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Circular Economy & Waste Management News South Africa

First for Africa R300m PET recycling plant to add 15,000 tons capacity annually; critical for export-oriented industries

A new R300m processing facility - a first-of-its-kind technology for Africa - will add an extra 15,000 tonnes per annum of food-grade recycled PET (rPET) output capacity.
Source: © 123rf  A new R300-million processing facility - a first-of-its-kind technology for Africa - will add an extra 15,000 tonnes per annum of food-grade recycled PET output capacity (Pictured: plastic bottles ready for recycling)
Source: © 123rf 123rf A new R300-million processing facility - a first-of-its-kind technology for Africa - will add an extra 15,000 tonnes per annum of food-grade recycled PET output capacity (Pictured: plastic bottles ready for recycling)

The producer responsibility organisation, Petco and its recycling partner, Extrupet’s facility will bring PET bottle-to-bottle recycling capability to the Western Cape for the first time when it comes on stream in 2025.

Petco CEO Cheri Scholtz said the additional capacity would assist in closing the loop for PET, which is the most widely recycled plastic polymer that can be turned into another food-grade product.

“So, this increase in capacity takes us another tangible step towards that circular economy, in which a bottle becomes a bottle over and over again and keeps that material in circulation at its highest possible value.”

Extrupet joint managing director Chandru Wadhwani said 64% of South Africa’s PET plastic bottles were currently collected for recycling.

“With this increased capacity, we will be able to accommodate more plastic waste and strengthen South Africa’s position as a circular economy leader in Africa and the world.”

Wadhwani said Extrupet had established its first bottle-to-food-grade line in Johannesburg in 2009, with the second following in 2014.

“The third arrived during the Covid-19 pandemic in 2020. And the fact that this is now the fourth line in what's, in essence, a 15-year horizon is just so gratifying for us.”

Knock-on effects for export-oriented industries

Wadhwani said the new plant was important as it also had knock-on effects for a number of export-oriented industries, including agriculture.
“The Western Cape is a large exporter of fruit to global markets.

“Our recycled PET ends up in packaging like fruit punnets, and under the new European Union legislation, you cannot export into that market if your packaging does not meet their requirements for certified recycled content.

“So, having capacity on the ground to make the raw material will be critical for all export-oriented industries going forward.”

Wadhwani adds, “Our new facility uses world-leading Erema Vacunite equipment, which will produce recycled material that is both certified and traceable and meets global standards.”

Stimulate a demand for more PET materials

Speaking about the development, deputy minister of Forestry, Fisheries and the Environment, Bernice Swarts, says, “We believe that this facility adds value to our efforts to increase the collection and recycling rates for packaging materials, including PET.

“We view the facility as an opportunity to stimulate a demand for more PET materials and a supply of these by waste pickers and waste SMMEs, thus creating stable markets for PET.”

Swarts adds, “The facility needs to be fed and the collection system needs to be improved to meet the demand of this facility.

“Waste pickers are an important contributor to the supply of the input material of plastic waste and we look forward to seeing the implementation of the waste picker service fee to continue to enable these waste pickers to do their work effectively and efficiently."

Building a sustainable value chain

Scholtz says the key to success lies in building a sustainable value chain that could survive the economic peaks and troughs, by balancing collection with recycling capacity and stimulating market demand for end-use products.

“It doesn’t just happen overnight; it has been a journey. Petco and Extrupet have been working together for more than 20 years to build a solid foundation.

“Petco’s commitment of ongoing support to our 10 contracted recycling partners, like Extrupet, gives them the confidence to invest in the new equipment and infrastructure that is needed to recycle increasing tonnages of recyclable packaging.

“The support also enables recyclers to increase the gate price at which they purchase recyclable packaging, which stimulates collection on the ground by increasing the street value of this packaging and growing the local market for it, thereby making it easier for waste pickers to sell their collected packaging and earn an income from it.”

A strong relationship with government

Petco worked with government to contribute to policy development and the implementation of EPR legislation, and also helped its members to meet their legislated targets for collection, recycling and the inclusion of recycled content in their packaging, which increased year on year explains Scholtz.

She said a strong relationship with government, especially the Department of Forestry, Fisheries and the Environment, was equally important for the country to benefit as a whole.

“Having implementable regulations, strong compliance, and effective enforcement is vital. We partner with all tiers of government to support sustainable waste management and diversion initiatives, and work towards meeting sustainable development and circular economy goals.”
Scholtz adds that the opening of the new plant also aligned with government’s climate change goals, as outlined in the newly signed Climate Change Bill.

The bill sets out to enhance South Africa’s ability to cut greenhouse gas emissions and build climate resilience while reducing the risk of job losses, and promoting new job opportunities in the emerging green economy.

The facility was toured during the ISWA conference is Waste to Wealth: Solutions for a Sustainable Future, a global conference on sustainable waste management taking place in Cape Town.

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