Have you got some scrap metal lying around your garage that you want to sell? There are several key factors that affect the value of scrap metal. Keep on reading and we will show you exactly what these are. Check out the basics of metal recycling you should know.
Below we have listed for you six key factors that affect the value of scrap metal. Don’t go selling your scrap metal pieces without understanding these factors first.
FACTOR 1: QUANTITY OF SCRAP
The amount of scrap you are selling affects its value. For instance, the value of a kilo of aluminum cans will be different from that of a truckload. The larger the quantity of scrap metal, the more leverage you have when buying or selling your scrap. Ideally, if you can hold on to your scrap metal and sell it in bulk. That way, it will be easier to sell to a scrap dealer in your city.
FACTOR 2: QUALITY OF SCRAP
Next to quantity comes quality. Is your scrap covered in insulation or corrosion? If so, you’ll get a much lower price because the dealer will need to remove the insulation or clean it up to get value for money. Remember – clean, high-quality scrap will always bring you more money.
FACTOR 3: INDUSTRY DEMAND
Different industries like construction, aerospace, and technology affect the value of scrap metal. For instance, if the construction industry is slow, the demand for steel and iron will go down. This usually impacts the price of scrap steel prices and scrap copper prices as a direct result.
FACTOR 4: LOCATION, LOCATION, LOCATION
Location plays a huge part in the value of your scrap. Are you out in the country where the scrap will have to be transported longer distances to get it to market, or are you in a metro city like Delhi, where a higher cost of doing business is at play? Expect to get a lower or higher price for your scrap depending on your location.
FACTOR 5: RIGHT TIMING
The time of the year and even weather greatly affects the value of scrap. In general, when the weather is good, there is more demand for recycled metals like copper recycling, aluminum and steel recycling, so you can expect a higher price.
FACTOR 6: INTERNATIONAL TRADING
This can hugely affect the value of scrap globally. Countries like China and India that have large amounts of imports of scrap metal can affect the scrap prices globally. Keeping an eye on scrap prices can be a big job, but knowing what affects the current pricing is important.
KNOW YOUR VALUE
Now that you’ve had a chance to review the key factors that affect scrap metal prices, take advantage of them for your benefit and learn the true value of your scrap. If you have scrap metal, why not get some cash for it? I hope you like this article. If you can want to buy metal scrap or non-metal scrap at best price, you can buy it from Bhanwra Electricals at the best price for your recycling business. If you have any doubt left, feel free to ask in the comment section.