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The Department of Trade and Industry (the dti) has initiated a programme to ensure that more used plastic is recycled in order to contribute in creating jobs, promote economic growth and help achieve a greener economy, instead of being landfilled. The Landfill Plastic Diversion Programme is aimed at making sure that plastic waste does not end up in landfills but is seen and used as a valuable resource. According to the Minister of Trade and Industry, Dr Rob Davies, the 8th iteration of Industrial Policy Action Plan (IPAP), which he launched in Benoni two weeks ago, identifies the plastic sector as one of those that have the capacity to contribute significantly in growing the country’s economy and creating employment if government and industry put measures in place to support it.
“IPAP recognises that the plastics industry is a significant contributor to the economy with a turnover of R50.4 billion in 2015, representing about 1.6% of GDP and approximately 14.2% of the manufacturing sector.

The industry employs around 60 000 people (both formal and informal) with almost 1 800 companies through the plastics supply chain. The export value of plastic products in 2015 was R15.57bn. In 2015, the formal and informal employment in the plastics recycling sector was 55 054 workers,” says Minister Davies. He adds that engaging in actions that drive forward recycling activities will save resources and cost, help ensure that national and business targets are met and deliver a lower environmental footprint and associated corporate social responsibility benefits.

“An overwhelming 72% of plastic packaging is not recovered at all, 40% is landfilled, and 32% leaks out of the collection system – that is, either it is not collected at all, or it is collected but then illegally dumped. We believe that plastic waste should be seen and used as a valuable resource and should not end up in landfills. Plastics are often recycled to make items such as clothes, carpet, containers, bottles, plastic lumber, films, grocery bags, moulding materials, and lawn and garden products.

“Our Landfill Plastic Diversion Programme is aimed at achieving the economic impacts and environmental benefits of allowing separating, sorting, processing, and recycling of plastics in the shredder aggregate which would provide new jobs and promote innovation and growth, and help achieve a greener economy. This initiative is in line with the broader vision of the Department of Environment Affairs and the industry association, Plastics South Africa, of zero waste to landfill by 2030,” explains Minister Davies. He adds that the department will be working with Plastics SA and local municipalities to increase separation at source to in order to increase the recovery rates of plastic products for recycling. “We will also be embarking with all the stakeholders on an awareness campaign to highlight the value of plastic waste and the opportunities thereof to create entrepreneurs, small businesses and cooperatives and the dti’s financial assistance to realise such opportunities,”  says Minister Davies.

Two weeks ago, the Deputy Minister of Trade and Industry, Mr Mzwandile Masina officially launched Mpact Limited’s R350-million state-of-the-art polyethylene terephthalate (PET) recycling plant in Germiston.  PET is used for carbonated soft drinks, bottled water and other food packaging.  the dti approved a Section 12I tax incentive of R99 947 747 for the company. The incentive has created about 130 direct jobs. Mpact anticipates that about 1 000 downstream jobs will be created by collecting the 29 000 tonnes of PET bottles needed as input material. This investment is in line with the landfill diversion programme of the 8th iteration of IPAP.

Issued by the Department of Trade and Industry