Impact of COVID-19 on Global Waste Management Market
The waste management industry is labor-intensive, and COVID-19 has long disrupted the labor supply, leaving the sector with wage adjustments, overtime hours, and various operational challenges. Waste management companies had to hire and train new employees to meet customers' demands, resulting in high operating costs.
1 . Global Waste Management Industry Overview
The waste management industry is comparatively mature and stable. However, customers within the industry are increasingly expecting that more of their waste material will be recovered, and those waste streams are becoming more and more complex. In addition, many countries, states within countries, and local governments mandate diversion, recycling, and waste reduction at origin and forbid the disposal of specific types of waste at landfills. Waste management companies monitor these developments to optimize their service offerings.
As companies, individuals, and communities seek more ways to be sustainable, waste management companies also come with a wide variety of services beyond their core business - collecting waste. The services include expanding traditional recycling services, increasing organics collection and processing, and expanding renewable energy projects to meet the evolving needs of a diverse customer base.
2 . Impact of COVID-19
COVID-19 contributed to significant global supply chain disruption and inflationary pressure on the goods and services that waste management companies purchase.
Labor and material shortages increased the repair and maintenance costs of machinery.
Supply chain constraints have also caused delayed delivery of fleet, steel containers, and other essential purchases to industry players.
Waste management services are dependent on third-party transportation services; such services have become more limited and expensive.
Waste management companies are currently experiencing margin pressures from commodity-driven business impacts, particularly from recycling brokerage rebates and higher fuel prices.
3 . Global Waste Management Market Forecast
As the global economy is coming out of the clutches of pandemics, the 2021 growth of Waste Management records significant change from the previous year. According to our latest study, the global waste management market size was USD 300.56 billion in 2021, which is expected to reach USD 413.64 billion in 2028, growing at a CAGR of 4.7% over the analysis period.