As work on Closed Loop Recyclings second plastic bottle recycling plant began in Wales this week, markets for quality recycled plastics have been described as strong. Prices for plastics have stabilised and some in the industry are cautiously predicting recovery.
This optimism comes at a good time for CLRs £12 million HDPE and PET recycling facility on Deeside, north Wales. It will process more than 50,000 tonnes of plastic a year, including water, milk and other soft drinks bottles.
Managing director Chris Dow said: "This plant will allow us to make a real impact on plastic recycling in north Wales and North West England, as well as on the local economy. Despite the current industry downturn, we have already sold 65 per cent of the plants output nine months ahead of time, which is clear evidence that there is a strong market among packaging manufacturers for good quality recycled plastic.
The plant is scheduled to become operational at the end of 2009 and will create 50 jobs.
Dow added: As a business, we are committed to the future of recycling here in the UK, and each plastic bottle we recycle reduces that bottles carbon footprint by 25 per cent.
Flintshire County Council's executive member for Regeneration and Tourism Mel Higham welcomed CLRs plant and said it was excellent news that a new employer was creating jobs in the area.
Funding for the second CLR plant has come from the Foresight Group and the Welsh Assembly Government's Single Investment Fund. It follows the success of the companys first plant in London which opened in 2008 and processes about 35,000 tonnes of plastic bottles a year. It also recently began producing food grade recycled plastics.
Big names involved
*Brands Solo Cup Europe, Coca Cola Enterprises, Nampak and Logoplaste have committed to buying recycled plastic from the North Wales plant.
*Veolia Environmental supplies recovered material to the plant in London and will supply the future plants as well.