The industry of scrap metal in Campbelltown is thriving, but it’s not without problems. Many key players are dealing with different challenges as the economy continually shifts.
The Greatest Challenges With Scrap Metal In Campbelltown
- The Law Of Supply And Demand
Supply and demand have always been inconsistent; however, they’re all the more challenging to keep up with as the COVID-19 pandemic affects the economy. In the past year, the recycling industry has suffered from slowed-down international exports and the halting of materials production. As a result, scrap metal prices have risen significantly, increasing to a whopping $554 per ton from the previous $425.
- Fluctuating Scrap Metal Prices
Before the economy came to a standstill due to the pandemic, scrap metal prices were already fluctuating. These materials are easily affected by international trade costs. For instance, massive importers like China and India can readily influence the market depending on their demand.
In addition, scrap metal prices rely heavily on time and location. Generally, metals are much more valuable during good weather conditions because more construction projects are being completed. Meanwhile, colder months can also make recycled steel more expensive due to icy roads and limited access to mining areas.
Lastly, the quality of your scraps can also affect their value. Materials that have been contaminated or corroded will fetch a much lower price than thoroughly cleaned copper and aluminium.
- The Need For Specialised Equipment
You may be used to recycling plastic and paper products at home. Unfortunately, the same cannot be done for scrap metals. The process requires much more advanced equipment to complete.
For instance, forklifts are necessary to move and carry heavy objects, while furnaces are required during the melting stage of metal recycling. As a result, only licensed and established scrap yards can ensure that your steel and other materials are recycled to the highest quality.
How To Overcome The Challenges Of Scrap Metal In Campbelltown?
Fortunately, despite the sudden decline in the past year, Australia’s scrap metal recycling industry has a chance at redemption. Research has shown that the market is projected to grow over the next five years, as rising exports are expected to boost growth.
What’s great is that you can work with trusted scrap metal recyclers to support this growth. It’s a win-win situation. You’ll be getting rid of unused materials taking up space, while recyclers can repurpose the metals for manufacturing. In addition, there’s no need for you to invest in specialised equipment.
If you’re trying to sell your scrap metal in Campbelltown, consider working with us at Metal Force Recycling! We offer top cash for scraps, including steel, copper, brass, and aluminium.
On top of that, our services are free of charge, and you can schedule a pick-up by simply calling us at 0403 191 732!