Tianli Magnet Technology

Food waste treatment refers to the activities and actions required to manage food waste from the generation to its final disposal, including the collection, transportation, treatment, waste resource utilization, supervision and supervision of food waste. Two widely used food waste treatment methods in China are composting and anaerobic decomposition. With the advantages of high economic efficiency and small land use, anaerobic decomposition has always been the mainstream treatment method, and it is expected to be further promoted in the future.

China's rising income levels have increased the purchasing power of residents. Chinese residents are now more willing to eat out, stimulating the booming development of the Chinese catering market. The growing catering market has led to a substantial increase in the amount of food waste. The amount of food waste generated from residential and commercial areas increased from approximately 66.8 million tons in 2013 to approximately 82.6 million tons in 2018, with a compound annual growth rate of 4.3% from 2013 to 2018. Most of the food waste produced in China remains unsorted and is discarded in landfills, processed into animal feed or reprocessed into edible oil. In the foreseeable future, the amount of food waste generated is expected to maintain a similar upward trend, reaching approximately 100.6 million tons in 2023, with a compound annual growth rate of 4.0% from 2018 to 2023.

The market size of China's food waste disposal market. With the increase in food consumption and the development of the catering market, the amount of food waste collected from residential and commercial areas increased from approximately 28.7 million tons in 2013 to approximately 46.6 million in 2018 Tons, the compound annual growth rate from 2013 to 2018 was 10.2%. Most of the food waste produced in China has not been sorted, and is disposed of in landfills, processed into animal feed or reprocessed into edible oil.

Since 2019, the waste sorting policy has continued to exceed expectations, which will promote the return of food waste and kitchen waste to the normal channel. The collection of food waste is expected to maintain a similar upward trend and reach approximately 71.1 million tons in 2023, from 2018 to 2023. The compound annual growth rate is 8.8%.

Data source: Frost & Sullivan, compiled by China Business Industry Research Institute

The food waste disposal market is still in the early stages of development. Existing food waste treatment facilities adopt harmless and sustainable methods such as anaerobic decomposition and hydrothermal treatment. The processing capacity of food waste increased rapidly from approximately 9,700 tons per day in 2013 to approximately 21,900 tons per day in 2018, with a compound annual growth rate of 17.7% from 2013 to 2018. With the support of the Chinese government and the improvement during the 13th Five-Year Plan period, the processing capacity will reach approximately 56,700 tons per day by the end of 2023, with a compound annual growth rate of 21.0% from 2018 to 2023. At the same time, the food waste treatment rate (calculated by dividing China's food waste treatment volume by the collection volume) was 11.2% in 2018, compared to 7.7% in 2013, and is expected to reach 19.8% in 2023, showing that food waste treatment There is still huge room for growth in the market.

Data source: Frost & Sullivan, compiled by China Business Industry Research Institute

At present, the overall competition pattern of the food waste treatment industry is relatively scattered, and there are two main types of companies that have a strong layout: traditional incineration companies and waste treatment equipment companies. From the perspective of operational capacity, engineering equipment companies are relatively leading. Beijing Jiabowen has operational capacity of 2,210 tons per day; the total production capacity of waste incineration companies is generally high. China Everbright International is in the leading position with 3,025 tons per day. Enterprises give priority to the development of waste incineration. We expect that with the vigorous promotion of classification, incineration companies will accelerate the layout of restaurant and kitchen projects and actively develop into the entire industry chain.

Reprinted: Polaris Solid Waste Network