“Sword” – an opportunity?

With the 2017 Plastic Recycling Conference kicking off next week, a growing concern is China’s recent crack down on imports of scrap.  China recently announced “Sword” Crackdown on illegal scrap (https://resource-recycling.com/plastics/2017/02/15/china-announces-sword-crackdown-illegal-scrap-plastic-imports/).  The focus is on smuggling and illicit activities related to scrap and waste.  Chinas’ Green Fence programwas implement 3 years ago, which was designed to enforce a number of the country’s existing laws regarding the importation of scrap material, was to conclude at the end of the year. Government officials and recycling industry representatives, though indicated that Green Fence would be indefinite, and that operations, policies, and/or lack of enforcement would not be going back to the way they were before this measure was implemented.  “Sword” is aimed as reinforcement of Green Fence initiatives.

Markets for low-grade materials have not completely disappeared as a result of Operation Green Fence and outlets are still available, though pricing for such material has declined substantially.  With the implementation of “Sword,” the question is whether these markets will continue to be reduced and/or eliminated.

This is an opportunity for traditional recyclers to expand into plastics recycling by establishing improved PRFs (paper and plastics recovery facilities). These operations would differ from MRFs (material recovery facilities) in that they would narrow their focus to paper and plastics packaging. Operators can limit their focus to plastics that offered critical mass, such as film and rigid containers, particularly the stream of polyolefin plastics generated by grocery stores.  A focus versus collecting all materials allows operators to improve quality and allow for further processing domestically or export.

iSustain as a plastics recycler has diversified end markets, to allow for domestic or export movement into end uses.

Manufacturers and recyclers need to work together to know exactly what they were buying when purchasing/selling material for processing, adding that some additives make plastics nearly impossible to recycle.  iSustain has decades of experience to help guide through changing economic times, and ensure even through events like “Sword” movement is secured, and the best pricing available can be had.  Contact us today for more information.  [email protected]