All scrap tires in Saskatchewan will soon be recycled by an American firm with the NDP saying a California company, who already recycles tires in the southern part of the province, now getting a contract to handle the north as well.
According to the NDP it will drive a long time Saskatoon firm out of the market.
“The Saskatchewan Party government has now effectively run a local Saskatchewan business out of the tire recycling market and given a monopoly to a California based company, all under the guise of opening up the market,” NDP MLA Meara Conway said.
Previously, Saskatoon’s Shercom Industries handled all tire recycling in the Saskatchewan.
“You know, we are disappointed in the organization. We are disappointed in the province. The narrative from the beginning was that they wanted a second processor in the province and for them to show their colours that they ended up with a single processor in the province just leaves us highly disappointed,” Shercom CEO Mike Richards said.
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Tire Stewardship Saskatchewan wanted two recycling facilities in the province, hoping it might enhance the amount of value added product manufactured.
“Essentially we’ve gone from one Saskatchewan company doing the work to one California based company doing the work,” Conway said.
Shercom hopes to save the remaining 100 manufacturing jobs in Saskatoon by importing rubber crumb from other provinces.
“So for the past year Shercom has had to import rubber from Ontario, Alberta and B.C. to the tune of about 22 to 25 million pounds of crumb rubber has come into the province from the other recyclers for us to continue manufacturing,” Richards said.
Tire Stewardship Saskatchewan says it used government expertise in seeking a recycler and that a selection committee chose the best proposal.
