Citation
(2009), "Valpak secure enough PRNs for 2008 compliance", Pigment & Resin Technology, Vol. 38 No. 3. https://doi.org/10.1108/prt.2009.12938cab.026
Publisher
:Emerald Group Publishing Limited
Copyright © 2009, Emerald Group Publishing Limited
Valpak secure enough PRNs for 2008 compliance
Article Type: Environment and safety From: Pigment & Resin Technology, Volume 38, Issue 3
Valpak Limited, the UK’s leading provider of compliance and recycling services has announced it has bought sufficient PRNs to comply on behalf of its membership for 2008 and have secured a substantial pool of “carry over” materials setting them on a firm platform for the early part of 2009.
“The first half of 2008 will be remembered for record high commodity prices supporting recycling, high fuel costs and ever increasing demand for raw materials in the world,” commented Steve Gough, Valpak CEO. “The second half was a very different story. The global financial crash saw demand fall, prices crash and companies really suffer in harsh economic conditions. The PRN system very quickly reacted to this situation and prices for the evidence rose sharply to support the trade of packaging materials collected for recycling. It is this subsidy which replaced the high commodity price and kept the system going.”
The first quarter of 2009 is still uncertain but PRN prices are appearing to stabilise and prudent schemes will ensure they have secured PRNs at prices which support the reprocessing sector without paying a premium which will damage their customer’s chances of navigating through a difficult trading period.
“Valpak has worked very hard to address what have been extremely tough market conditions with a new robust strategy taking into consideration the uncertainty which remains for 2009. As a result of this early activity we believe prices have started to stabilise and even reduce in some circumstances,” Mr Gough added “but we will always have an eye closely watching each material sector in case the general economic conditions throw up a new challenge for 2009 – which is a distinct possibility.”