Yes! They definitely reads codes on plastic. There are 7 plastic codes that makes easier for recycling centers to identify Plastics-
Code1# PETE (Polyethylene terephthalate)- This code includes items which are soft drink bottles, fruit juice container, cooking oil, mineral water.
Code2# HDPE (High density polyethylene)- This code identifies the products like laundry detergents plastics, milk jugs, shampoo bottles, washing and shower soaps.
Code3# (Polyvinyl Chloride)- bubble foil, Food plastic packaging, Tray for sweets, Food foil.
Code4# (Low-Density Polyethylene)- This code specifies plastic products like shopping bags, crushed bottles, wrappings.
Code5# (Polypropylene)- This code includes heavy plastic items- toys, luggage, furniture, heavy bumpers of cars.
Code6# (Polystyrene)- This code identifies- hard packaging, toys, refrigerator plates, costume jewelry, vending cups.
Code7# (Others)- This is the last code which includes other plastic items. This code includes- Plastic containing acrylic, nylon, fiberglass, etc.
Recycling centers like SwagCycle accepts plastic items of code 1 or 2.