AN ECONOMIC ANALYSIS OF BIODEGRADABLE URBAN DISCARDS RECYCLING

Abstract

This research starts with restaurants that are large producers of biodegradable discards and are primary targets for recycling initiatives. Data collected in 120 restaurants in the medium-size city of Uberlândia, Brazil challenges the importance of this economical sector. Only 1.0% of the city’s biodegradable discards originate from restaurants. Iteration leads to individual residences with 48.7%, condominium buildings with 16.2%, shopping centers with 1.9%, institutions with 1.0% and fruit and vegetable merchants with 31.2%. Consequently, the research turns to initiating the reverse logistics and states, that biodegradable discards from restaurants, condominium buildings and fruit and vegetable merchants, together, can generate sufficient revenue for a composting operation to be economically viable. The collected data confirms that idea. With revenues originating from compost sales and avoided tipping fees, the study identifies a potential income of BRL 0.39 per kg of biodegradable discards collected and processed. This surprising result poses to the municipal administration the challenge of developing collection procedures and engaging private enterprises in the compost business.

Key words: biodegradable urban discards, recycling economics, reverse logistics, urban waste, urban discards recycling.