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Navigating Recycling Economics: Overcoming Market Challenges

Discover the economic components influencing recycling markets and explore strategies to enhance access and efficiency. Understand obstacles, behaviors, responses, and potential improvements in recycling programs. Learn about regional collaboration and resources to boost recycling initiatives.

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Navigating Recycling Economics: Overcoming Market Challenges

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  1. Economic Components of Recycling Obstacles to a Free Market April 11, 2013

  2. SERDC Sponsor members

  3. Let’s ExploreMarket Obstacles Why don’t our markets behave like we think they should?

  4. Regional Collaboration = Increased Access to Markets Summary of Region Wide Findings: • 206 manufacturers • 47,525 employees • $29.4 Billion sales revenue

  5. What is recycling?

  6. Traditional Market Behavior S P D Q

  7. Negative Pricing P S Q 0 D

  8. The Bottom Line P S Q 0 Tipping fee D

  9. What’s really happening: Inelastic Supply P S D Q

  10. Super Inelastic Supply P S D Q

  11. Market Volitility P D S Q

  12. PPI - Wastepaper

  13. Aluminum UBCs

  14. Plastics

  15. How have Programs Responded? Environmental concerns led to program creation. Local governments are mission service driven, not profit motivated.

  16. Capture Percentage Flat Lined

  17. Daily Pounds per Person, recycled

  18. Paper by Decade

  19. UBCs by Decade

  20. Plastic by Decade

  21. Pounds per Capita

  22. Restraints • Annual budget • Floor pricing in contracts • Risk vs Return • Citizen participation • Inequitable access

  23. How do we move the needle? P S D Q

  24. Possible Improvement • Enterprise Funding • Contract Negotiations • Pay As You Throw • Cooperative Marketing • Extended Producer Responsibility • Hub and Spoke

  25. Increase Recycling Quality Quantity Methods Policy Practice 

  26. SERDC Resources www.serdc.org/regionalresources • Economic Reports • State Recycling Resources • Market Directories • Waste Exchanges

  27. Contact Information Will Sagar Executive Director will.sagar@serdc.org (828) 507-0123

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