Transcript Document

UK NATIONAL REPORT
2013 market overview
•
Total UK glass production increased from 2.14mt in 2012 to 2.20mt in 2013.
•
Total glass recycled was 1.64mt in 2013, ensuring the UK met its glass recycling
targets.
•
The mix of destination of the glass recycled has seen a significant move away from
glass used in re-melt. In 2010 the total tonnes going to re-melt was 596kt, this
dropped to 510kt by 2013. The amount of recycled glass going to export in the
same period has increased from262kt to 422kt.
•
The price of glass re-melt PRN’s hit a high of £95/t in December 2013.
•
Consequently whilst demand for re-melt glass in the UK remained high, supply
reduced and cost of glass increased.
2014 – key legislative changes in
UK market
• After significant lobbying by the glass manufacturing industry the UK
Government introduced legislation in March 2014 to support an increase
in re-melt glass been retained in the UK and reduce the glass re-melt PRN
value by:1.
2.
3.
UK Government reduced glass recycling targets from 81% for obligated
businesses to 75% in 2014, 76% in 2015 and 77% 2016.
The re-melt/other split has moved to 65%/35% in 2014, 66%/34% in 2015
and 67%/33% in 2016.
Protocols and criteria for exporting raw glass applied by the EA (
Environmental agency ) have become more rigorous.
Outlook for remainder of 2014
• The re-melt PRN price has fallen to c £36 and the other PRN price to c £22
since new legislation introduced. Q1 recycling targets where met and the
prices are expected to soften further.
•
Significant new investment in colour separation capability has come on
stream in the UK - Berryman/Recresco/Gruk – that should see more glass
recovered for re-melt and used in the UK.
• Export availability will probably see an increase in processed rather than
raw glass – particularly green.
• EA compliance will continue to harden