Dive Brief:
- According to research conducted by Frost & Sullivan, the global market for industrial waste management services is expected to double to $750 billion by 2020.
- The growth stems from an expanding number of businesses and governments seeking out zero waste-to-landfill policies.
- The research firm noted that demand for “smart” waste services is expected to rise as businesses respond to higher raw materials costs, greater transportation and disposal pricing, and tighter environmental legislation. Companies are searching for circular economy models based on increased materials recycling and re-use.
Dive Insight:
Research indicates that the circular economy waste management models will experience growth in industrialized nations, and emerging markets could adopt the model as well. These developing markets accounted for almost half of the market revenues within global industrial waste services sector, according to the study.
A hindrance to emerging markets is a pronounced inconsistency in government waste strategies, which could thwart growth in developing markets due to the potential risk presented to waste and technology investors.
Monika Chrusciak, an energy and environmental research analyst at Frost & Sullivan, said, “The benefits of a circular economy based on sustainable industrial waste management has prompted companies to establish efficient collection and processing systems…fueling market revenues. Preferences for advanced waste treatment such as smart collection and sorting, recycling and incineration with energy recovery adds to market growth.”
During the ISRI convention in May, panelists discussed the growth potential for e-waste services in emerging markets. One challenge that lies ahead is the need to implement a classification system to ease handling of reusable materials. The analysts noted that an increased flexibility in regulations could lead to greater recycling opportunities in emerging markets.