Baling Equipment Advantages, Part 2

The second in our two-part series about baling equipment efficiencies, trends, and updates, this discussion with Mike Schwinn, Director of Sales & Marketing at American Baler Co., Bellevue, OH, describes Mike’s world in the baling equipment market. American Baler Co. provides a large line of baling solutions for warehouse/distribution, corrugated and packaging manufacturing, and general recycling as well as a wide range of other industries. The company’s equipment includes manual-tie and auto-tie single-ram horizontal balers and two-ram auto-tie balers for both low-volume and high-production applications.

The DC6343-830 (above) bales open-top boxes.

“In ‘Baler World,’ we are seeing some big market changes. For most equipment manufacturers, lead times are now more than 50 weeks – almost an entire year. Commodity pricing is down for OCC (Old Corrugated Containers), and the labor shortages continue. These factors are creating more of a need for high-performing baling equipment. Our American DC6343-830 baler for open-top boxes features new Lexan tier guards that let the customer view the waste material traveling through the system. Our balers can also be built with side-load feeding hoppers that direct the load to the baler from the floor. And we make narrow-body balers. All of these changes make today the perfect time to evaluate how you handle recycling materials.”

The baler above features an overhead trash line and a side-loading feed hopper that directs loads to the equipment from the floor.

Along with the increase in equipment lead times for a new baler, Schwinn says demand is also higher because of the expansion in e-commerce and the need to get products to consumers faster. “This has led to more packaging materials, such as corrugated – both on the boxmaker’s end and the post-consumer usage end. The high lead times require equipment buyers to make plans in advance to ensure their equipment arrives when they need it.”

Other factors

Supply chain issues also continue to figure prominently in today’s market, he adds. “PLCs, specialty steel products, and hydraulic components are in great demand for all types of industrial products, which also impacts baling equipment manufacturing lead times and shipment times.” 

And commodity pricing is down. “The price for OCC (old corrugated containers) dropped 71% from 2022,” Schwinn explains. “This means businesses are either seeing their revenue or rebate for recycling reduced, as the costs for renting a compactor and waste hauling fees have increased, both of which can put a big squeeze on their recycling programs.”

Labor shortages remain an issue, he says. “Everyone we talk with says they can’t find people who want to work. So, another important reason to buy a baler is that it provides the best way to get the job done. In the past, companies bought used equipment and relied on a good maintenance person to keep it running. Today, either there is no maintenance person or they have their hands full with other tasks. Employers then realize they must update their recycling equipment sooner versus later.” 

Mid America Paper Recycling can help businesses review their current recycling process and suggest baling equipment, such as systems from American Baler, that can maximize their total expense/revenue picture. “Instead of sending recyclables to a waste hauler with several pickups a week, they can use a baler that can increase their revenue and eliminate container switchout fees,” Schwinn emphasizes. “With change comes opportunity. Now is a good time to review your recycling and waste reduction plans and make sure you are maximizing revenue and decreasing your costs.”

For more information on American Baler’s equipment, visit www.americanbaler.com. To help you determine your baling equipment needs, contact Mid America Paper Recycling at 773-890-5454 or request a free, quick, Waste Audit Survey at https://bit.ly/2OI2o0Z.