Update # 2 on “National Sword”

Update # 2 on “National Sword”

To date the impact of the National Sword initiative has been very intense on all parts of Urban Impact’s operations. Example of the specific impacts include:


  • A dramatic downward price correction on all grades of Paper and Plastics.

  • A dramatic slow down in our throughput and production of our processing plants.

  • Increased scrutiny of all inbound deliveries.

  • Active communication to all suppliers on any quality issues observed, loads downgraded and fees associated with quality issues passed to the inbound customer.

  • Increased labour expense to manually sort materials received.

  • Development of new signage for Urban Impact’s collection bins and offered to all suppliers to assist them in communicating contaminants and prohibitive materials to their customers.

  • Communication to customers if contaminants are visible at the time of pick up.

  • Intensifying the material audit process and frequency of audit


National Sword Long Term impacts

It is of course difficult to accurately state the specific long-term impacts of this type of market disruption will be. We feel that the recycling market can anticipate some long term lasting impacts such as:

 


  • Emphasis on the recycling stock quality

  • Re investment into processing plants to improve the mechanical extraction of contaminants to meet the new industry standard of less than .5% contamination of recycled material (current industry acceptable contamination standard is 2%).

  • Put it all in a bin (referred to as Single Stream or Mixed Recycling) is an easy collection solution but it is likely not going to be the least expensive when processing fees are calculated.








  •  
  •  
  •  
  •  
  •  
  •  
  •  


Thank you for your attention and understanding. We are working hard to ensure that we have active end markets for all grades of material.

 

What Services Are you Interested In?