BRITISH Car Auctions has taken a major step down its route of European expansion with the opening of its third BCA Autoauktionen site in Germany. The new purpose-built centre is in the industrial heartland of Neuss, on the outskirts of Dusseldorf, and has the capacity to sell 45,000 cars a year.

First year targets, however, are about 6,000 cars as BCA attempts to overcome the poor reputation of auctions in Germany, which are thought of as sale venues for bankrupt stock and repossessions. There is certainly no motor auction culture in Germany, where trade sales have historically been characterised by large wholesale agreements between manufacturers and traders.

But car makers appear eager to see the auction concept thrive as a means both to dilute the concentrated buying power of wholesale traders and to establish real market values for their product. Auctions also lubricate the wheels of a used car market, or as one pundit remarked, are the motor industry's laxative without which you have constipation. BCA has already held sales in Germany on behalf of DaimlerChrysler, Fiat, Ford, Mitsubishi Nissan, Opel and Toyota, and is in discussion with other manufacturers.

All these sales are 'closed' to the respective franchise dealer network, and to date have largely seen nearly-new ex-manufacturer stock and buyback vehicles pass under the hammer. But open or 'general' sales of traditional ex-company cars are on the agenda as fleets, leasing firms and dealers begin to appreciate the benefits of auctions.