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Recycled PS, PE & PP Prices Rise Faster Than PET & PVC.

* The new millennium is expected to bring bigher prices for both virgin and recycled resins, at least while oil prices keep going up. One factor that complicates near-term predictions for recycle prices is fear of Y2K. Some recyclers expect a slow first quarter because their customers are allegedly pre-buying extra material "just in case." Working off those inventories next year could put an anchor on prices for a while.

PS outlook strong

Although virgin PS prices have been rising for some time, recyclers have been slow to attempt an increase themselves. Now, the time seems ripe. "All of a sudden, people want to buy [recycled PS]," observes one recycler. "Low-end prices have started to come up, and the high end is likely to do so before the year is out."

Notes another recycler, "It wasn't long ago that reprocessors had truckloads of material on the warehouse floor and were willing to grab any order they could. Now, inventories have dwindled." He says this happened because the North American economy is very strong and the Far East is starting to recover. The outlook for 2000 is a strong PS market overall.

PET hikes modest

Recycled PET resin prices have not gone up as much as PS because there is still a lot of wide-spec on the market. This glut is restraining prices of natural R-PET and depressing demand for green recycle, causing its price to drop. Next year's RPET prices and demand are expected to remain stable.

PE & PP cost more

Recycled HDPE and PP seem to be following the upward path of virgin pricing, a trend that most sources expect to continue through at least the first quarter of 2000. Since March, HDPE prices are up as much as 10[cent]/lb for pellets and 9[cent]/lb for flake. Post-industrial PP pellets have risen about 4[cent]/lb, while post-consumer pellets gained as much as 9[cent]/lb. Post-industrial flake is up about 4[cent]/lb

R-PVC is stable

Recycled PVC prices saw little or no change this year. Next year could see prices flat or softer. If, as some recyclers expect, auto makers cut back on vinyl usage, that could reduce overall demand for both virgin and recycled PVC.
 Pellets Flake
 [cent]/lb [cent]/lb
PET Bottles (Clean)
Clear Post-Consumer 38-46 30-36
Green Post-Consumer 30-36 20-22
HDPE (Clean)
Natural Post-Consumer 30-35 20-25
Mixed Colors 21-25 13-20
 High Impact
 Black 30-32 22-25
 Natural 38-40 --
 General Purpose
 Black 15-18 3-5
 Natural 20-23 8-10
Post-Industrial 20-25 14-20
Post-Consumer 25-28 --
Polyethylene Film
 Stretch 28 --
 Printed/Mixed 13 --
 Printed 20 --
 Not Printed 24 --
 Flexible 29-39 --
 Rigid 40-60 --
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Comment:Recycled PS, PE & PP Prices Rise Faster Than PET & PVC.
Author:Block, Debbie Galante
Publication:Plastics Technology
Article Type:Brief Article
Geographic Code:1USA
Date:Dec 1, 1999
Previous Article:Market Prices Effective Mid-November.
Next Article:Making a Business of 'Virtual Extrusion'.

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