Up to €10 billion worth of investments needed to grow recycling capacity at EU level says FEAD

A bale of plastic for recycling

European waste management federation FEAD has said that up to €10 billion (£8.8 billion) worth of investments is needed to expand the collection, sorting and recycling capacity at EU level. 

This is in response to MEP Mark Demesmaeker’s own-initiative report on the Plastics Strategy and ahead of the ENVI Committee’s vote on the Plastics Strategy on 10 July.  


The MEP’s report said that the strategy is a step forward for designing a new vision for plastics as part of a circular economy transition. 

However, FEAD believe that transforming the new plastics economy will require joined efforts throughout the plastics value chain, and that plastic products need to be designed for recycling to improve the quality.  

FEAD said that up to €10 billion (£8.8 billion) worth of investments is needed to innovate and grow the separate collection, sorting and recycling capacity at EU level.  

It added that the waste management industry is prepared to make the necessary investments if there are legislative measures ensuring an uptake of plastic recyclates.  

FEAD members welcome the amendments calling for mandatory rules on recycled content, as it hopes it will generate the demand for secondary materials and drive the needed investments in the system.  

From this, it also supports the idea of reduced VAT for products with recycled content, allowing recycling plastics to compete with virgin polymers.  

Quality standards, it said, should only be introduced in line with binding recycled content measures as it would ensure that investments for achievements higher standards will be economically justified.  

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