Wrap launches 2m mixed plastics recycling fund

At the moment, 90% of mixed plastic packaging ends up in landfill and MPLF will help potential investment in reprocessing capacity.

MPLF is being launched today and applications can be made until 31 December. For more information visit the Wrap website.

Wrap’s plastics sector specialist said that the potential market for recycled mixed plastic was between £250m and £500m a year. At the moment, much of the non-bottle plastics recycling takes place in China.

High quality recycled plastics can sell at anywhere between 50% and 100% of the price of virgin polymers, about £900-£1,000 per tonne.
 
“We know that that general public wants to recycle items such as plastic yoghurt pots, margarine tubs and rigid plastics like food trays, but at present there is only roughly a 4% recycling rate on these items,” said Davidson.

“If we closed the loop through increased collections and reprocessing of mixed plastics here in the in the UK, the economic benefits could be startling”

Wrap’s aim is to provide funding that has been difficult to come by through traditional sources.

Marcus Gover, Wrap’s director of market development said: “By establishing a loan fund, as opposed to offering a capital grant, investors can pay back the money after they start making a profit and WRAP can re-invest those funds into more support for the mixed plastics market.”

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