What have been said in Bruxelles last October

From 24 to 26 October with over 1,100 participants (more than 900 delegates and 250 accompanying persons), the Autumn BIR World Recycling Convention held in Brussels was very successful.
A buoyant atmosphere reigned in the crowded halls and corridors of the Brussels Sheraton Hotel as businesspeople from around the globe gathered to hear reports on the latest developments and trends on the international commodity markets and participate in the ensuing trading sessions. In addition to local updates given by the members of the divisional boards, 12 guest speakers gave presentations on topics of specific interest for the respective divisions and committees.
Also, the BIR’s revised statutes and by-laws were unanimously approved at its General Assembly on October 25, thereby bringing to a successful close a lengthy review exercise designed to ensure the world recycling organisation’s articles of as-sociation and internal regulations are aligned with best practice among international trade associations and do not conflict with mandatory provisions of Belgian law. Key changes are intended to enhance the role of the conciliation and arbitration service within BIR, as well as to bolster the defence of members’ collective interests in conformity with anti-trust legislation.

Non-Ferrous Metals Division
According to what was presented by the Non-Ferrous Metals Division, demand for non-ferrous scrap has been resurgent in 2010 following the lows of late 2008 and the first half of 2009. But while “scrap has come into the system and has met the needs of consumers”, the non-ferrous scrap world “still suffers far too many limitations and obstacles from governments”, lamented the BIR Non-Ferrous Metals Division’s President, Robert Stein of US-based Alter Trading.
The Chairman of BIR’s International Trade Council - Robert Voss of Voss International in the UK - reported trade barrier developments in a number of coun-tries, including Sri Lanka and the East African Community. And he urged BIR members to keep the world organisation informed of any moves likely to impair import/export flows of recyclables such as non-ferrous scrap.
In reviewing market reports from around the globe, BIR Non-Ferrous Metals Division board member Alejandro Jaramillo of Recicladora Cachanilla in Mexico noted a number of common themes, such as: the weakening of the US dollar making exports more challenging; concerns throughout the supply chain about price volatility; widening discounts between scrap and primary metal prices, in some cases to “historical highs”; cash-flow issues for many traders and processors; and the impact of China’s relative inactivity in the market. Mr Jaramillo also highlighted the fact that Russia has begun importing non-ferrous scrap this year from, among others, Romania, Poland, Kazakhstan, the Ukraine and Spain.
Guest speaker Bob Garino, Director of Commodities at the US Institute of Scrap Recycling Industries, said the recycling industry appears to be “on a reasonably solid footing” whereas the overall US and global economic recovery “is still fragile” and “subject to external shocks”. These could be triggered by: fresh sovereign debt issues in the EU; global currency devaluations and subsequent protectionist trade policies; and/or major political or economic upheavals.
He was followed at the lectern by William Adams, Head of Research at UK-based FastMarkets Ltd, who contended that prices of all of the major non-ferrous metals will push higher in time as part of a “super-cycle” driven by secular growth in rapidly-developing economies and supported by “slow but volume growth” in mature economies. Having expressed surprise at the extent of the price rebound, he ventured: “It looks as though investors have latched on to the belief that the super-cycle will drive commodity demand and that there will be supply shortages in the years ahead.” While Mr Adams anticipated ‘considerably stronger’ metals prices in the years ahead, he also argued that current levels ‘are not justified’ and so there exists “considerable risk of downside corrections”.