Ten years ago, hundreds of communities were launching new programs each year and the amount of material collected increased dramatically. New packaging is rapidly converting from traditional materials to plastics. This rapid growth in new container sales, coupled with the steady but slower growth in recovered containers, means that the recycling rate for plastic bottles is dropping despite an annual increase in the number of pounds recycled. Increased awareness and education are required to change this dynamic and avoid discarding these recyclable materials. New applications for plastic packaging are growing so fast that it has caused the supply-demand dynamics for the raw material to get out of balance.
Recycled materials compete with virgin materials.
Recyclers naturally feel pressure as they are squeezed between fixed processing costs and decreasing value of their finished goods. When Asia experiences an economic slowdown it also contributes to the economic problem. During such a slowdown, Asian companies export more virgin resin and import less recycled material. The cost-effective recycling of new packages will require renewed education for households, recyclables collectors, the Materials Recovery Facilities and handlers sorting plastic, and the processors. The end result will be a more dynamic industry poised to recover more valuable resources.