Suppliers of Plastic Scrap
It has not been long since the launch of Recycled Plastic dot Com and already Iâ€™m getting emails on a daily basis with questions about plastic, plastic recycling, and recycled plastics (which is great!). Iâ€™m having a blast answering your emails and meeting new people along the way. Several days ago, I received an email from Robbie asking how he can find plastic scrap suppliers in Europe. It seems Iâ€™ve been writing so much on selling that I’m neglecting the buying side of things. In response, I’m going to write an entire series on “finding plastic scrap suppliers” worldwide.
The plastic scrap or recycled plastic business works differently than most tradition businesses where the suppliers need to look for buyers. In the recycled plastic business, itâ€™s flipped.
There is only a limited supply of plastic getting recycled, however, there are tens of thousands of manufacturers looking, more like fighting to purchase! Product manufacturers are looking to mix cheaper recycled plastics with virgin resin to lower production costs. Plastic processors always need scrap to process. Plastic traders have buyers lined up and make a margin on recycled plastic they find. Youâ€™re looking at a market with low supply and high demand (Yes, I was an econ majorâ€¦).
For the recycled plastic business, the beggars are the buyers. Now the question for buyers is, where do you start begging?
When I first started, I found recycled plastic suppliers on the internet via websites such as worldscrap.com, recycleinme.com, and alibaba.com. I simply called each supplier I found asking if they exported to China. At the time, I didnâ€™t know much about logistics and thought that only suppliers with AQSIQ certification can ship to me in Shanghai, China. Let me tell you, I didnâ€™t get too far with this plan.
Most supplying companies are not AQSIQ holders. If they are, the supplier is typically very established, which often means high prices (not what you want). The ideal plastic scrap supplier candidate is actually a non-AQSIQ holder that does no business with Chinese buyers.
You want to deal with exporting the plastic scrap yourself (AQSIQ and CCIC) while keeping the supplier out of the loop. You probably want to keep them away from my blog as well. In most cases, you do not even want CCIC to conduct pre-shipment inspections directly on the supplierâ€™s facility. Once a CCIC agent comes for inspection, your supplierâ€™s contact information may get leaked to other Chinese buyers.
Stay tuned for Finding Plastic Scrap Supplier Part 2!