The final packaging recycling and export data for Q1 was published on the National Packaging Waste Database (NPWD) earlier this month, with little change from the provisional figures released in April.
May looks set to finish as a busy trading month for Clarity’s Packaging Recovery Note (PRN) trading team, with the amount of tonnages traded almost matching January’s record breaking figures. An increasing number of businesses are looking to tie up their obligations as early as possible as the market prepares for steadily rising costs across most PRN grades, and to avoid the possibility of falling short on wood obligations.
We are seeing a marked increase in the amount of paper PRNs being traded, with the general consensus that prices are unlikely to drop anytime soon. With slow production and current lack of availability, the cost of wood also continues to increase on a weekly basis but with relatively small volumes currently being traded.
Ed Ewence, Clarity Environmental’s Business Development Executive, said that steel is now a cause for concern:
“Since our last update in April, we are beginning to see rising concerns over the price of steel. With paper prices continuing to rise, buyers are opting to purchase steel as an alternative to cover some of the General Recycling obligations.
“This is a prime example of how one grade can have a pronounced effect on the rest of the market. The low production figures for wood have put a strain on paper, and now steel production. Until we see any significant improvement in wood production, we are likely to see these price increases across both grades.”
Clarity has been buying and selling packaging recovery notes (PRNs) since our business started in 2002. We are now one of the largest and most experienced open market traders of PRNs. To talk to our team about buying or selling any grade of packaging recovery note (PRN), contact us on 0845 129 7177.