Recycling market expected to rebound in Q4 2009, says Frost & Sullivan

Rising government spending on infrastructure and other market drivers to take effect.

-- Packaging Digest, 11/24/2009 1:01:41 PM

In the wake of a recession that gravely affected the recycling segment and dropped collection volumes, Frost & Sullivan predicts the recycling waste market to start to rebound by late Q4 2009. The rising government spending on infrastructure will spur this, among other market drivers. Although recycling of waste has experienced a significant downturn, this situation is unlikely to remain for long as EU legislation mandates a strong push towards reuse and recycling of wastes. This in-turn creates significant market opportunities in key segments including sorting and separation of wastes at source, waste treatment and most importantly recycling.

In keeping with the pressure on legislation promoting recycling in the EU, the Copenhagen Summit on Climate Change emphasizes that sustainable living covers carbon footprints, waste management, recycling and energy neutrality. The momentum towards waste recycling in the EU is strong and the presence of active legislation supporting the market maintains growth in the sector.

"The industry has been presented with tough challenges due to the economic situation across Europe. However, government support, infrastructure investment and strict legislative deadlines have maintained a positive climate for market growth," observes Frost & Sullivan's Suchitra Padmanabhan, Programme Manager of European Waste Management Markets.

SOURCE: Frost & Sullivan