Standard recycled resin prices in Europe have maintained an upward trend during the last two months after a slow start to the new year.
The modest improvement in demand comes as converters have started to replenish stocks in preparation for spring, although volume calls remain lower than would normally be expected. Higher input costs and rising prices alongside a limited availability of standard material have further supported the upward trend for standard recyalate prices.
Recycled PET has posted the largest price increases, up by 20-30 euros per metric ton in February and another 20 euros per tonne in March, due mainly to the higher cost of bottle scrap. Clear food-grade pellet and clear flake prices increased by €20 per tonne, which matched the increase in input costs. Colored flake prices increased by only €10 per tonne because of disappointing demand.
Recycled high density polyethylene prices increased by €10 per tonne in February and have risen by €20 per tonne in March. Colored blow moulding and black injection molding material prices each increased by €15-20 per tonne in March. Plant operating rates were adjusted upwards slightly in response to the improved demand picture.
Recycled low density PE natural film prices were up by €30 per tonne in February with clear film up by €10 per tonne. Recycled LDPE natural film prices have benefited from the supply tightness of virgin LDPE and substitution by recycled content. In March, recycled LDPE natural film prices increased by €30 per tonne to reach their highest level in two years.
Recycled polypropylene and recycled polystyrene prices saw marginal gains in February and have risen by €10 per tonne this month.
The immediate prospects for standard recyclate prices remain clouded by an uncertain outlook for demand and pricing over the coming months. Converters and recyclers across all classes report weaker order books than would be expected as springtime approaches, despite a modest upturn in volume calls this month. There is also no shortage of material as recyclers have raised production from their very low levels. Standard recyclate also faces growing competition possibly from falling standard thermoplastic prices and lower-priced imports in April.
Find more details and a pricing chart at Plastics News sister publication Sustainable Plastics.