The global industrial waste management services market is set for a period of stellar growth, with revenues rising from $387.40 billion in 2013 to $750.09 billion in 2020, according to a new report from market analysts, Frost & Sullivan.
The report found that regulations that facilitate a shift away from landfill towards more value-adding segments such asrecycling are lending momentum to the global industrial waste management services market.
The analysts added that the adoption of industrial waste management solutions will remain strongest in developed economies that have successfully introduced laws and implemented frameworks for industrial waste treatment.
Smart industrial waste management was also said to be becoming a defining factor in modern economies as primary materials become expensive, transportation costs increase, and waste handling and disposal costs escalate. Focus has turned to: lowering refuse generation as well as reducing carbon and water footprint.
“The benefits of a circular economy based on sustainable industrial waste management has prompted companies to establish efficient collection and processing systems, therefore fuelling market revenues,” commented Monika Chrusciak, energy & environmental research analyst at Frost & Sullivan.
“Preference for advanced waste treatment such as smart collection and sorting, recycling and incineration with energy recovery adds to market growth,” Chrusciak .added
According to the report, smart collection and processing are particularly important in a scenario where mixed material industrial waste presents low economic value, and requires excessive work and time to fulfil certain parameters.
Moreover, the long-term cost savings associated with internal reduction of waste and recovery of valuable secondary resources are expected by the authors to prove to be a boon in the long run.
However, the report also found that although developing countries have established preliminary regulatory structures for sustainable industrial waste management, the lack of consistency in governmental roadmaps poses a considerable risk for investors.
Developing countries were also said to base their waste management on cheap landfill sites, as new waste processing technologies involve high costs and specific skills for effective operation.
Nevertheless, the report said that the rapid industrialisation in these regions will lead to a large generation of waste and push industries as well as governments to deploy efficient waste processing platforms and infrastructure.
“In fact, developing markets will account for nearly half of market revenues in the global industrial waste management services space,” asserted Chrusciak.
“Asia-Pacific, and China especially, will offer a multitude of market opportunities for participants as waste treatment practices evolve,” she concluded.