Aluminium PRN prices continue to trade at historic highs as uncertainty continues for the grade. Significant levels of production are needed for the remainder of the year to offer relief.
Earlier this month, the verified Q3 packaging waste data was released by the Environment Agency, and alongside the monthly packaging waste data for October, the data confirms that aluminium availability remains very tight, keeping PRN prices at historic highs.
Production figures for aluminium were the second highest of the year so far, and at just below 13,000, production remains slightly over target at 84.28 per cent including carry over. Availability remains tight, however, and it seems the market will require continued positive production over the remaining months of the year for the PRN prices to respond.
Plastic has continued its recovery with strong production seen again in October, with circa 112,000 tonnes reported. With 311,358 tonnes now produced in 2019, plastic is now at 86 per cent including carry over production. Although they remain high, plastic prices have seen a little more stability since the data was released. Concerns remain over plastic exports, however, with recent reports that the UK has agreed to repatriate 42 containers of plastic waste from Malaysia.
Steel and glass production remain positive in October, and both grades still look set to achieve their targets for the year. Just over 220,000 tonnes of total glass and circa 50,000 tonnes of steel production are needed in the remaining months of 2019.
Also maintaining strong performance for the year are paper, with circa 339,000 produced in October, and wood at circa 89,000 tonnes. It is hoped that both PRN grades will achieve a positive amount of carry over as we head into 2020.
Martin Trigg Knight, Packaging Compliance Scheme Manager, said: “The quarterly and monthly data continue to show positive production figures for the majority of PRN grades. Plastic and aluminium remain a concern despite reporting positive data this month. With high production figures needed for both to meet target, the PRN prices remain high. As we near the end of the year, we continue to work alongside our PRN trading team, and together with our packaging compliance members, to navigate them through the market and help to manage the cost of compliance.”
To talk to a member of our team about our Comply with Clarity packaging compliance scheme, get in touch on 0845 129 7177 or visit our website for more information.