Asian Recycled PET: Increases in Processing Costs- Lower
crude oil prices could limit price increases- Bale
to-flakes conversion costs up 20%-30%Recyclers in Asia offset inflationary
pressure and Asian recycled polyethylene Terephthalate prices increased by $10-15/mt
per week. According
to some suppliers, they had increased their offer prices because of rising
upstream costs. Although prices remained
stable for several weeks, producers sought to retain customers. However,
regional recyclers informed Commodity Insights they believe that the price
increase was caused by rising raw material prices, inflationary pressures, and
logistical problems. A recycler stated
that processing costs have increased substantially, and bale-to flakes conversion costs have increased by around 20%-30%. Sources say that Malaysia's labor shortage was also caused
by a slowdown in the return to Malaysia of migrants after a coronavirus-induced
recruitment freeze. "So far buyers
have not been...