Novelis cuts price paid for aluminium cans

Following a series of price cuts at the end of 2008, the UK's largest aluminium can recycler has dropped the price it pays for baled cans from £450 to £400 per tonne. The price paid for flattened or loose aluminium cans has also fallen from £400 to £350 per tonne.

The prices represent a 50% price fall in the value of aluminium cans compared to mid 2008, when the price of metal was at a premium.

Newport-based Novelis attributed the price fall to the ongoing impact of the recession upon all sectors.

Andy Doran, national manager for Novelis Recycling, told letsrecycle.com: “We monitor the London Metal Exchange price for aluminium and we have to keep our prices in relation to that. We noticed there was a significant change and we reacted.”

Mr Doran added that, like other sectors, the aluminium industry was having to operate in “challenging business conditions”.

Novelis operates Europe's largest dedicated used aluminium beverage can (UBC) recycling plant at Warrington in Cheshire.

The plant produces ingots for the beverage can manufacturing industry and has the capacity to recycle 130,000 tonnes of UBCs per annum – more than every aluminium drink can sold in the UK.