Commodity Markets Update Glass Containers Joe Catt

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Information about Commodity Markets Update Glass Containers Joe Catt
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Published on January 9, 2008

Author: Prudenza

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Commodity Markets Update: Glass Containers:  Commodity Markets Update: Glass Containers Joe Cattaneo, President Glass Packaging Institute National Recycling Coalition 2007 Congress Denver, CO September 18, 2007 Slide2:  The Glass Packaging Institute (GPI) is the trade association representing the North American glass container industry. 8 member manufacturers 33 associate member supplier companies www.gpi.org 50 U.S. Glass Container Manufacturing Plants :  50 U.S. Glass Container Manufacturing Plants State # Per State California, Pennsylvania 5 Indiana 4 Georgia, Illinois, New Jersey, 3 North Carolina, Oklahoma, Texas Colorado, Missouri, New York, Virginia 2 Arkansas, Florida, Louisiana, 1 Massachusetts , Michigan, Minnesota, Ohio, Oregon, Washington, Wisconsin Glass Container Manufacturing 1997- 2006:  Glass Container Manufacturing 1997- 2006 Data reported in millions gross. Source: U.S. Department of Commerce Glass Container Shipments & Production Through July, 2007 :  Glass Container Shipments & Production Through July, 2007 Source: U.S. Dept. of Commerce, Bureau of the Census Data reported in thousands gross. One thousand gross = 144,000 2006 U.S. Glass Container Shipments By Category:  2006 U.S. Glass Container Shipments By Category Nearly 80% of glass container shipments are for beverages Non-Alcoholic Beverages Cosmetics, Fragrances, Pharmaceuticals (Other) Benefits of Glass Packaging:  Benefits of Glass Packaging Sustainable Minimizes the use of raw materials and energy Endlessly recyclable in a closed loop system Ensures natural freshness and taste Nonporous and impermeable Almost a zero rate of chemical interaction Does not deteriorate, corrode, stain or fade Nontoxic and FDA-approved Only mass-produced packaging material to be recognized by the FDA as “generally regarded as safe” (GRAS) What is Glass?:  What is Glass? Sand – 70-75% Soda Ash – 10-15% Limestone – 10-15% Additives – 5% What is Glass?:  What is Glass? Cullet – Recycled glass used at levels as high as 80% when available Glass Container Recycling:  Glass Container Recycling 100% recyclable Can be recycled again and again with no loss in quality or purity In 2005, 25.3% of glass container recycled Good for the environment recycling glass reduces consumption of raw materials, extends the life of plant equipment, and saves energy Lighter weight More than 40% lighter than 20 years ago. Benefits of Using Quality Cullet:  Benefits of Using Quality Cullet Over a ton of natural resources are saved for every ton of glass recycled. Energy costs drop about 2-3% for every 10% cullet used in the manufacturing process. For every six tons of recycled container glass used, one ton of carbon dioxide, a greenhouse gas, is reduced. Glass has an unlimited life, it can be recycled over and over again. Current Cullet Usage Criteria:  Current Cullet Usage Criteria Color Sorted: Clear, Amber, and Green Contaminant Free: no ferrous materials, ceramics, etc. Meets plant specifications as to particle size (usually 3/8 inch) Container Glass Only: no ceramic coffee cups, drinking glasses, mirrors, etc. 66 Cullet Processor Locations in 25 States:  66 Cullet Processor Locations in 25 States California 7 Ohio 6 Georgia 5 Pennsylvania 5 Florida 4 New Jersey 4 New York 4 Indiana 3 Oklahoma 3 Texas 3 CT, IL, KY, MA, ME, MI, NC 2 IA, MO, NE, OR, TN, VA, WA, WI 1 Optical Sorting & Ceramic Detection Add-On Equipment at Cullet Processor Locations:  Optical Sorting & Ceramic Detection Add-On Equipment at Cullet Processor Locations Hayward, CA Madera, CA Vernon, CA San Leandro, CA Los Angeles, CA Sarasota, FL Chicago, IL Franklin, MA Bridgeport, NJ Raleigh, NC Ontario, NY Mt. Pleasant, PA Bethlehem, PA Primary Markets for Quality Cullet :  Primary Markets for Quality Cullet Glass bottles and jars Fiberglass Secondary Markets for Cullet:  Secondary Markets for Cullet Fluxes/Additives Countertops and floors Landscaping Brick manufacturing Filtration Roadbed Aggregate Landfill Cover Bead Frictionators Tile Sources for Recycled Glass Containers:  Sources for Recycled Glass Containers Drop-off Curbside (often three mix) Unused inventory In-house cullet Bar/restaurant programs Bottle Bill (currently 11 states) Curbside Options:  Curbside Options Single Stream: Glass commingled with fibers and other containers Dual Stream: Glass commingled with other containers Source Separated: Glass collected separately from other materials States with Bottle Bills:  Hawaii States with Bottle Bills Challenges to Glass Container Recycling:  Challenges to Glass Container Recycling Collection and Quality Compaction Increase in single stream collection Processing and Quality Flow of materials Sorting equipment Negative sort Market Availability Uneven geographic dispersion of processing and end-markets Secondary uses and “diversion” are growing Cost Raw materials remain relatively inexpensive, abundant Glass Container Recycling: Critical Issues:  Glass Container Recycling: Critical Issues Availability Quality Cost Glass Industry Initiatives :  Glass Industry Initiatives Single Stream Best Practices Guide On-premise recycling resources GPI monthly E-newsletters Education program Single Stream Best Practices Guide:  Single Stream Best Practices Guide Multi-industry effort to identify and encourage best practices for single stream recycling Available online at www.conservatree.org Best Practices for Glass Container Recycling :  Best Practices for Glass Container Recycling Diversion is not recycling Avoid using cullet as landfill cover Retain glass size during collection and processing Avoid crushing cullet Reduce compaction Step up quality control Know market specification Conduct inspections Protect stored cullet; keep color separated Provide contract incentives for recycling service providers shared revenue or penalties prescribe acceptable end-markets Include specific recycling goals *Source: Conservatree, Single Stream Best Practices Guide, 2006 New Source: On-Premise Recycling :  New Source: On-Premise Recycling Goal: Consistent supply of high quality cullet from restaurants, bars, and hotels Practical problems: Incentives to participate Economics for participating businesses Glass collection infrastructure Location of glass container markets Benefits: Lower disposal costs Environmental payoffs Customer recognition On-Premise Glass Recycling Kit:  On-Premise Glass Recycling Kit Target audience: Bars, restaurants, and hotels Other audiences: Local recycling officials Recycling collection companies On-Premise Commercial Glass Recycling Kit:  On-Premise Commercial Glass Recycling Kit Kit Contents: Steps to set up a commercial glass recycling program “Do’s and Don’ts” poster for employees Order/Download: Recycling bin labels “We Recycle Glass Bottles” downloadable art Worksheet to tally amount of glass generated Model programs in U.S. communities On-Premise Recycling in North Carolina:  On-Premise Recycling in North Carolina ABC Legislation - Requires all ABC permit holders to recycle containers effective January 1, 2008 NC-SWANA ABC Recycling Workshops - Train the trainers workshop for recycling coordinators Promotional materials GPI, Land-of-Sky Regional Council and NC Division of Pollution Prevention developing bar/restaurant ads, web site (werecyclenc.org), and other promotional materials Model Programs: Orange County, NC:  Model Programs: Orange County, NC Partners Orange County Over 100 restaurants Collection 40 tons/month of color-separated glass bottles, cans, and plastic One restaurant recycles over 60% of its waste (about 24 tons of food and 26 tons of bottles and cans) to save about $3K/yr in waste hauling fees Model Programs: Fort Collins, CO:  Model Programs: Fort Collins, CO Brown Bottle Recycling Program Partners City of Fort Collins New Belgium Brewing Company Rocky Mountain Bottle Collection About 15 businesses Collected in 65 gallon polycarts 26.4 tons/year - 2006 2.3 tons/month - 2007 Amber content is +65% Model Programs: Colorado Springs, CO:  Model Programs: Colorado Springs, CO Partners Rocky Mountain Bottle Independent hauler Collection 60 tons/month Over 40 bars/restaurants and Ft. Carson Recycled bottles go back into shipping boxes Mostly brown glass; small amount of green/clear separated out Model Programs: Athens County, GA:  Model Programs: Athens County, GA Partners Athens Clarke County Solid Waste Department Athens Downtown Development Authority About 550 commercial businesses Collection Over 128 tons of commingled bottles and cans in 2003 Net cost to process recyclables $4.30/ton compared to $34/ton landfill Three mobile recycling stations/trailers are set out in three locations each evening 6-7 block area very dense (over 60 bars) Place in stations loose or clear bag Other Model Programs:  Other Model Programs San Luis Obispo County, CA - 100 bars/restaurants (will increase to 200 in 2007); 1.7 million beverage containers/yr Boulder, CO - over 400 businesses; about 3,000 lbs. of commingled containers/day Hickory, NC - about 14 bars/restaurant; one ton of source separated glass/week Tacoma, WA - about 20 tons/month glass from 370 commercial generators in 2003 GPI “Inside Glass Packaging” Monthly E-Newsletter:  GPI “Inside Glass Packaging” Monthly E-Newsletter What’s inside: News and trends Legislation Glass bottle recycling programs Organics and glass packaging Glass, sustainability, and the environment Glass Packaging Academic Program:  Glass Packaging Academic Program Lecture series Plant tours Interactive CD ROM Choose Glass Recycle Glass:  Choose Glass Recycle Glass www.gpi.org

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