|
JANUARY 2009
Minnesota recycling markets remain viable
Recycling Association of Minnesota
indicates New York Times article not
applicable to their area
A recent New York Times article from
December 8, 2008 regarding the state
of national recycling markets offered
some interesting national statistics,
statistics which, for Minnesota,
do not necessarily ring true. The
New York Times article is specific
to the east coast; Minnesota’s recycling
programs have a strong advantage
due to their heavier reliance on
local markets and much less on global
markets that the east and west coast
states have. Paper was a focus of
the report. In Minnesota, there are
two markets for that material: Rock-Tenn
in St. Paul and LDI Fibres in Becker,
Minnesota. Commodity markets are
not doing as well right now as they
have in the past; however, we have
seen this pattern in the mid-nineties
and as with any market, it is cyclical,
based on supply and demand.
For most materials, recycling still
makes good economic sense; it is
still less expensive to recycle versus
throwing that material away. This
is especially true when considering
the benefits to the environment,
recycling is still the best option
by far. Some other benefits include
reduced energy costs, reduced pollution
clean-up costs and mitigation of
greenhouse gas emissions. These are
all environmental benefits which
can be quantified and which adds
great value to Minnesota’s recycling
infrastructure.
Recycling supports approximately
20,000 jobs in Minnesota and adds
$2.98 billion to the state’s economy.
The recycling industry in Minnesota
is an economic driver — for every
single job created by landfill operations,
recycling creates five jobs.
While it is true that recyclable
commodity prices are down, so are
transportation costs, and there is
a decline in demand for all materials.
These declines will lead to more
innovations in collection processes.
It is most important to consider
the Minnesota recycling markets in
the long-term. When demand is up,
prices are good; when demand goes
down, prices decrease.
It is simple economics, and it is
important to understand the need
to ride out the lows with the highs.
It is also very important to understand
that if something is collected to
be recycled, by law it must be recycled.
Many companies who collect recyclables
are still able to sell them for a
competitive price, or some have been
warehousing the material until prices
are more favorable.
Fortunately, there is an easy solution:
When making purchases, choose items
made from recycled content, or that
have packaging made with recycled
content. Whether you are at the grocery
store, your favorite discount store,
or doing holiday shopping, look for
labels that indicate the product
or package was made with recycled
material. It’s a good chance that
what was once in your recycling bin,
is now in your shopping cart. That
paper, metal or plastic did a great
deal of good for the economy and
environment along the way.
|