BASF has announced plans to consolidate manufacturing operations at its Cinderford, Gloucestershire, precious metals recycling plant in the UK, exiting its "non-strategic" electronic scrap, gold and silver recycling business and focusing on auto catalyst recycling.

The German group said its decision reflects its long-term growth strategy and growing demand for platinum group metals (PGMs) such as platinum, palladium and rhodium. The business also manufactures precious metals products used in industrial applications, including automotive emissions control catalysts.

The Cinderford site is to be shifted from a two-plant operation to a single production site dedicated to automotive catalyst recycling. The electronic scrap materials plant is to be closed and operations at that portion of the site discontinued by the end of 2014. An on-site assay laboratory is also planned to close by year end.