The European Union’s decision to ban the export of plastic waste, both within and outside its borders, marks a significant shift in waste management policy. However, this decision, part of a waste shipment regulation agreement made on November 17, has raised substantial concerns from industry players like Valipac, a Belgian industry association. They caution that the ban might lead to the collapse of the plastic packaging recycling market.
Local Storage and Potential Incineration: The Immediate Impacts
Under the new regulation, plastic waste collected in EU member states must be stored locally. This could potentially lead to increased incineration, especially if no buyers for recycling are found within Europe or elsewhere. This shift poses a significant challenge, particularly considering the volumes involved. For instance, Belgium alone consumes 100,000 tons of commercial plastic packaging annually, of which approximately 24,000 tons are currently exported outside the Organisation for Economic Co-operation and Development (OECD).
Valipac’s Perspective: A Market in Jeopardy
Valipac, responsible for commercial and industrial packaging waste collection and recycling in Belgium, highlights the dire situation. They argue that the inability to export collected plastic, combined with Europe’s insufficient recycling capacity, could lead to a demand collapse. The concern is that the cost disparity between packaging made from virgin plastic and recyclate makes the former more economically attractive. This has been exacerbated by the fact that European plastic waste is mainly exported for recycling into secondary products like rubbish bags, owing to low demand for recycled plastic within the EU.
The Risk of Market Collapse and the Call for Intervention
The organization warns that without timely intervention, the plastic packaging waste market risks collapsing due to the lack of sales outlets in Europe, compounded by the export ban to non-OECD countries. This could hinder progress towards a circular economy in the short term, despite the EU’s regulatory intentions.
Balancing Environmental Goals and Industry Realities
While environmental groups laud the EU’s political agreement for ending “waste colonialism,” the European Genbrugsindustrien Confederation (EuRIC) acknowledges the urgent need to bolster recycling efforts within Europe. This is to avert a crisis precipitated by the new regulation.
Valipac itself is taking proactive measures, incentivizing businesses to use plastic packaging with at least 30% recyclate. However, the industry faces new challenges with the influx of imported plastics labeled as recycled (rPET), offered at prices that are hard for EU recyclers to compete with.
Conclusion: Navigating a Path Forward
The EU’s decision, while environmentally commendable, presents complex challenges for the genbrugsindustrien. It necessitates a reevaluation of local recycling capacities and a concerted effort to balance environmental aspirations with economic realities. As the situation evolves, it will be crucial to monitor the impact on the recycling market and the broader goal of a sustainable, circular economy.