Plastic from waste is not collected and recycled, causing Vietnam to waste nearly 3 billion USD each year, according to UNDP Representative in Vietnam.At the workshop on solutions to improve the efficiency of solid waste management, towards reducing ocean plastic pollution in Binh Dinh on the morning of July 15, Ms. Caitlin Wiesen, Chief Representative of the United Nations Development Program (UNDP) In Vietnam, the amount of plastic waste in Vietnam every day is about 19,000 tons. In some seas, when fishermen pull their nets, one in three fish will have plastic waste.To help Vietnam take advantage of its garbage resources, the Global Environment Facility and the Norwegian Government will sponsor $2 million to launch the project Supporting ocean plastic waste management in the context of post-Covid-19 recovery.

The project consists of two components at the central and local levels, with 6 goals, including increasing the collection of plastic waste from supermarkets and hotels by about 22 tons per year with small supermarkets, 73-220 tons with medium and large supermarkets; establish collection points following the model of a waste bank in large residential areas, with the goal of collecting 20-100 tons of recycled plastic per day. In addition, the project will also support the local community by collecting tools, providing storage and depositing infrastructure; piloting the collection of masks, exploiting the option of converting waste into energy for non-recyclable plastics .In the immediate future, in the next 5 years, the project will deploy a local and pilot component in Binh Dinh province with a cost of about 1.2 million USD. UNDP will establish a material recovery facility to enhance the value of plastic waste and recyclables with the participation of the private sector and informal waste collectors. These facilities are expected to be able to process 2-4 tons of plastic waste per day.

Caitlin Wiesen said: “We will also pilot a waste management model in the seafood industry, which encourages fishermen to bring waste back to shore after each trip. Our joint efforts are expected to collect and prevent about 5 tons of plastic from entering the ocean each month, with the goal of reducing 1,000 tons of trash in the ocean each year.According to Chairman of Binh Dinh province Nguyen Phi Long, the growth of tourism and the development of other aspects of life have led to pressure on plastic waste when Quy Nhon city alone generates nearly 300 tons of waste every day, of which about 70 tons. plastic. He hopes the project will help the province collect plastic for recycling, improve management capacity at all levels, thereby building the image of a green, clean and beautiful tourist destination in the eyes of tourists.

Source: Vnexpress.net

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Spending up to 60 million USD, sending a team of specialized personnel back and forth to find the right technology, establishing a network to purchase used bottles… Duy Tan Plastics accepts the difficult path when investing in a recycled plastic factory. That is one way for businesses to help solve the current burning issue of plastic waste.

“Many people believe that the current state of plastic waste is the fault of plastic companies. That is not the case with Duy Tan, because we manufacture household appliances that people have used for decades without breaking. But the situation compelled us to act.”, according to mr. Le Anh, Marketing Director of Duy Tan Plastics Company, mentioned the company’s motivation for investing in a 60 million USD recycled plastic factory in Long An.

This is the first factory in Vietnam to use the “Bottles to Bottles” recycling technology, which involves using old plastic bottles that have been recycled into plastic beads to make new plastic bottles.

According to Mr. Le Anh, Duy Tan’s strategy includes the development of a recycled plastic factory. That is why, many years ago, Mr. Tran Duy Hy, the company’s General Director, purchased land in the plastic industry cluster in Duc Hoa district, Long An province, with an area of up to 65,000 square meters, anticipating the day when the factory would be built.

In three years, the plan was hatched and put into practice. According to Mr. Le Anh, it was a time when members of the project committee worked hard and held meetings on a regular basis to find solutions. Because the recycled plastic factory is not like what Duy Tan used to do. “Whereas producing plastic from imported virgin plastic beads allows each machine to operate independently and the finished product to be sold, producing recycled plastic is much more difficult. To form a homogeneous system, the machines must be linked together. Everything must be meticulously calculated, which necessitates meticulousness and detail. Nonetheless, departments within the company, ranging from engineering, research and development, to purchasing and sales, must collaborate closely.” Mr. Le Anh explained.

The most difficult part was selecting the technology, which Mr. Hy and the Project Manager, Mr. Huynh Ngoc Thach, handled. Mr. Hy and Mr. Thach traveled throughout Europe and even Hong Kong for two years to learn about technology supply factories and recycled plastic factories. There are numerous alternatives to consider. Finally, Duy Tan chose the technology of a supplier in Austria, a country with a developed recycling industry.

The biggest risk, according to Duy Tan, when implementing the project is that the supply and quality of raw materials for the recycling plant will not be guaranteed. For many years, recycling businesses have “cried out” due to inadequate waste sorting and treatment. Nonetheless, it is possible that more businesses will enter the market and share the supply.

“Because we have 33 years of experience in the industry and understand plastic and plastic beads, we decided to invest in the project. Once you’ve decided to do it, don’t look back; no matter how difficult it is. “Up to this point, all difficult problems and risks have been cleared up,” Mr. Le Anh stated.

Duy Tan has established a network of more than 80 qualified agents who purchase, sort, and bale used plastic bottles in order to supply raw materials for the recycling plant. Duy Tan buys processed plastic material by the kilogram, which is equivalent to about 200 bottles, and sells it to dealers at a higher price than the standard “bucket” selling price. The granaries are also suitable for collaboration with Duy Tan because there are more jobs available and they conduct reputable business.

Duy Tan collects 60 tons of used bottles every day in phase 1. When calculated over a year, this amount equates to 20,000 to 22,000 tons, which is a significant amount for the environment. When stages 2 and 3 are completed, the recycled plastic factory will produce approximately 100,000 tons of plastic beads per year and will not only stop at PET plastic as in phase 1, but will also produce PP and HDPE plastic. Many more plastic bottles and other plastic products, such as furniture, wardrobes, and so on, will be collected and recycled at that time, reducing the amount of virgin plastic used to make new products. This entails reducing the amount of oil used and thus helping to protect the environment.

The market is somewhat open because Duy Tan’s customers are willing to use recycled plastic, which is a bright spot and also a driving force for Duy Tan to quickly deploy the project. This is a strategy for businesses to grow sustainably, improve brand reputation, and meet stakeholder commitments. Plastic ingots made from recycled plastic and then used to make bottles are currently more expensive than embryos made from virgin plastic. Customers who have purchased from Duy Tan for many years, such as Nestle and Lavie, have researched and considered their possibilities. Meanwhile, another traditional customer, Unilever Vietnam, has signed a contract in principle, though the recycled plastic factory will only have commercial products in the fourth quarter of this year.

Duy Tan calculated that a first-phase output of 20,000 tons/year would be insignificant in comparison to market demand. Because there is only one customer, the volume of plastic bottles used is many times greater.

Meanwhile, many FMCG enterprises in Vietnam have joined the Vietnam Packaging Recycling Alliance (PRO Vietnam) have set the goal of collecting and recycling all packaging placed on the market by 2030. Duy Tan anticipates that the recycled plastic factory will be the company’s next driving force, accounting for 20-25 percent of total revenue.

That market potential is also one of the motivators for Duy Tan to quickly deploy the project, without looking at the competition or putting too much emphasis on whether or not the State’s support policy remains unchanged for a long time.

Because waiting will be troublesome, and the environment cannot afford to wait any longer. Of course, Duy Tan wants assistance with electricity, taxes, and so on. to increase investment motivation and attract more businesses to the recycling industry The more recycling businesses that exist, the more likely it is that the environment will be “saved.”

“We are doing everything we can to collect and recycle as much plastic waste as possible in order to reduce plastic waste in the environment. Larger issues, such as environmental protection and consumer awareness, necessitate the collaboration of multiple parties. While the rate of plastic use per capita in Vietnam is not the highest in the world, we are one of the countries that discharges the most plastic into the ocean, which is unfortunate,” said Mr. Le Anh.

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If quality is not controlled, recycling can be harmful to the environment and impede the transition to a circular economy.

The circular economy model is based on the principle of reusing waste as an input for production, thereby reducing waste generation and conserving natural resources.

The circular economy model, on the other hand, is only truly effective if the recycled products are of high quality and highly competitive. This is also a way to ensure that waste can continue to be used as an input in manufacturing.

Low-quality recycled products, on the other hand, make recovered materials more difficult to process and recycle, and they pose numerous potential hazards to consumers. Low-quality recycled products contribute to the loss of consumer sympathy, making it difficult to increase the output of recycled products.

In fact, many recycled products, particularly those made of plastic and nylon, are now on the market. These products are frequently transformed into disposable or everyday items such as tables, chairs, buckets, pots, and so on.

This is due to the fact that the impurities in the waste are not completely removed during the recycling process. Furthermore, some recycling facilities purposefully mix impurities in order to increase volume, reduce costs, and produce less durable and potentially hazardous products.

Currently, the amended Law on Environmental Protection specifies a policy instrument on extended producer liability (EPR), which requires manufacturers and importers to be responsible for recycling, treating, or contributing to the recycling and treatment of waste generated by product consumption.

According to Fausto Tazzi, Vice President of the Vietnam Packaging Recycling Alliance (PRO Vietnam), in order for the EPR tool to play its role in solid waste management, in addition to establishing a mandatory recycling rate, strict recycling quality control should be implemented.

Quality recycling solutions

According to PRO Vietnam, the rate of waste collection and segregation is a prerequisite for establishing a circular economy model. The stream of “clean” waste, once properly classified, reduces the risk of contamination during the treatment process while also helping to reduce costs and improve the recycling unit’s operational efficiency.

Improving collection and recycling rates as a result of consumer awareness and behavior. PRO Vietnam has set a goal of completing education and communication to change consumer waste behavior by 2025, laying the groundwork for a circular economy model.

Another factor that can have a positive impact on the quality of recycling and the expectations of the EPR policy tool is when businesses actively change product designs and use materials that are easy to collect and recycle.

In fact, many businesses have been doing this to demonstrate their commitment to the environment and society. Some PRO Vietnam members, such as Coca-Cola, La Vie, and Pepsico, have used transparent plastic bottles instead of colored plastic bottles, allowing plastic bottles to be easily recycled after use.

Furthermore, the capacity of recycling units and businesses influences the quality of recycling and the viability of the circular economy model. Competencies include the level of technology, recycling initiatives, and the recycler’s responsibility and awareness.

PRO Vietnam is currently collaborating with domestic and international enterprises, units, and organizations to increase recycling capacity. Dong Tien Paper Company, VEOLIA, URENCO, and the Rethink Plastic Project are a few examples of partners.

According to TheLEADER.

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Additional provisions on EPR are included in the Law on Environmental Protection, which was passed by the National Assembly in November 2020. Businesses will be directly affected when the detailed regulations on EPR go into effect on January 1, 2022, so it’s time for them to prepare for the implementation of EPR in Vietnam.

We invite you to watch a video about the perspectives and shares of some businesses in the packaging industry, which is one of six groups subject to EPR implementation under the new law. The video was created by IUCN and the Legal Department of MONRE as part of the Marplasticcss project, which was funded by Sida and the IUCN-PROVN Strategic Partnership Program.

? See more:

Extended Manufacturer and Importer Responsibility (EPR) is discussed by businesses – Vietnam Packaging Recycling Alliance (provietnam.com.vn)

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Duy Tan Plastic is the first Vietnamese company to receive an HSBC green credit package.


According to Mr. Nguyen Bao Quoc, Finance Director of Duy Tan Plastic Production Joint Stock Company, the company to build a 65,000 m2 plastic recycling factory in Duc Hoa district (Long An province) in order to meet the requirements of greening according to the world trend.

It is expected that after coming into operation from the fourth quarter of 2020, this will be the first factory in Vietnam to apply the bottle-to-bottles recycling technology, which means recycling scrap plastic bottles into new plastic bottles, FDA approved for use in food packaging. Production capacity is expected to be around 100,000 tons per year.

In the near future, the first phase of the project will be financed by green credit from HSBC bank, bringing it up to the global green credit standard and allowing it to access international capital markets in the future. This is also the first green credit granted by this bank to a Vietnamese enterprise out of a total commitment of US$100 billion to sustainable investment globally by 2025.

According to Mr. Tran Duy Hy, General Director of Duy Tan Plastics, the company currently generates VND 5,000 billion in revenue per year. During the recent Covid-19 epidemic, this business did not suffer too much loss, because it took advantage of the lower price of plastic, and at the same time, the field of packaging supply developed and a number of products were consumed as much as water. hand sanitizer, sanitizer…

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HSBC Vietnam will provide a green loan in phase one of the Duy Tan Plastic Recycling Factory project, which will require a total investment of up to $60 million USD by the Duy Tan Plastic Production Joint Stock Company (Duy Tan).

This will be the first green credit arranged by HSBC for a Vietnamese company out of a total of US$100 billion pledged by the bank to be used for sustainable financing and investment globally until 2025. As of the end of 2019, the bank had provided $52.4 billion in loan and sustainable investment financing.

The HSBC green credit financing program also aligns with the Vietnamese government’s national green growth strategy and the State Bank’s green banking development strategy.

The construction of Duy Tan’s plastic recycling factory is divided into three phases, with a total investment capital of $60 million USD. The green credit provided by HSBC to Duy Tan is the first step in the project’s first phase. After a year of operation, Duy Tan and HSBC will jointly re-evaluate the factory’s performance, make a decision to adjust, receive advice, and continue financing.

The factory, which will have a capacity of up to 100,000 tons per year, will also be the first in Vietnam to use the recycling technology “Bottles to Bottles.” Duy Tan’s project has gone through HSBC’s rigorous credit management and approval process for sustainable finance, which is overseen by HSBC’s Sustainable Lending Committee in Asia-Pacific, to receive this green credit funding.

According to data from the State Bank of Vietnam by the end of June 2019, outstanding credit for green projects is 310,600 billion VND, up 29% compared to 2018. Green credit balance mainly focuses on the field of green projects.

Green credit loans are primarily focused on green agriculture, accounting for 46% of total outstanding loans, renewable energy, clean energy 15%, and sustainable water management in urban and rural areas 11%. Sustainable forestry accounts for 5% of the total green credit balance.

HSBC is currently offering green credit for a variety of projects aimed at both individual and corporate customers. In particular, in 2019, HSBC launched green credit to assist individual customers in borrowing funds to install rooftop solar power systems. HSBC is also sponsoring a green office building in the heart of Ho Chi Minh City for corporate clients.

 

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