Metal forms a significant proportion of waste. But it’s also a material that can be recycled and reused again and again. This makes scrap metal both an environmentally useful material and also a great commercial opportunity, which is why companies need Metal Recycling Software.
The metal recycling industry is significant, and growing. According to the report Metal Recycling Market 2022, the global market for metal recycling was worth $217 billion in 2020 and is predicted to grow to $368.7 billion by 2030. This growth is driven by regulations and a change in societal attitudes towards waste. As a highly recyclable material, there is no reason for metal to end up in landfill.
Scrap metal comes from a wide range of sources, both domestic and commercial. The collection, separation, sale and recycling of metal is an industry in itself, providing a growing number of jobs on a global level. The report cites three main reasons for the forecast growth in the market:
Today’s methods for managing metal recycling means that both ferrous and non-ferrous metals can be recycled and made into new products. Where this process is well-managed using state-of-the-art facilities that meet regulations, and is overseen by effective scrap metal recycling software, the process is smooth and profitable.
However, this is not the case across the whole market, as waste and recycling companies and scrap metal specialists are often still working on a more disorganised piecemeal approach. This gives them a lower commercial benefit, where they could be taking advantage of the significant market opportunities available to them.
According to mining.com, “Smelting scrap metal for recycling requires significantly less energy than the initial process of refining raw materials into metals, meaning lower emissions.”
So recycling scrap metal reduces overall emissions and keeps the metal in the product chain. This is far better than the twin waste outcome of throwing it away: metal sitting in landfill, and the emissions caused by producing new metals.
Companies now have to show that they are supporting the circular economy by sourcing metals that are recycled – alongside other recycled materials. Not only is this a requirement in some areas, it’s also commercially savvy. Consumers are highly aware of environmental and climate issues and they are more likely to buy from a business that is considering its carbon footprint and investing in recycled materials rather than new ones.
We are moving to a circular economy – one where we reuse as much as we can to avoid plundering the earth’s natural resources for raw materials to make new products. Adopting a circular economy approach is critical if we are to fight the global climate emergency, and it also provides a serious commercial opportunity for companies in these industries.
Companies who are either thinking of entering this space, or who already carry out waste and recycling contracts and want to add a reliable additional income stream from scrap metal recycling, need to make sure they have all the right tools in place to help them.
The secondary scrap metal market is a good income stream for many waste and recycling businesses, and in order to improve margins and maximise profits. The best margins come from efficient processes, and the best way to get these started is with specialist, integrated metal recycling software.
It’s common for waste and recycling companies to be running several different types of software programs from several different vendors as part of their day-to-day waste management and logistics. This is often historical, or the result of merger and acquisition activity.
Whatever the reason, legacy software can hold your business back. A lack of vendor support, poor training, irregular updates and old functionality can actually do your business more harm than good.
So to build an optimised, efficient and competitive commercial offering in this sector, choose modern, integrated metal recycling software that’s designed by people who understand the industry and has all the functionality you need to integrate all the processes across your business. It will give you a slicker business model, confidence in your business processes and above all, a competitive edge in a growing market.
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