How does beneficial reuse add value for manufacturers?
In early 2017, The Meadows Group was approached by a producer to explore beneficial reuse options for a large lot of drummed surplus product.
Originally, the material was manufactured for a specific customer, and tailored to fit their process. However, after some internal changes and restructuring, the division overseeing the project was dissolved. To further complicate the situation, the intended customer had since closed its doors, leaving over 1,000 drums behind in a third-party warehouse.
Storage fees were estimated at over $5,000 per month for the surplus, and the manufacturer was ultimately faced with projected disposal costs of nearly $200,000 to remove the product from inventory (in addition to a spike in waste generation).
How can we avoid costly storage and disposal fees, while also moving our non-performing inventory as a viable product instead of a waste?
Once our team had thoroughly qualified the material, our beneficial reuse experts went to work.
After working through and analyzing multiple samples, conducting market surveys and research, and utilizing our over 80 years of combined industry experience to develop a marketing strategy, The Meadows Group found outlets that could use the total volume of our producer's material in similar industrial applications.
Once our team had coordinated and managed the shipment of the total inventory to our outlets, the producer experienced the real value of utilizing reuse options as an alternative to disposal. Here are some of the highlights:
- The Meadows Group was able to pay the producer over $12,000 for the surplus product in its original form.
- The producer saved over $60,000 per year in storage fees, and over $200,000 in potential disposal costs.
Beneficial reuse can offer tangible benefits to manufacturers in all industry sectors.
Whether you need to build your green corporate image, or reduce the amount of hazardous waste generated by your facility, our beneficial reuse experts can provide a boost to any environmental program.
Are coproduct streams, off-spec materials, or surplus impacting your bottom line? Our alternative use programs, powered by decades of experience and industry knowledge may be your solution.
Contact the beneficial reuse experts at The Meadows Group to discuss your unique situation.