Buying5 min read

What actually drives the cost of a scrap recycling line

When two quotes for "the same" recycling line differ by a factor of two, the difference is almost never margin. It is four specification decisions that were answered differently — and if you cannot see them side by side, you cannot compare the quotes.

Throughput sets the steel, and the steel sets the price

Doubling throughput does not double the price — it more than doubles it. Motors, gearboxes, shaft diameters, frame thickness and hydraulic capacity all step up in size, and each step brings a cost jump rather than a linear increase. A 2 t/h line and a 10 t/h line are different engineering projects, not the same project scaled.

Automation level is the biggest swing factor

The same physical process can be run with manual feeding, sorting and baling, or with conveyors, level sensors and a control system tying the stages together. The equipment list looks similar; the labour cost per ton does not. For buyers in high-wage markets automation usually pays back quickly; in low-wage markets manual stages often make more sense, and pretending otherwise is how lines end up over-capitalised.

Output specification decides how many stages you need

A line producing a mixed ferrous product for a local mill needs far fewer stages than one producing separated non-ferrous fractions for export. Each additional separation step — screening, secondary eddy current, density separation — adds equipment, conveyors and maintenance.

The honest question to ask is what your buyer will actually accept, and whether the extra stage earns its cost in price uplift. Sometimes it does. Sometimes the incremental purity is worth less than the machine that produces it.

Scope boundary: what is in the quote

Quotes frequently differ simply because they cover different things. Machines only? Machines plus conveyors, steelwork and cabling? Installation and commissioning included? Operator training? Spare parts package? Compare the scope line by line, not the total.

Shipping terms matter too. FOB and CIF quotes are not comparable, and neither includes the local costs at your end — foundations, crane hire, electrical connection and permits, which regularly add a meaningful percentage to the delivered cost of a line.

What to take away

  • Compare quotes on scope, not on total price — machines-only and turnkey quotes are not the same product.
  • Automation pays back fastest in high-labour-cost markets; do not assume it is right everywhere.
  • Every additional separation stage has to earn its cost through price uplift on the output.
  • Budget separately for foundations, electrical connection, crane hire and permits at your site.

Written by the Miracle Machinery engineering team. Figures quoted are from published equipment specifications; project-specific results are confirmed by material test.

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