The demand for scrap metal continues to grow in Southeast Asia despite the constraint and logistical problems created by COVID-19. Metal producers in Bangladesh, Pakistan, and India continue their push to convert scrap into secondary metals to be used in transportation and building products that they expect to contribute to the gross domestic product in the region. In addition, large amounts of recovered fiber are consumed by the region’s paper and board producers. While the growth in demand is fueled by regional producers, there’s a large influx of multinational firms joining the marketplace and increasing the level of metal available to the domestic region. Companies like Tata Steel are increasing their investment in infrastructure used to process scrap. The CEO at Tata noted that recycling is expected to become even more important as the world becomes more conscious and aware of the dangers of carbon emissions and climate change and any opportunity related to recycling will be considered even more so as a raw material for the future.
Nowadays, scrap metal is arriving in many countries in the form of entire containers rather than shredded or baled grades. According to VesselValue, a market industry firm, over 275 containers were sold as scrap in 2021, an increase of nearly 10% compared to the previous year. This practice of selling entire containers as scrap is partly attributed to the high cost of dismantling and scrapping the containers. In 2021, nearly 130 tankers were scrapped along with 50 bulk vessels and 10 container ships. This represents about 11.9 million deadweight tonnage in cargo volume, valued at more than $1 billion in scrap metal. The United States is a major exporter of scrap metal to Canada, Mexico, India, Bangladesh, and Pakistan.
Based in Plantation, South Florida, OVP Recycling can help you convert your scrap metal, whether shredded, baled, or as containers, to income for your organization. Call us now to get a free quote on your scrap metals, paper, pallets, or other recyclable material or commodity.