS certification. | Launched Oct 2025. |
| Property/Realty Portal | State assets (e.g., Telangana ₹2,914 Cr land). | Active; high competition/prices. |
Other Emerging (Q1 FY26/FY25):
- Data Center Monetization: Delhi DR site (operational ~Q3 FY26); surplus capacity post-captive use.
- Private Sector Push: Reverse auctions, bulk assets (Reliance/Vedanta/JSW/Tata pilots); processed scrap (L&T).
- Software/SAAS: SIMS 2.0, dashboards, coal gasification; mining ERPs.
Overall Strategy (CMD, Q2 FY26): “consolidation… primary thrust e-commerce + software platforms… strengthen/diversify revenue… incremental growth 2-3 years”.
PAT Contribution in Coming Years
No Explicit Guidance: Management avoids numbers (“would not like to put numbers… too early… steady growth”); event-driven model limits forecasts. Focus: 10-12% revenue CAGR historical e-commerce; “cushion” vs. client losses (e.g., Coal India back ~10% e-comm).
| Timeline | Expected PAT Add | Rationale / Risks |
|---|---|---|
| FY26 | Minimal (₹5-10 Cr) | Ramp-up costs (EPR/Gold); Upkaran/KPKB pilots; Coal India ~₹3-4 Cr/qtr revenue. |
| FY27 | ₹20-40 Cr | EPR/TRQ volumes; Travel/Upkaran stabilize; ports trickle (small % fees). |
| FY28+ | ₹50+ Cr (10-20% total PAT) | Exchanges scale (EPR “game-changer”); replicable SAAS (KPKB); private diversification. |
- Base Case: +100-200 bps topline growth initially (“incremental”); EBITDA margins ~65-70% sustained.
- Upside: Govt mandates (EPR policy); private traction.
- Risks: Client shifts (GeM); delays (2-3 yr maturation); JV drag (MMRPL losses ₹3.6 Cr H1 FY26).
Mgmt Quote (Q2 FY26): “new ventures… growth supplemented… robust performance”; no “exponential”. Normalized PAT run-rate ~₹180-200 Cr (core); new adds 10-25% by FY28.
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Vaahan/vScrap scrappage volumes appear to have scaled from roughly 70,000 in FY 2024-25 to 2,10,000 in FY 2025-26 (a 3× increase, from 0.7 lakh to 2.1 lakh vehicles), indicating strong early traction in formal scrappage. However, the NITI Aayog report suggests that India could eventually see ~5 crore ELVs by 2030, which would require processing approximately 1.25 crore vehicles per year over the next 4 years. Current FY 2025-26 volumes of 2.1 lakh represent less than 2% of this annual requirement, implying a ~60× scaling gap
Enhancing-Circular-Economy-of-End-of-Life-Vehicles-ELVs-in-India.pdf (2.9 MB)
The Ministry of Environment, Forest and Climate Change (MoEFCC) of India issued a draft amendment notification on March 27, 2026, for the Environment Protection (End-of-Life Vehicles) Rules, 2025, which stipulate Extended Producer Responsibility (EPR) for end-of-life vehicles (ELVs).
MOFA draft ELV EPR Rules 2026.pdf (893.3 KB)
Disclaimer: Invested
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Excellent Quarterly results by MSTC
The mines ministry has started the auction process and appointed SBI Caps as transactional adviser to firm up the modalities, a senior official from the ministry told ThePrint. But it will be a while before the auctioning process is completed.Centre sets ball rolling on residual gold extraction from Kolar Gold Fields 24 yrs after its closure
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Huge turnaround happening towards this tough it’s PSU stocks but then also margin expansion is there , debt reduction,cash reserves, operating leverage would be playing let’s see what market thinks
Dis- not invested looking good can invest in future
Came across a couple of links on MSTC.
Link 1 - Latest writeup by Gaurav Tambade - Electronic exchange valued like a scrap trader - easy 5x opportunity
Link 2 - A bit dated, albeit a brilliant read. By Prof Bakshi -
A word of Caution, In Link 1, Gaurav talks about an optionality. Basically this is a potential future event if things fall into place, it is not a guarantee or in all probability it will happen. Also note that the EPR is all regulatory controlled stuff, so its like IEX scenario - “Regultor Gives, Regulator Takes”. Be watchful and decide.
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i guess this is the First Step towards EPR/ETP exchange,New & Old Registered Recyclers & Producers have to move to new CPCB portal for SSO Creation (SSO is basically a unified login system. Instead of remembering multiple usernames and passwords for different CPCB portals, you now get one single ID that gives you access to all CPCB services. It saves time and reduces login-related confusion completely) From the same registration details they will be able to navigate to MSTC’S EPR/ETP Exchange,
Problems Companies Are Facing Right Now
Many businesses that have tried to do this on their own are running into real problems right now:
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Login errors and OTP not being received.
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Data not matching after migration.
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EPR credits not showing up or reflecting incorrectly.
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Difficulty in linking recyclers to the new system.
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General confusion about how to navigate the new portal.
SO again i am assuming that the MSTC’S EPR/ETP exchange is not active currently Once all this issues are sorted in the First Stage Common EPR Portal the CPCB SSO Portal after that The EPR/ETP exchange goes live
if any one has any clue do add to this Epr Puzzle
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