The sudden plunge in demand for scrap metal is causing a headache for port authorities around the world with tonnes of steel left on the docks as buyers default on purchasing.

The Scrap Metal Recyclers Association says that six weeks ago, many recyclers were paying $360 a tonne for heavy steel scrap.

A sudden plunge in world demand has seen that fall to a mere $60.

Association spokesperson Karina Munro said that suddenly wharves around the world have tonnes of scrap metal sitting on them as buyers default, and as demand drops.

Councils should not be able to regulate commercial recycling collectors, the Scrap Metal Recycling Association says.

The Association protested yesterday at Parliament over the Waste Minimisation Bill, citing concerns that classifying scrap metal as waste would hinder exports.

Green Party MP Russel Norman has already lodged an amendment to Parliament to add a new definition of ‘diverted’ material into the bill so that not all trash will be called waste.

The scrap metal industry has succeeded in having a last-minute change proposed to the Waste Minimisation Bill, to separate recyclable materials out from council control.

Green Party MP Russel Norman lodged a supplementary order paper (SOP) in Parliament yesterday, as the Waste Minimisation Bill awaits its third reading.

However, the SOP came too late to avert a protest planned by the Scrap Metal Recyclers Association of NZ, planned for this afternoon.