Price reductions in the wider aluminium market have led aluminium can recycler Novelis to reduce its used beverage can prices by £50 per tonne as of Monday (23 February). Novelis suppliers were notified today that new prices would be £350 p/t for loose and whole and loose and flatten cans and £400 p/t for baled cans.
Company national manager Andy Doran told MRW: We monitor London Metal Exchange prices and the aluminium sector is in a similar position to other metals. The LME has fallen significantly since November when we last changed UBC prices and we are now realigning our prices.
Looking on the positive side we have a closed loop system and we are still buying material and have capacity available. Another positive thing is that can makers are predicting sector growth in 2009.
Commenting on the general aluminium recycling market this week, a non-ferrous trading expert told MRW: Aluminium is in a worse position than other non-ferrous metals because it usually moves with the speed of an oil tanker. Yet it has come off by $100 in a week. That is unusual.