Work out scrap value recovery instantly with clear inputs, formula shown and shareable results.
Scrap recovery value is weight times grade price less a contamination deduction and the cost of segregation and handling. Because clean segregated grades attract materially better prices, the handling investment usually pays for itself several times over.
Gross value
Gross = Weight x Price per tonne x (1 - Contamination deduction %)
Net recovery
Net = Gross value - Segregation and handling cost
Because mixed scrap is priced at the lowest grade present. Separating grades at source often raises the realised price by 20-40%.
Contract pricing smooths volatile scrap markets, but spot selling captures peaks. Many operations split volume between both.