WRAP Launches Mixed Plastics Loan Fund
The Waste and Resources Action Programme (WRAP) has announced that they will boost plastic recycling in the UK with a huge £2 million loan fund. The aim is to support the reprocessing of yoghurt pots, margarine tubs and plastic food trays in the UK through a Mixed Plastics Loan Fund (MPLF).
Householders in the UK dispose of 1.7 million tonnes of mixed plastics every year, and 90% of that is sent to landfills. This means that only 20,000 tonnes of these disposed products are recycled.
WRAP director of market development Marcus Gover says that cuts in the capital that is available has been brought on by the recession and recent market price volatility for recovered materials. This means that the balance between risk and reward is a barrier on private sector investment into the mixed plastics recycling market for the nation. By creating this loan fund, investors will be able to repay the money after beginning to get a profit, he continued, adding that WRAP will then be able to reinvest the funds into more support for the market.
WRAP plastics sector specialist Paul Davidson says that recycling PET products can be worth between £250 million and £500 million per year for the UK economy. Right now, the country exports all of its recovered non-bottle plastics, he continued. However, the economic benefits could be significant if they close the loop through increasing the collection and reprocessing of mixed plastics, he explained.
Recycled plastics can sell for between 50% and 100% of the price of virgin polymers, which gives £900 to £1,000 a tonne. The MPLF has already been launched and applications can be sent in until December 31.
Recycle your old stuff!