Attached is your PO for deliveries of recyclables during January2023.

The value of recyclables is up slightly this month.Overall paper grades are flat, and plastics and metals are marginally up.

In the Pacific Northwest, demand from domestic paper mills is up slightly this month as many mills have worked through excess inventory.  Similarly, export paper mill demand is also up a bit.  However, the additional inbound supply associated with the post-Holiday season has offset this modest demand increase.  While the current post-Holiday surge is smaller than previous years, it is still enough to counter the increased demand for OCC and mixed paper, keeping recycled paper prices flat.  The one exception to flat paper prices is a nominal increase in exported mixed paper.

Interestingly, while much of the U.S. domestic paper market is also flat, the same is not true for the East Coast and California export markets.  Export prices in these regions dropped, more significantly on the East Coast.  In these other regions, the post-Holiday surge in recyclables has exceeded the small pickup in export demand.  Plus, some East Coast export markets reduced demand.

There are other factors suppressing OCC value.  North American linerboard and corrugated sheet prices dropped in recent months.  So, any increase in domestic mill consumption is counterbalanced by those mills not being able to charge as much for their finished product.

The small increase in overall recyclable value was mainly due to a couple of plastic grades and metals.  HDPE Natural increased a minimal amount. Demand for this grade increased a bit, but generation is still equal to recent months (lower than historical numbers) as consumers continue to consume depressed levels of milk in plastic natural jugs.  Also, producers continue to use aseptic and other containers for milk products.  Most other plastic prices didn’t change much.

As for metals, tin was up slightly with little movement in aluminum.  The increased demand for tin could be a leading indicator that the economy might improve late in 2023.

In both Tacoma and Clackamas facilities, we are implementing automated scale systems.  Thank you for working with us during this transition.  Our desired result is to get you on and off our scales quicker and improve turnaround times so you can be more efficient in your business.

During these unpredictable times, we will always strive to obtain the best pricing available and to provide you with the best possible service.  It is our pleasure to work with you to recycle material and to protect our environment.  We appreciate you and thank you for your business.

Stay Safe!  Enjoy this Holiday season.

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