E-recycling-issues-and-solutions

E-WASTE RE-CYCLING – BUSINESS OPPORTUNITIES

E-waste typically includes discarded computers and components, cathode ray tubes (CRTs), printed circuit boards (PCB), mobile phones, headphones, wires & cables, and white household goods such as liquid crystal display (LCD), plasma TVs, ACs, refrigerators etc.

As per Industry body ASSOCHAM, India’s e-waste generation is likely to increase by nearly three times, from the existing 18 lakh MT per annum to 52 lakh MT per annum by 2020 at a compound annual growth rate (CAGR) of about 30%[1].

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Despite increasing number of registered recyclers/dismantlers in the country and large volume of E-waste generated, only about 5% of it is processed through formal sector. The remaining is either donated or goes to Kabadiwalas.

For example, although Hyderabad generates about 32 000 metric tonnes of E-waste annually[2] and total annual capacity of Hyderabad’s major recyclers is approximately 20,000 MT per annum (As per list of TSPCB-registered Dismantlers,) the formal sector recyclers do not get adequate waste.

The biggest e-waste recycling market in India is Delhi and approximately 30% to 40% of the e-waste in India lands there.

Process

The figure below depicts the step-by-step process for recycling e-waste.

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Current Players

The total number of registered E-waste recyclers in India is 159, whereas Hyderabad has 4[3].

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Capital Expenditure (CAPEX) for Various Options

E waste recycling chain begins with a collection centre, which can be set up for Rs. 10 lakhs. However, standalone collection centres are not encouraged to register, unless they are being set up by a recycler/refurbished or an electronic product manufacturer.  A collection centre combined with a dismantling unit can be set up for around Rs. 40 lakhs.  In India, recycling is restricted to separation of Metal and Non-metal and granulation, as the technology for extraction of precious metal is not economical.

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Regulatory Requirements

The industry is governed by e waste rules which specify the approvals and infrastructure requirements. The approvals need to be obtained from State pollution control body.

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The e waste sector has grown at a slow pace over the last five years, largely due to lack of awareness about e waste rules,  absence of strict guidelines for disposal of e waste and challenges from the informal sector recyclers who are able to offer a better price for the waste. However, the regulations around e waste are expected to tighten and would bring unorganised sector into mainstream.

Opportunities for a New Enterprise

While opportunities for e waste recycling are only expected to increase in future, profitability would depend on the value addition done by the enterprise.  Therefore, aspiring e waste companies would also need to build skill sets in e waste segregation and in identifying reusable waste. We believe that

  1. Collection centre as such will remain an un profitable proposition, as just collecting the waste does not provide enough value addition/margins
  2. Dismantling can be a profitable option if you are able to establish a network of waste collection centres (perhaps from the unorganised sector) and develop skill sets to identify reusable waste
  3. Setting up a refurbishing centre, where salvaged computers/phones can be repaired using new or old components should also be attractive.
  4. Recyclers would need a large network of collection centres or need to import waste to ensure capacity utilisation.

How we can help you?

We can help you set up E waste recycling unit through a number of services including

  • Market viability assessment
  • Technical consultation and
  • Project execution support.

Reach Us

Write to us: bchhatre@finetrain.comadmin@finetrain.com

Call us: 800 888 4932 /9032398367

Visit us: www.finetrain.com

 

[1]Source: The Hindu – article dated at June, 2016

[2] Source: ASSOCHAM-Frost & Sullivan study, April, 2016

[3]Source: List of Registered E-Waste Dismantlers/Recyclers in the country (as on 29-12-2016)

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2 Comments

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