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Rejuvenating waste plastic bottles, a universal treasure

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by Michael F. Perera

Valuable resources are extracted every day to develop convenient products such as bottles, containers and more. As the extraction of virgin resources rapidly depletes the availability of such, it is high time a sustainable alternative is fetched, to ensure longevity and liveability for future generations.

With the prices for virgin material on the rise, the alternative, which is waste that can be recycled, is staring at us from the roadsides, canals and landfills. If we collect and recycle the waste plastic bottles around our island, the need to import approximately 1000-1300 tonnes of polyethylene terephthalate (PET) every month would significantly reduce, and help revive the environment and economy as well.

Sixty percent of the monthly PET plastic in Sri Lanka is circulated within the Western Province. Unless measures are taken to collect and dispose of waste plastic effectively, the requirement to import plastic will continue to rise, and the potential for a resilient circular economy and improved livelihoods in the recycling sector, will eventually disappear.

 

Bottle-to-Bottle: a better solution?

 

One of the easiest solutions is to bring plastic back into the system and recycle it to produce a bottle again. But, that’s hardly a reality. Why? Sri Lanka doesn’t legally allow recycled content in food-grade manufacturing.

According to the Extraordinary Gazette Notification No. 1160/30 of June 29, 2010 “any food in any package, appliance, container or vessel that has been made from recycled plastic” is prohibited. Thus, there is a fear around using recycled plastic in food-grade packaging in terms of quality, and impact on the health of the end consumer.

However, around the world, countries are embracing this concept, committing to world-class standards and implementing the bottle-to-bottle concept to efficiently curb plastic waste pollution, while also giving back to their economy and local communities. Developed and developing economies such as USA, Canada, Europe, Brazil, Bangladesh and Nigeria allows recycled PET in food-grade packaging, which scales down on the use of virgin resin in manufacturing.

For example, the level of PET bottle recycling in Japan is one of the highest in the world, and this was made possible by the Containers and Packaging Recycling Act (1995) which was implemented to promote the segregated collection and recycling of containers and packaging waste. The Government of Japan designates three types of recycling processes; Material, Chemical and Thermal recycling. PET plastics fall under the ‘Material’ category, where PET bottles are made into new PET products.

In Indonesia, Coca-Cola plans to set up a new recycling facility, which will help eliminate the use of virgin plastic. The facility will house a bottle-to-bottle grade PET recycling facility where the use of recycled plastic could reduce the amount of new plastic resin the company uses by an estimated 25,000 tonnes each year. Through this venture, Coca-Cola hopes to play a critical role in supporting Indonesia’s plastic waste management issue, while creating an impact on the country’s circular economy as well.

Moreover, in evident efforts to save foreign exchange and successfully battle against the war of pollution, the bottle-to-bottle concept is approved in many countries. The case in Sri Lanka should be no different. As this concept is also approved by The United States Food and Drug Administration (FDA), Lankan authorities should follow suit and save valuable foreign exchange by converting waste PET back to a bottle. Currently, Sri Lanka spends up to USD 1,550 per ton, per month in foreign reserves for the importation of PET plastic, where approximately 1000-1300 tons of PET is imported per month.

Additionally, recycling PET bottles to their original form can be done more than 7-8 times, where the process is much more affordable and less harmful to the environment, as PET plastics produce three times less CO2 in production when compared to an alternative material such as glass.

Using modern and advanced machinery in the recycling process, the intrinsic viscosity (IV) level, which is the strength of a bottle, will not only be kept stable, but increase as well.

So if the underlying benefits are clear and extremely advantageous to all Sri Lankans, why hasn’t this concept been implemented?

 

Waste management: a need for stronger reform

 

In a holistic point of view, one of the biggest issues in Sri Lanka’s waste management system is the poor implementation of proper waste collection. From rural households, to the urban West, to the authoritative bodies in the country, a responsibility to segregate and dispose of plastic waste appropriately must be indoctrinated.

Primarily, every household should ideally have four separate designated bins to collect organic waste, paper waste, glass and metal waste and plastic waste. This way, collectors can collect the less contaminated plastics and give it to the recyclers.

In Japan, households are encouraged to sort their waste at home as they are provided with specific containers for PET bottles, PS foam containers, and PP bottle caps separately, instead of mixing them with other plastics. They are further encouraged to utilise segregated disposal methods such as PET bottle shredders provided at supermarkets for consumers to dispose of their used PET bottles, after which they can collect store credit or shopping tokens. Japan’s impressively high plastic recycling rate is owed to its local Governments’ sorting rules, which are some of the strictest in the world.

In Sri Lanka, most people look up to the Government to address this issue, but truth be told, the infrastructure and practices in place are outdated and inefficient. In essence, the local Government’s policy decisions in the waste management and recycling arenas have been extreme, often overlooking the long-term economic and environmental benefits that could be availed, in favour of an ‘easy-fix’ ban.

Local authorities are also a key stakeholder in ensuring a proper and efficient waste segregation and management system. Their support in raising awareness and imposing strict rules and penalties to maintain proper waste segregation will not only empower the local recycling industry, but also reflect well as people now want to recycle, but the issue prevails in collection efforts.

Therefore, it is vital that the local communities and the Government take a strong stance in handling the country’s waste management issue, as the long term economic and environmental benefits definitively outweigh the complications and issues created by either neglecting the concerns in the local waste management and recycling sector, or simply chucking the problem under the rug with another ‘ban’. It is critical that waste management efforts are strengthened so that waste plastic makes its way into the recycling economy. An easy solution to the plastic waste issue is also to have plastic go back into the system. However, this is currently prohibited in the country as it has been gazetted as mentioned above. Allowing recycled material to be used in food-grade packaging will further increase the demand for plastic recycling, a critical priority in our island nation.

(The writer is the chairman at CMC Engineering Export GmbH, a member of the Melchers Group, engaged in importing an extensive range of technical products from quality suppliers from Europe and Asia, and is also a Past President of the Institute of Packaging)



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Oil prices fall amid mixed signals on US-Iran peace deal

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Vessels sail in the Strait of Hormuz, Iran, on May 22, 2026 [Aljazeera]

Oil prices have fallen sharply amid tentative hopes for a deal to end the US-Israel war on Iran.

Brent crude, the primary benchmark for global oil prices, fell about 5 percent on Sunday as US President Donald Trump gave mixed signals on the prospects for a permanent end to the conflict.

Brent futures for July stood at $98.47 a barrel as of 01:05 GMT, down about 9 percent from a month ago but still up by more than a third compared with before the start of the war.

Japan’s benchmark stock index, the Nikkei 225, surged more than 3 percent in morning trading, hitting an all-time high after closing at a record peak on Friday.

Trump said in a social media post on Sunday that negotiations with Tehran were proceeding in an “orderly and constructive manner”, but he had instructed officials “not to rush into a deal”.

“Both sides must take their time and get it right. There can be no mistakes!” Trump wrote on Truth Social.

Trump’s remarks came after he raised hopes for a breakthrough on Saturday by announcing that a deal had been “largely negotiated,” with the terms including the reopening of the Strait of Hormuz.

“Fundamentally, there is no change to the underlying picture, where 10-11 million barrels per day of crude oil continue to be shut-in for every day the Strait of Hormuz remains shut,” June Goh, a senior oil market analyst at Sparta in Singapore, told Al Jazeera.

“However, markets are expecting a gush of 100 million barrels of crude oil from the stranded ships to flow out once the deal is in place.”

Goh said markets are likely to remain on edge for some time after any deal is finalised.

“Sparta estimates still about three to six months required to get everything back to status quo, including time to bring production and refineries back online,” Goh said.

Iran has effectively blockaded the strait since the start of the war in late February, disrupting about one-fifth of the global oil trade.

The US has imposed its own blockade of Iranian ports since mid-April, further disrupting commercial shipping in the waterway.

In his Truth Social post on Sunday, Trump said the US blockade would remain “in full force and effect until an agreement is reached, certified, and signed”.

[Aljazeera]

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Strong demand for government securities signals caution over Sri Lanka’s broader economy

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Investor appetite for Sri Lanka’s government securities strengthened sharply during the week ending May 22, with the Treasury Bill auction attracting bids amounting to about 1.7 times the offered volume, while secondary market transactions in Treasury Bills and Bonds surged 22.8 percent from the previous week, according to the latest weekly report of the Central Bank of Sri Lanka.

The renewed demand for government securities appears to reflect a growing preference among investors for safer and more liquid assets at a time when several segments of the economy are showing signs of uncertainty despite the broader macroeconomic recovery.

A market analyst told The Island Financial Review that the rise in demand for Treasury securities is likely driven by a combination of factors including rising inflation expectations, weakening equity market sentiment, currency depreciation pressures and investors may be attempting to lock in currently attractive yields before any further decline in market interest rates.

“The National Consumer Price Index-based headline inflation accelerated to 4.7 percent in April from 2.4 percent in March, while core inflation also rose to 4.4 percent. Such inflationary pressures may have encouraged institutional investors to lock into relatively attractive government yields before any future market volatility emerges,” he said.

At the same time, the Colombo stock market came under pressure during the week, with the All Share Price Index falling 4.26 percent and the S&P SL20 Index declining 3.55 percent.

The analyst said that part of the funds flowing into government securities may have shifted away from equities as investors sought more predictable returns.

“Another important factor supporting government securities is the persistent surplus liquidity in the banking system. The outstanding market liquidity remained in surplus at Rs. 141.27 billion by May 22, although slightly lower than the previous week’s Rs. 156.8 billion. Excess liquidity typically pushes banks and large institutional investors toward government debt instruments, particularly when private sector credit expansion remains subdued,” he noted.

“According to the data, foreign holdings of Treasury Bills and Bonds declined by 3.32 percent during the week. This suggests the recent demand surge was driven largely by domestic investors rather than foreign inflows, underscoring strong local institutional confidence in government-backed instruments,” he added.

In conclusion, he noted that the strong oversubscription at Treasury auctions reflects growing market confidence that Sri Lanka’s domestic debt market remains one of the few relatively stable investment avenues amid external vulnerabilities and domestic realities.

By Sanath Nanayakkare

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INSEE Lanka powers ‘Build Sri Lanka Exhibition 2026’ as corporate sponsor

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INSEE Lanka, Sri Lanka’s fully integrated cement manufacturer and market leader, took center stage as the Corporate Sponsor of the Build Sri Lanka Housing & Construction Exhibition 2026, organised by the Chamber of Construction Industry of Sri Lanka (CCI). The partnership showcases INSEE’s commitment to advancing the country’s construction sector through quality, sustainability, and industry collaboration.

The exhibition was held from 22-24 May 2026 at BMICH. Stakeholders representing different sectors of the Construction Industry and international participants will be present.

As Sri Lanka’s construction sector enters a new era, the need to unite, innovate, and collaborate has never been greater. Build Sri Lanka is recognized as one of the industry’s most influential events and brings together the full construction value chain including manufacturers, suppliers, architects, engineers, developers, and homeowners into one dynamic platform.

Build Sri Lanka also plays a vital role in bridging industry knowledge with public understanding, enabling informed decision‑making for the construction ecosystem.

For INSEE Lanka, the exhibition is an opportunity to showcase capabilities to contribute to shaping the future of construction in Sri Lanka. Participation also highlights a dedication to drive progress to benefit the sector and the country, creating lasting value for communities and the environment.

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