The plant will leverage advanced technology to develop food-grade PET/HDPE resin that will meet international standards set by the EU and adopted by many international companies
Plastic recycling plant will start the first phase of operations in 2024/25. (Credit: VietCycle.vn)
Recycling solutions provider ALBA Group Asia has signed a cooperation agreement with the plastic recycling company VietCycle to jointly construct a food-grade PET/HDPE plastic recycling plant in Vietnam.
The plant will leverage advanced technology to develop food-grade PET/HDPE resin that will meet international standards set by the EU and adopted by many international companies.
Expected to start the first phase of operations in 2024/25, the plant will have an estimated capital expenditure (CAPEX) of up to $50m.
Vietnam-based VietCycle said that the recycling plant will have a capacity of up to 48,000 tonnes per year.
The partnership will expand VietCycle’s network, which in turn will increase the number of informal waste collectors in Vietnam.
Additionally, the expansion will allow both ALBA and VietCycle to connect with disadvantaged collectors and improve their lives by offering training and social insurance benefits.
ALBA Group Asia chairman and shareholder Dr Axel Schweitzer said: “Our vision is a world without waste. At the same time, with our holistic approach and through the use of digitisation, we want to help sustainably improve the living and working conditions of collectors. With this project and the collaboration with our partners from VietCycle, we make a huge step in this direction.
“It will be an ideal combination of ALBA Group Asia’s global waste management and plastic recycling expertise and VietCycle’s knowledge of the local plastic network. The project will be part of a much-needed solution to Vietnam’s growing plastic waste problem.
“Further, it will create a significant number of green jobs and will improve many people’s social situation. For me personally, this is as important as the impact on the environment and the economic success.”
With headquarters in Hong Kong, ALBA Group Asia has operating facilities in China, Indonesia, and Singapore.