With a global emphasis on environmental consciousness and the circular economy, demand for recycled rubber pallets has increased in the seven- billion-unit pallet industry, thereby sparking a licence agreement between local recycled rubber manufacturer Xtyre Global and New Zealand-based rubber polymer recovery and reprocessing specialist for end-of-life tyres (ELTs) REVYRE Global.

The agreement gives REVYRE Global the exclusive rights to produce a range of moulded goods from end-of-life rubber in Oceania and will enable both companies to work collaboratively with clients, partners and stakeholders to identify specific markets and product ranges.

Clients requiring positive environmental, social and governance outcomes from their end-of-life products and recycled content as part of their circular economy commitments are expected to benefit from this partnership, says REVYRE Global MD and CEO Shaun Zukor.

“ELTs pose a significant environmental threat by occupying space in landfills and releasing harmful chemicals into the environment. However, the world of waste management and recycling is constantly evolving, and recycling ELTs has seen significant growth in recent years.”

He describes the partnership as a “step in the right direction” for the waste tyre management and recycling industry, exemplifying a sustainable and circular economy.

“Clients can look forward to a future where end-of-life waste tyres are transformed into valuable resources rather than occupying space in landfills. We are excited about the potential of this partnership and the positive impact it can have on the environment and the economy.”

REVYRE Global aims to be operational from a manufacturing perspective in New Zealand by mid-2023.

The global tyre market is expected to produce about four- billion units by 2025, according to market research firm the IMARC Group.

While this amounts to more than 23-million tons of waste tyres yearly, as per Tyre Technology International Magazine, rubber supply is not always guaranteed in South Africa.

Xtyre Global CEO Oscar Filen attributes lack of supply to the absence of financial compensation for recyclers by the South African government, despite government collecting a tyre tax, which, in turn, dampens incentives to recycle.

Hence, Xtyre is collaborating with the Black Industrialists Fund to build two pallet- manufacturing factories and train entrepreneurs to help meet demand.

Further, the company offers more than 300 products made of recycled rubber, with plans to establish a manufacturing plant in New Zealand this year. New Zealand has a levy in place to cover the cost of equipment and provide a subsidy for rubber recyclers.

“We are in negotiations with parties in Australia, New Zealand, the US, the UK, India, Saudi Arabia and Kuwait to manufacture on the licence,” says Filen.

Xtyre has also received more global enquiries after being shortlisted to top five for two Global Recircle awards in the categories of best tyre recycler and best tyre-derived recycled product in 2021 and 2022 respectively.

The company has received inquiries for more than 400 000 rubber pallets locally, and more than one-million pallet inquiries for the US, prompting the company to upscale its offerings by licensing its manufacturing globally to meet demand, owing to inconsistency in local supply of rubber tyres.

One Xtyre heavy-duty rubber pallet uses processed rubber crumb recycled from 38 typical passenger tyres and saves up to 4 m3 of waste landfill.

“We view tyres as an infinitely recyclable raw material of the highest quality, replacing materials such as wood, plastic and concrete. The circular economy is part of our legacy. Our rubber pallets last for over 250 cycles, while wooden pallets last 10 cycles on average, so our pallets help reduce carbon footprints,” enthuses Filen.

Xtyre sources local waste tyres from recycling plants on mines and from the retreading industry.