Plastic recycling has become an industry imperative

In the challenging financial year 2021-2022, the EREMA Group, an Austrian supplier of recycling equipment solutions, delivered a remarkable report card. Revenues increased by 17%, with sales of €295 million and the number of employees increased to 840.

"Once again, we have achieved milestone growth with our technology!" "The current market environment remains challenging due to increased power, energy and logistics costs and supply chain disruptions," said Manfred Hackl, chief executive of Erema Group.

At Erema's Ansfelden, Austria, facility, 220 extrusion pelleting machines were manufactured and delivered to customers around the world during the 2021-2022 financial year. If individual components and modules such as filtration systems and fresh and deodorant technology are counted, the number delivered can reach 320 units. In addition, there are 53 extruders from Erema's Italian subsidiary PLASMAC. In the 2021-2022 financial year, the recycled pellet capacity of the extrusion granulation system delivered by Erema is approximately 1.34 million tons per year.

Large factories became the dominant trend

Erema said the current market segment for post-consumer materials is a clear indication of the trend towards larger plants, both for PET recycling and polyolefin processing. For example, the first VACUREMA®Basic 2628 T machine with an annual capacity of 40,000 tons was recently commissioned at a customer site in Brazil. The factory has a 10-meter-long special geometric screw with a diameter of 280 mm and a weight of 3.5 tons. The screw was developed and manufactured by Erema's subsidiary, 3S. "The manufacturing of this large-scale recycling facility is another example of Erema's advanced innovation and the resulting synergies." "Manfred Hackell said.

It is worth noting that the market demand for equipment of Erema's subsidiary UMAC is still strong. In addition to the impact of the general trend of plastic recycling, due to the tight trend of the procurement market, customers prefer to choose existing equipment and systems that can be delivered on short notice.

At the same time, companies that previously had little contact with recycling are becoming more interested in the topic. They are also increasingly interested in the topic by businesses that have so far had little contact with recycling.

Their needs for feasibility studies, consulting and engineering services, project management and turnkey projects are met by Irema's group company KEYCYCLE. KEYCYCLE has also obtained the patent and distribution rights from Cadel Deinking for an innovative ink removal technology, which is currently being further developed using the Erema Group's proprietary technology to form products that meet industry standards.

During the fiscal year, Erima's plant was modernised and a PLASMAC equipment demonstration centre was expanded in Milan. All companies in the Group have expanded their production plants as well as their call centers to meet the growing market demand. With the construction of the new research and development center in Ansfelden, Erema is continuously optimizing its architecture to prepare for the plastics recycling market of the future.

From niche to just-needed

According to Erema, plastic recycling is rapidly evolving from a niche market to a demand market. This is both a challenge and an opportunity for the entire plastics industry. The plastics industry and brands are increasingly recognizing the positive role that plastics can play in accelerating the transition to a climate-neutral, resource-efficient and competitive economy through recycling technologies. "It's not just collective goodwill, it's inspiring more and more very specific initiatives like the Circular Plastics Alliance." This is why the circular economy remains at the top of the agenda at K 2022." Erema said that at the upcoming K2022 exhibition, it will showcase its innovative technologies and professional services on a shared stand for the first time.