Positive outlook for packaging recycling as latest data is released

The Environment Agency has published its provisional packaging data for the fourth quarter of 2013. It shows that for some materials, performance in the fourth quarter of the year was strong, with a positive outlook for PRN prices to be more stable in 2014.

Chris Taylor, PRN Trader at Clarity Environmental, said of the data: “The provisional figures show that recycling levels have grown for the first time since 2008, indicating that the PRN system is working to achieve what it aims to. As we predicted, Glass Other recycling was not strong enough to cover its own obligation, which meant that late buyers had to cover their obligation with more expensive Remelt PRNs. The 15,000 tonnes carried over is surprising based on the perceived PRN deficits in the market in the last quarter.

"There is currently very little glass trading through the open markets as people wait to see whether the target is lowered. Anything that is being bought or sold direct appears to be on a tonnage basis, without fixed prices being agreed.

"With plastic prices softening this year, based on the large 48,000 tonnes carried over, the 2014 target for that grade looks achievable.”

Clarity buys and sells all grades of PRNs. If you would like to find out more about our PRN trading service, or to discuss packaging compliance for your business, contact our team on 0845 129 7177.

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