According to the SMP Index of April, while recovered paper price hikes, various other post-consumer recyclable materials’ rates go down.
Secondary Materials Pricing (SMP) Index shows the pricing trends of recovered materials across North America. In a recent report of the last month, the index reveals a mixed price trend for post-consumer recyclable materials. As per the report, recovered paper price hikes and rates of several other recovered materials, including aluminum, can, steel can, and PET beverage bottles, slip down.
The surging of recovered paper prices is believed to be in response to the supplies limited by coronavirus led lockdown.
Price Statistics for all grades of recovered paper
- Old Corrugated Cardboard (OCC): It is currently trading at around 230% higher rates than that of the previous year. During this time last year, the price of corrugated containers (PS 11) was $32 per ton, which is now trading at nearly $107 per ton.
- Sorted Residential Papers (PS 56): Its prices are up by almost 40%, amounting to an average of $23 per ton compared to the same month’s rate in the previous year.
- Mixed Paper (PS 54): Theprice of this gradehas surged the maximum, from $2 per ton in April last year to $12 per ton this year.
- Sorted Office Papers (PS 37): They are trading in $180 to $190 per ton range, averaging $184 per ton, almost 30% higher than the previous year’s April price.
Price Statistics for other post-consumer recyclable materials
- Aluminum Cans: The price of sorted, baled aluminum cans have again dropped, with current trade going at 39.31 cents per pound, about 2% lower than the previous month and about 30% lower than this time last year.
- PET Beverage Bottles and Jars: The current price is 7.81 cents per pound, 1.44 cents per pound down from the last month, and 7.73 cents per pound down from this time last year.
- Natural High-Density Polyethylene (HDPE): Unlike others, the price of HDPE has gone up to 36.00 cents per pound from 34.44 cents of the last month, and 20.84 cents per pound of the previous year. The grade is also trading at 40.00 cents per pound in some regions.
- Color HDPE: The price of color HDPE has dropped by around 15% from March 2020 and about 74% from April 2019. It is currently trading at 3.61 cents per pound.
- Polypropylene: Its national average price has dropped to 3.00 cents per pound, 2.69 cents per pound lower than the last month, and 8.19 cents per pound depressed from that of the yesteryear.
- Steel Cans: They are currently trading at a national average of $84 per ton, about 13% lower than $97 per ton of March, and nearly 50% lower than $165 per ton of April 2019.
- Grade A Film: It is currently trading at an average of 7.56 cents per pound, about 8% lower than that of March.
- Grade B Film: Its current national average price is 4.00 cents per pound, 0.25 lower than the previous month.
- Grade C Film: The national average price of this grade remains the same as the last month at 1.38 cents per pound.
According to Fastmarkets RISI, the world’s most trusted market analysis and price reporting provider for the forest products sector, recovered paper price hikes are expected to continue in May.