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Recycled Polymers - Europe January 2016

by ChemOrbis Editorial Team -
  • 26/01/2016 (17:04)
Month: January 2016
€/ton €/ton
Recycled Grades MinMax
R-PET Flakes Clear/Blue 700820
R- HDPE Black Corrugated Pipes (PIR**)9301000
R- HDPE Black Pipes (PIR**) 8701100
R- LDPE Black Film (PCR*)680850
R- LDPE Film (PIR**)11001200
R- homo-PP black injection(PIR**) 870900
R- homo-PP injection (PIR**)920960
R- PPBC injection (PIR**)8401100

* (post consumer recycle)
** (post industrial recycle)

R-PET prices tracked a stable trend in January. Demand was said to be good while both sellers and buyers reported that supply was comfortable. A recycler commented that R-PET prices didn’t face any downward pressure from prime PET, which posted decreases of €20-40/ton over December. However, the buyer noted that there could be some downward revisions on R-PET prices in February. Buyers are anticipating decreases on R-PET prices for February due to the bearish trend followed by virgin PET during this month. A converter commented, “R-PET prices are likely to post decreases in February. Otherwise, it wouldn’t be convenient for us to purchase recycled PET, for which prices are almost in line with virgin material.”

R-HDPE grades also remained largely stable in January, except for a slight reduction of €10/ton on the low end of R-HDPE black pipes (PIR). A recycler commented that demand is seen outpacing supply for R-HDPE so he doesn’t expect to see a downward trend next month even though prime HDPE posted notable decreases in January. The recycler also underlined that supply and demand dynamics are more relevant when setting the trend of recycled PE than is the case for the virgin PE market. A few buyers, however, hope to see some reduction on prices at the high end of the range.

For R-LDPE grades, prices were steady in January in line with balanced supply and demand. A seller of R-LDPE, however, voiced his concerns regarding February, commenting that supply of recycled material from China is growing due to an economic slowdown in the country and that the market might experience oversupply, which might weigh down prices for recycled cargoes in February when coupled with the downward trend of prime materials.

For R-homo PP grades, prices tracked a stable to firmer trend in January, with an increase of €20/ton being reported on the low end of the range. R-PPBC prices remained almost stable over December. According to sellers and buyers, supply isn’t ample while expectations are centered on slight decreases for February due to the bearish trend of prime PP.

Price ranges reported include an average freight cost to the customers’ location as well as duties if applicable, although VAT is not included.
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