Transcript Composting, Compost Quality and Utilisation in the EU

"Using and Marketing Compost:
Strategies and Trends"
Josef Barth, ECN and INFORMA, Germany
www.compostnetwork.info
"Compost Marketing is Based
on Local Confidence"
How to create confidence of customers:
• Competent staff and adviser
(with green thumb)
• Brown nose marketing
(customers must smell compost)
• Standardised and quality assured products
• Based on clean products from separate collection
• Trustworthy recommendations for compost use
• Marketing like the peat and bark industry
www.compostnetwork.info
Expectations of
Compost Users
94 % of the
commercial
compost users
want to have:
A uniform, high quality product that is independently
monitored and accompanied by product use specifications
=> Quality assurance for compost production
www.compostnetwork.info
Quality Assurance and Labels for
Compost and Digestion Residues
UK
www.compostnetwork.info
QAS Monitoring in total:
620 plants with capacity of
9 million tons composting
and
2 million tons digestion
Quality Assurance and
Marketing
= compost with defined product properties is
marketable on a large scale
www.compostnetwork.info
EU Market Shares of compost
Sales and Market size
[in %]
1998/99
Austria
Bel- Ger- Den- Nethergium many mark lands
Landscaping
30
24
Landfill +
Restoration
5
5
351)
Horticulture
Italy
Marketsize
30
Large
19
30
25
13
-
5
43
10
40
5
6
5
3
-
Earth works
5
33
10
-
-
Hobby gardens
20
18
14
48
20
Large
Export
9
-
-
-
Very small
Miscellaneous
-
3
7
10
Agriculture +
Special culture
Small
20
Very big
Medium
50
Medium
Good EU Average
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Main Markets:
No. 1: Agriculture
• Standard qualities, often
fresh compost (D) or
digestion residuals
(D/SWE)
• No compost = official
recommendation
• Individual farmers can be
convinced
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Signs of a Future Approach?
Value of compost for soil quality and fertility increases
in agriculture – here example of Italy :
•
Region Emilia Romagna pays 220 A$/ha to use
compost and promote a build-up of carbon in
depleted soils
•
Region Piemonte pays 290 A$ € /ha to use up to
25 tonnes dry matter/ha in depleted soils over a
5 years’ time frame on arable land
www.compostnetwork.info
Main Markets:
No. 2: Landscaping
• High quality product for
e.g. potting soils,
growing media
• Product development is
necessary in accordance
with end-user requirements
• Solutions are required, not only compost
• Strong competition with peat and bark based products
www.compostnetwork.info
Main Markets:
No. 3: Private Gardens
• Standard qualities and special
products
• Large target group (= the Public)
• Important for compost image
• Expensive public relation
• Expensive packaging and
distribution
• BUT! Compost is supplied to raw material suppliers
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Main Markets:
No. 3: Private / Hobby Gardens
Examples for cost reduction
in sales to private customers
No work – no money - no dirt
Self service with multiway bin
www.compostnetwork.info
Main Markets:
No. 4: Reclamation outlet
• Till now:
• very big outlet for compost
• for lower qualities too (landfill covers)
• But for the future as a reaction of
the "compost landfilling":
• => compost according to the needs
= poor soils (limitation of K an P nutrients)
www.compostnetwork.info
EU Quality Ranges and
Sales Prices for Compost
High
quality
Quality
composts
compost
Greenhouses
Greenhouses
30
– 7020-40
A$
EUR
Nurseries
Nurseries
25
- 60
A$
EUR
15-35
Sports turf
turf
Sports
25 –15-40
70 A$
EUR
Landscaping
Landscaping
25
- 40
A$
EUR
10-20
Hobby
Hobby
. gardens
gardens
7EUR
- 305-20
A$
Org. farms
Organic
farms
3EUR
- 102-6
A$
Landfill cover
Landfill
cover
0EUR
- 6 A$
0-4
Agriculture
Agriculture
?0
- 60-4
A$
EUR
www.compostnetwork.info
Additional
specifications
Top soil
soilmix
mix
Top
15
25
A$
EUR 10-15
High price market
Low price market
Wineand
+ fruit
Wine
fruit
3EUR
- 6 A$
2-4
Standard
qualities
Two Marketing Trends
for Compost
Little or no marketing for high volume markets
that require only standard product quality,
such as agriculture
► Organic waste treatment plant
or
Specialised marketing for high quality compost products
supplied to high value markets e.g. growing media
- large range of value added products
- specialised, tailor-made mixtures
► Humus and soil production plant
► SMS points (Saturday Morning Service)
www.compostnetwork.info
Large Range
of Compost Products
Provide a large range of different compost / bark products
Bagged for residents
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Bulk for commercial clients
SMS =
Saturday Morning Service
SMS at sites provides everything what gardeners need on a
Saturday morning e.g. compost, bark, sand, stones, gravel
Bulk supply Drop-off area for garden organics Compost super market
www.compostnetwork.info
Recommandations and
Specifications for Use
Basic tool to develop compost markets if properly done.
In co-operation with end-user organisations!
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BlühendeCoffee
Kaffeefilter
Blooming
Filters
Marketing
with posters
Our soil
Tasty Green Cuttings
Our soil
www.compostnetwork.info
creates benefit
creates benefit
Space for
logo & address
Marketing: Advertisement
The more healthy the soil, the better the harvest
The Power of Compost
Combined advertisement by several producers/plants
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Professional Marketing Competitive to Peat/Bark Industry
FLORATOP compost products presentation in a
supermarket chain. Return of up to 70 Euro/cbm!!!!
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Marketing lessons learnt
► Marketing must be competitive with peat/bark
It should comprise:
• Market research and analysis of the regional market
• Establishment of a market profile, regionally modified
• Development of various product types and qualities
• Sales activities and sales promotion
• Information and advice regarding product use
• Public relations work to raise awareness and image
► This can't be supplied by each individual plant
Support and co-operation is required!
www.compostnetwork.info
Producers Co-operative VKN
3 Bio- + 6 Green waste plants - 100 x 150 km area
40.000 t of compost - 70 % to agriculture,
20 % for landscaping, 10 % for residential gardens
Advantages of Central VKN Office
1. Cost savings by bundling of
activities for
Segeberg
Stormarn
Pinneberg
Hamburg
- Application advice
- Acquisition of customers
- Purchase and sales
Herzogtum
Lauenburg
- Production control
- Authority contracts
Transport distances
up to 50 km
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2. Uniformity of products and prices
3. Common PR and advertisement
Conclusions of
European Experiences
• Compost can be marketed on a large scale, if
• end-user needs are met,
• adequate quality assurance is provided
• local or regional marketing aspects are utilised,
• similar product development and marketing efforts are
undertaken as is the case in the peat and bark
industry
• and co-operations are realised.
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It is never too early to
start with compost marketing
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