BIR calls for ‘immediate financial aid’ for recyclers

Representing around 70 countries including the UK, the BIR is the international trade association for recyclers. It held its biannual World Recycling Convention in Dubai from 16-18 October.

Most of the 650 companies who attended reported that “sky-rocketing” energy costs were proving a “huge burden”, threatening their survival in the medium- to long-term, the BIR says.

Reports of unprecedented pressures on profit margins, financial losses and bankruptcy came to light during sessions on commodities including metals, paper, plastics, rubber and waste electrical and electronic equipment, the BIR says, proving that no material sector is immune.

The BIR also claims proposed restrictions on the export of recycled materials will create “long-term market disruptions” that will result in “additional constraints” for the industry.

In a statement, the BIR said: “BIR urges national governments and international legislators to enact immediate financial aid for the recycling industry to prevent significant long-term damage to a sector that plays a pivotal role in the global circular economy and the protection of the planet.”

Energy

The BIR is not alone in calling for state aid to help with spiralling energy costs. In September, the European Recycling Industries’ Confederation (EuRIC) called for government support to help mitigate the “substantial” challenge facing European recycling industries (see letsrecycle.com story).

Trade association Plastic Recyclers Europe warned that high electricity prices were putting the transition towards the circular economy at risk (see letsrecycle.com story).

In the UK, recyclers expressed concerns to letsrecycle.com that the rising cost of energy would hit their operations and subsequently have an impact on recycling levels (see letsrecycle.com story).

Meanwhile, local authority organisations told letsrecycle.com that rampant inflation and rising fuel costs will see councils forced to reduce their waste services (see letsrecycle.com story).

Dubai

Aside from the energy crisis, the BIR’s World Recycling Convention discussed several other topics. Its paper division discussed the current state of the market across the globe, reporting that the price paid for OCC had fallen by 80-90%.

And, a meeting of the BIR’s ferrous division heard that the market had seen a “remarkable turnaround” in the past year, with EU steel production declining and rapid growth in India.