Recycled Prices Plummet, Along With Demand.
Recycled HDPE and PS seem to have taken the biggest hit in the last quarter, but other materials are not far behind. Most recyclers and processors say they don't expect much to change through the end of 2001.
R-PS & R-HDPE in free fall
Recycled polystyrene prices have fallen as much as 6[cts.]/1b for some grades. Prices reportedly dropped 20% in July alone. Despite such bargains, material is not moving, according to one recycler who says prices probably have to fall another 15% before orders will start coming in. However, this source says that's not likely to happen: "We need to make money, too," and prices that low would put recyclers in the red, he says.
HDPE prices have also taken a 67[cts.]/1b hit in some markets, recyclers report..
R-PET remains soft
Although recyclers say PET prices are soft, actual tabs have not fallen much in the last quarter. Yet most sources say the market is likely to drop further before rebounding. Although RPET business usually picks up during the summer, it has not this year. "That makes me doubt the market's strength through the rest of this year," says one recycler. Baled-bottle prices on the West Coast reached a low of 9[cts.]/1b, but those prices have come back up to just over 11[cts.]/lb, maybe a quarter of a cent higher than on the East Coast. "I think the economic slowdown is key. A lot of bottles are available, but that material is not selling. It is just sitting in inventory," says another recycler.
In the last two or three years, a lot of virgin wide-spec PET has been available during the fourth quarter, and both recyclers and processors expect that to be true again this year. That would keep the lid on recycled material prices through the end of the year.
RECYCLED RESIN PRICES Pellets Flake [cts.]/lb [cts.]/lb PET Bottles (Clean) Clear Post-Consumer 46-52 38-42 Green Post-Consumer 40-44 32-36 HDPE (Clean) Natural Post-Consumer 31-34 26 Mixed Colors 25-28 17-19 Polystyrene Post-Consumer High Impact Black 32-34 24-26 Natural 32-34 - General Purpose Black 18-20 5-7 Natural 28-30 12-15 Polypropylene Post-Industrial 19-21 15-17 Post-Consumer 21-23 -- Polyethylene Film Post-Consumer Stretch 28 -- Printed/Mixed 13 -- Post-Industrial Printed 20 Not Printed 24 -- PVC Post-Industrial Flexible 32-40 -- Rigid 46-66 --
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|Title Annotation:||plastics industry|
|Comment:||Recycled Prices Plummet, Along With Demand.(plastics industry)|
|Author:||Block, Debbie Galante|
|Article Type:||Brief Article|
|Date:||Sep 1, 2001|
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