Waste management giant Veolia has signed a major deal with Closed Loop Recycling which could see more than 100,000 tonnes of PET and HDPE being delivered to the latter’s Dagenham processing plant from its recycling network.
The move follows what Veolia calls a “strategic and long-term review of its supply chain”, as well as a £5m investment in its own sorting facility in Rainham, Essex, not far from Closed Loop’s operation.
Gavin Graveson, Veolia Environmental Services’ executive director, treatment said: “Working in partnership with Closed Loop we have supported the domestic plastic recycling market and the new contract will build on that success.
“Plastic collection, sorting and recycling is now firmly embedded in the UK’s waste strategy, as a direct result of the willingness of both companies to invest in the sector.”
Chris Dow, Closed Loop Recycling’s chief executive, said his company had enjoyed a strong relationship with Veolia since its plant’s inception and it was itslargest supplier of bottles.
“We are delighted that our two companies have been able to confirm this new agreement which will help take Closed Loop Recycling to new heights," he added.
Dow said the five year contract showed a new stage in the development of the plastic recycling industry, “with more demand than ever for high quality, domestically processed rPET and rHDPE here in the UK for leading brands such as Marks & Spencer and Britvic.”