A big “thank you” to the many AORA members who contributed to our recent national industry survey.
You will recall our industry study, The Economic Contribution of the Australian Organics Recycling Industry, which was launched in March. The report mapped the current economic and environmental contributions of our industry.
In addition, the report also modeled the “what if” scenarios for the industry’s contribution at national organics recycling rates of 70, 80, 90 and 95% (as compared to our current national rate of 51.5%). Needless to say, the potential benefits are huge.
But that still left the question: how ready is our industry to expand to these higher organics recycling rates? The industry’s capacity to increase production is a key component of our national capacity to increase organics recycling rates – and to achieve the benefits this brings.
That’s why AORA committed to delivering a second industry study, in conjunction with the Federal and South Australian Governments: The Productive Capacity of the Australian Organics Recycling Industry. The study will launch a few weeks from now, and the data provided through our industry survey forms an integral part of it.
AORA will be running member webinars to brief you on the study, but in the meantime I am pleased to give you a sneak preview of some key results:
- Industry satisfaction with its performance is strong, with 3 in 4 businesses indicating they are somewhat, mostly, or very satisfied with their overall performance.
- The three best areas are:
- industry leadership
- business stability
- high productivity.
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Three areas for improvement are:
- profitability
- costs of production
- the opportunity for growth.
- The four largest obstacles to the growth of the industry are:
- Regulatory policy uncertainty
- Contamination of input material
- Government Policy (such as waste and recycling strategies)
- Business licensing and operating permits.
- Operational issues such as access to technology, labour costs, and logistics are minor obstacles to growth.
The report will provide an independent and robust assessment of the industry’s ability to step up as an economic, employment and environmental provider of benefit. It will also provide a direct link to our final (and arguably most important) piece of work: AORA’s National Industry Policy Document, which we will launch in coming months.
Together, these three works will answer the question: how do we get to 80% recycling of organics by 2025 and 95% by 2030?
As always, don't hesitate to call or email me if you would like to discuss any issues,
[email protected] or 0458 404 898.
Peter Olah
National Executive Officer