UK agency feels new system will make recycling more effective.
Two resources from the Waste & Resources Action Programme will help local authorities in the UK reduce their exposure to price instability and gain greater market confidence when it comes to negotiating the sale and collection of their recyclable glass, plastic and paper.
WRAP’s Materials Pricing Report and developed series of model contracts will assist local authorities and other collectors to develop a more long-term strategic approach to the sale and collection of recyclables through access to up-to-date price and market information and the use of fixed-term contracts.
According to WRAP, the traditional system of operating a rolling, historic purchasing agreement or having no contract and paying spot prices, means local authorities are being left open to market volatility and they may not be getting the best value for their recyclables.
Bevis Watts, WRAP’s Business and Finance Programme Manager, says: “The combination of the MPR, which provides information on the price of commodities, and the model contracts, which provide the terms to ensure a fair bargain is struck, with no added extras and no hidden clauses, will strongly benefit local authorities and other collectors.”
The MPR is an independent and authoritative source of up-to-date price and market information for recyclable materials. Nearly a year after its launch, with 75 subscribers, including large waste management and waste disposal companies, it is proving to be a valuable tool in the negotiation of contracts for recovered glass containers, plastic bottles and paper.
The report is managed by ICIS-LOR (part of Reed Business Information) on behalf of WRAP. It is an easy to use and confidential web-based report provides weekly price updates for all three materials, along with insights into market trends at a national and global level.
Bevis Watts says: “Before the MPR and the development of the model contracts, local authorities and other collectors relied on historic rolling contracts or simply had to accept paying spot prices for their recyclables. They struggled to get a clear understanding of the market place and get best value.
The latest versions are available to download from the WRAP website www.wrap.org.uk.
Subscription to the MPR is free of charge and is open to local authorities, waste management companies, social economy businesses and, more recently, reprocessors and buyers of materials. To find out more information or to sign up to the MPR, visit www.wrap.org.uk/mpr or call Peter Gerrard on 01782 318859 or email firstname.lastname@example.org.