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Recovered paper prices drop 40%

The value of recovered paper in the global commodities market has fallen significantly in the wake of concerns about economic stability and unsustainable high prices.

According to the Recycling Association, recovered paper prices across all reprocessing markets have fallen by up to 40% for some grades.

It is expected that values will pick up in the medium to long term as the supply and demand of recovered paper comes back into balance. But the drop in prices has lead to concerns about short-term sustainability within the collection and recovery industries.

Recycling Association chief executive Simon Ellin said: “It is hoped that these issues will be related to a short-term adjustment in supply and demand for recovered paper. But with the global economic outlook still uncertain, it is not assured that values will rise to anything like those achieved during the summer months.”

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