Newsflash to Phoenix Recycling subscribers: start digging through your recyclables and pull out the cardboard. David McDonough of Phoenix sent the following in an email to subscribers:
Effective immediately, we can no longer accept cardboard with mixed paper on residential routes.One of the first signs of economic hardship in the recycling industry is tightening paper markets and falling commodity prices. The mill that buys our paper is now saying they cannot take any type of cardboard in our mixed paper. There is much more material than there is demand right now, so they can be picky. In better markets, they take what they can get in worse markets, they tell us what they will take. We are trying to find other options so we can start taking cardboard with mixed paper again, as soon as possible.We apologize for the inconvenience and will work to correct this as soon as possible.
Stephen OConnor, director of business development at Phoenix, explains that with a lack of resources to sort through cardboard and mixed paper (as well as plastic and glass), cutting out cardboard is their only solution if consumers dont want to see higher rates.
Some thought wed raise our cost, we resisted, he says. We went against everyones advice (to raise rates) when the price of oil went up.
OConnor says the company is grateful S-P Recycling Corp. still accepts their materials despite the setback.
Thanks to Maitri Venkat Ramani for alerting the recycling 'hoods.
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