Scrap iron business rebounding

作者:25 发布时间:2010-05-25 文字大小:【大】【中】【小】
 By Russ Corey
Staff Writer

One by one, rows of cars, pickups and SUVs drive into the bay at Roberson Scrap Metal in Florence, stop and unload a variety of metal objects and place them on a large scale.

It could be a tangle of old wire, metal fence posts, two halves of an old transmission housing or bags of aluminum cans.

Some loads are directed to a large truck scale near the building. Once the items are weighed, a pay slip is written, the person receives their money and they drive out the other side, making room for the next

customer.

The scrap metal business is booming as prices bounce back after a dismal 2009 when steel mills cut back their production.

Dwayne Nobles walked away with $143 after selling a load of aluminum, brass and cast iron.

Nobles, who installs heating and air conditioning systems for J.C. Hamm and Sons, said his employer allows him to remove the recyclable parts from old units. Not only does he make extra money, it helps keep the grounds around the building clean.

"I come in at least once a week, sometimes twice a week," Nobles said.

Kimberly Jenkins, of Muscle Shoals, was in line waiting for her turn at the scales. Her white pickup bed was full of metal items she pulled from her garage.

"We can see the walls now," she said.

Jenkins knew she could make a little extra money from the items rather than leaving them for the city to pick up or for someone scouring neighborhoods for metal.

"When you're in need, a little extra cash will help," she said.

Tim Roberson, owner of Roberson Scrap Metal Co., said people can make a good living picking up metal left at the street by people cleaning out their homes and garages.

"It's booming right now," Robertson said. "The markets are good. Prices are good."

On a good day, Roberson said he can have 100-200 customers come through his business on Canal Street near the Port of Florence.

There were several people in line on a recent sunny weekday, bringing in everything from a trailer loaded with old motorcycles to several bags of aluminum cans.

Scrap iron and steel prices have increased 70 percent in the past year, according to a report in the Wall Street Journal.

Prices began to rise when people held on to items such as old appliances and vehicles after the recession hit.

Roberson said it was difficult to find buyers for scrap metal in 2009.

Steel mills that normally purchased scrap metal weren't buying, he said.

He said mills have recently began purchasing scrap again and as a result, Roberson is seeing more people come through the doors.

"We're buying a lot of aluminum cans, copper, autos, a lot of wire," Roberson said.

Roberson's customers include individuals who bring in a few bags of aluminum cans, those who collect metal from neighborhood trash piles and even businesses such as electrical and plumbing contractors who bring in scrap metal.

Benny Ingle, of Cherokee, said he was bringing in some loose brass items. The reason - "money."

"We're laid off," he said.

Norris Nielsen, of Florence, was bringing in pieces of scrap copper pipe left over after a plumbing job at his home. He said he knew it could bring him a few extra dollars.

"I believe in recycling, too," he said. "There's a lot of scrap metal lying around the roadside. If we get it cleaned up, that would be good."

There aren't many scrap yards in the Shoals that accept all types of metal. Mallard Steel in Tuscumbia and Tennessee Valley Recycling in Sheffield have operations similar to Roberson's.

Richard Ramey, division manager for Tennessee Valley Recycling Sheffield Division, said the increase in new steel production helped spur the increase in the demand for scrap metal.

"Every day a farmer is cleaning out the back 40 and every day some resident is throwing away a stove or refrigerator," Ramey said.

Ramey said on some days in April there were 230 people bringing in scrap metal every day.

"We're really happy with where we're sitting," Ramey said. "Tennessee Valley Recycling makes a serious effort to be able to purchase this scrap at a fair price and we'd like to get as much as we can."

Metals Exchange, in Moulton, deals in non-ferrous metals such as aluminum, copper or brass, and does not buy items such as old appliances, auto or scrap iron or steel.

General Manager Tim Ledlow said business is normal.

"We're not really seeing anything out of the ordinary for this time of year," Ledlow said.

The price he pays for aluminum scrap varies according to type of item and current market conditions.

Ledlow said the most popular item brought in by the public is aluminum cans, which bring 60 cents a pound. If someone brings in more than 100 pounds, the price jumps to 65 cents per pound.

An aluminum allow wheel can bring about 80 cents a pound, Ledlow said.

Since the theft of copper wire has become an issue, Ledlow requires a government issued identification card when someone brings in copper, just to provide a way to trace who brought it in.

Roberson said people should think about what they leave at the curb or take to the landfill. He said the average washer or dryer can bring about $12-$18 and a refrigerator can

bring about $20.

An average car can bring about $275 and a large van maybe $450-$500, Roberson said.

Roberson said anything metal such as old air conditioners or car parts can be cashed in at the scrap yard. He has even had people bring in the metal items that were passed over at a weekend yard sale.

Jenkins' pickup bed was filled with a variety of items including an old metal weather vane, an industrial type paper towel dispense, several license plates, curtain rods, an old weight lifting bench, parts from a turkey roaster and a tool box.

Russ Corey can be reached at 740-5738 or russ.corey@TimesDaily.com.

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