There has been much earnest debate coming out of the global mass media machine in recent months regarding the downturn in the world economy and who is to blame for the mess.
While it might be the case that the market for manufactured capital goods and consumer products has taken a hit, those of us in the scrap, waste and recyclable sectors face something far more challenging than a temporary reduction in sales targets. Because while those who run (and provide funding for) industry are notoriously short-term in their viewpoints, the need to improve recycling targets and reduce landfill must go on. To use the current economic ‘wobble’ as an excuse to cut back on recycling or power from waste projects would be criminal.
So what’s to be done? As an industry journalist I’m more interested in how our industry can move forward, rather than trying to find the bank executives who created the crisis. But of course the two are linked – every part of the waste sector needs either local commune taxes or commercial credit to fund new kit, and there is no doubt that the lack of funding is creating problems at present.
Or should we see the current situation as an opportunity? It is a strange fact that in some national markets, there is a strong hire or rental industry to provide an alternative to outright purchase. While in others, there is virtually none. Likewise, many operators fund a new fleet of trucks on either a long-term rental plan or some kind of loan, only to purchase hydraulic equipment for cash. When quizzed as to why this is so, the answer is often, ‘because we’ve always done it that way.’
In the current financial climate, we need to re-examine all the options. And be more adventurous. The waste industry needs to take advantage of new products, sooner rather than later. The politicians can say whatever they like about recovery, but unless newer, more efficient trucks, trailers, excavators, loading shovels, crushers and screens are purchased to deal with the waste materials our society creates, the health of our environment will be in free-fall before long. And that will be something that no amount of cash will be able to put right.
So all the more reason for waste industry professionals to get out there and see the latest products and services then? Absolutely! By a lucky coincidence, the Waste Management World annual Transport and Collection ‘special’ is contained within this issue.
Meanwhile in the USA, Waste Expo takes place in Las Vegas (9–11 June), while in Europe, the first newly re-branded Futuresource conference and exhibition takes place in London (9–11 June).
I hope you’ll be able to visit one or the other, and if you do, a discussion about procurement options should be as high up your list as specification or bottom line price. I’m convinced the involvement of a ‘contract rental partner’ could help boost sales of new equipment in this difficult time.
Malcolm Bates,
Transport Correspondent, Waste Management World
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