Report for Scandinavia
The geopolitical situation, the banking crisis, recessionary fears, continuing concerns over inflation and higher interest rates have combined with elevated energy prices and lower consumption to reduce demand and make a tense situation even more difficult for companies in the plastics industry and for recyclers.
Virgin grades are still cheap and this is dampening demand for recyclates. Furthermore, waste incineration costs are at their lowest levels for a long while, resulting in a very quiet secondary plastics market. Although price falls are still being reported for some recyclates, other commodities are now stabilizing. Prices reported in certain instances may be different from what can actually be achieved in the marketplace.
We are continuing to see lower demand and falling quotes, with plastics processors slower to place orders when compared to last year. However, the good grades are still in demand and may be quoted slightly higher.
Given the cheapness of virgin grades, prices of recyclates remain under pressure, not least because high levels of supply are meeting only with low demand.