Latin-American Markets Supplement: A Move Toward Recycling

Brazilian industry generates about 140,000 metric tons per day of solid waste, less than half of which, according to estimates by environmental agencies, meets an environmentally adequate disposal or recycling end. Cities generate around 100,000 metric tons of solid waste per day, with from 60 to 70 percent going directly to open dumps. Less than 1 percent is incinerated (with no emission controls).

An important aspect of urban waste is the high proportion of organic material present—on average 55 percent by weight. This directly influences the question of final disposal in landfills, as it makes its management more difficult, especially in the treatment of fatty substances – large quantities of which are present in organic waste – and of the gases produced in the decomposition process.

Other countries in Latin America show a similar situation, with numbers for urban and solid waste final disposal very close to those of Brazil.

The high proportion of organic waste can be explained in part by the absence of adequate packaging in various products, principally in the distribution phase (for example, fruit and vegetables), as well as a culture of waste common to various Latin American countries.

The recycling sector in Brazil is worth around U.S. $850 million per year, but this could quickly be increased to U.S. $2 billion per year if alterations were made to certain regulations, such as the taxation system, which currently holds back growth in the recycling industry.

Recycling collection has evolved more quickly in recent years in Brazil, even though in overall figures the amount is still only a tentative start. The involvement of local city authorities has tended to increase as local inhabitants become more aware of the problem and demand a more responsible attitude from their representatives.

In 1994, 81 city governments had recycling collection services on a significant scale. In 1999 this had jumped to 135 and by the end of 2002, expectations are that this will grow to more than 200.

The most successful programs are those in which curbside collection, voluntary return, and street drop-off bins are combined.

In Brazil, moreover, the social aspect of street scavengers is considerable. Of Brazil’s 170 million people, it is estimated the number of people living off street waste collection is more than 500,000. Yet, the large size of the Brazilian nation also allows for a variety of regional cultures and behaviors based on educational, health and economic differences.

This means that models of recycling collection cannot be simply imported from Western Europe or North America. Methodology specific to Brazil has to be developed, which will vary significantly from region to region in the country. The introduction of reverse vending machines in large supermarket chains is growing, although the returns from this system are still of little significance in the overall context.

In countries such as Uruguay and Argentina, the organization of street waste picker cooperatives has begun as part of recyclables collection. These cooperatives are small in scale and restricted to isolated initiatives by industry, such as the beverage sector. In Uruguay, only one local government has a comprehensive recycling collection program. The same can be said of Venezuela, where the glass industry has the broadest program, involving schools, supermarkets, neighborhood associations and other groups. Around 150,000 metric tons of post-consumer glass packaging is collected per year in that nation.

In Brazil, where around 5 percent of urban waste is recycled, some types of material, such as aluminum cans and cardboard, show much higher levels of 78 percent and 72 percent, respectively.

Among post-consumer plastics, PET has the highest market value and is sold in compacted bundles or as flakes. Some has already been exported, especially flakes, to China, Taiwan and Europe. Around 15 percent of plastics, in general, are recycled in Brazil, amounting to around 200,000 metric tons per year. This work is carried out primarily by small and medium-sized companies. The largest concentration of them is in greater São Paulo, with 180 facilities.

In ferrous metals, including packaging, Brazil has an established a network of scrap dealers feeding domestic steel mills. The network directly employs some 240,000 people. Glass, despite some restrictions regarding transport, is also recycled in some parts of the country. A significant proportion of glass collected is returned to the glass manufacturers. Recycling of flat glass occurs, but on a reduced scale. Post consumer Tetrapak packaging is increasingly being recycled in recent years, thanks to the re-utilization of high quality pulp fiber by the paper and cardboard industries. In 2000, 6 billion of these packages were consumed in Brazil, with the recycling of around 22,000 metric tons of fiber.

Composting in Brazil is still incipient, with less than 1.5 percent being recycled for fertilizer production.

Interest in recycling tires has increased significantly over the last two years, with investments in the area of co-processing in cement kilns and recycling the rubber for civil engineering and other applications. Post-consumption tires have also been frequently re-used in retaining walls and in engineering projects in sanitary landfills. In 2000, Brazil consumed 45.8 million tires.

Batteries (excluding car batteries), despite being collected at sales outlets and in a few municipal programs, are still not being recycled on any significant scale in Brazil. Many are simply being stockpiled or even exported by the manufacturers to be recycled in Europe.

All Latin American countries lack systematic public policies of economic incentives for recycling activities, whether in tax relief, access to loans, or financing. Progress in Brazil, which has not been inconsiderable, has been based purely on market rules. This has contributed to the sustainability of the whole process, and in some ways has inhibited the creation of policies to "regulate" the market or impose restrictive conditions on productive activity in general.

There have been debates in the Brazilian Congress over a national policy for solid waste management. More than 100 bills at the federal, state and local government levels have so far managed to create confusion in the various sectors linked to the matter, within both government and productive spheres. To compile all the proposals into one document, a special committee of federal deputies has been set up in Congress. The committee has been carrying out various hearings at the public level, aimed at getting input from all sectors of society.

Countries such as Argentina, Uruguay, Paraguay, Peru, Bolivia and Ecuador, among others, are facing a recessive economic situation, and environmental matters have been put on the back burner in many cases. Public policy proposals or laws relating to the question of solid waste have been focused on the final disposal stage, with the aim of replacing open dumps with sanitary landfills.

The participation of local city governments is emphasized in most of the proposals. However, some draft legislation proposes the creation of systems of return based on compulsory deposits or even obligatory replacement of disposable with returnable packaging, almost always without any technical and/or economic criteria. In Argentina, there are 21 draft bills of this nature. Uruguay, Chile, Puerto Rico, Peru and Mexico also have similar cases.

Venezuela’s national congress has been preparing, since last year, a national policy for solid waste, including the question of separated waste collection and recycling. In 2001, the Environment Ministry sponsored the preparation of solid waste management plans in five of Venezuela’s 23 states. Responsibility for carrying out the plans, though, has been given to private consultants, with no participation from the local authorities or the community, thereby reducing the possibilities of success. Chile has detailed legislation for the management of industrial solid waste.

In general, perceptions have increased that "returnability" should be related to the re-introduction of post-consumer products into a new productive cycle and not necessarily to the banishment of disposable products. The criteria used in evaluation should be related to technical/scientific parameters supported by life cycle studies.

For integrated solid waste management programs to be successful, they should not be fragmented into too many types of waste, especially those found in municipal solid waste stream. For the three Rs (Reduce, Re-use and Recycle) the creation of a rigid hierarchy that must be adhered to should be avoided.

The way to efficiency in the management of solid urban waste is in shared responsibility between public authorities (collection, separation and sorting), the industrial sector (re-introduction in the production cycle, reduction of generation during production, eco-efficiency, etc.) and principally the public, which should be made aware of its need to take part in the process.

Only public authorities, even if in conjunction with private initiative, are able to ensure collection from various sources of generation.

CEMPRE supports the formulation of national public policies for solid waste that allow local government to create solid waste programs that are in tune with local or regional peculiarities, avoiding the copying of models from countries with very different economic, social and cultural characteristics.

CEMPRE is a non-profit association founded in 1992. Its mission is to encourage viable alternatives from several viewpoints for the integrated management of solid waste in Brazil.

CEMPRE has formed a federation with organizations with similar goals in other nations, including ADAN-Venezuela, CEMPRE-Argentina, CEMPRE-Uruguay, SUSTENTA-Mexico and ICPRO-Puerto Rico.