Showing posts with label sales. Show all posts
Showing posts with label sales. Show all posts

Seven Secrets Of SECONDHAND Professionals - A Guide thru Adam Minter's Dilemmas

Blog 1,430. Fresh on the media blitz of author/journalist Adam Minter's second blockbuster - Secondhand: Travels in the New Global Garage Sale - there are a lot of questions about how to deal with the growing mountains of secondhand stuff.

First, a shameless self-promoting plug. Based on my experiences - Africa Peace Corps volunteer 1980s, grandson of Ozark hillbilly families with no electricity or running water, tales-of-the-Depression-dinnertable-correspondent, used electronics recycling company entrepreneur, and former state Recycling division director (MA DEP) - I've had a chance to answer more than a few dozen of Adam Minter's questions over the years.

In fact (shameless plug), we met ten years ago next month. December 1, 2010, kicked off a period of "dueling banjo blogs", when Adam was writing about secondhand and scrap markets from Shanghai (ShanghaiScrap.com).  Here in Vermont, I was writing blog about my heroes in emerging markets, telling positive stories about differently abled poor people ingloriously described as "primitives" by white savior barbies who insist all used electronics be shredded rather than traded, and who described the purchases of secondhand stuff "illegal dumping".

[The concluding 2 chapters of his book are a distillation of ten years of correspondence between me and Adam, including his 8 trips with me to Ghana, Vermont, Boston, and the Bronx NY.]

Yesterday, before going on air (NPR On Point), Adam sent me an email reminding me of that inspiration. We met when he had just given a shoutout to the Best Recycling Blog in the World. Shameless plug, but I'll take it again, because the blogs he was attracted to were about racial profiling of secondhand reuse markets as "primitives". I'm proud that he has carried that message forward in Secondhand, and has joined the fight for Right To Repair, and against shaming secondhand trade with poverty porn.

Meet Adam in Person Thursday Nov 14 at University of Vermont Davis Center.


SEVEN SECRETS OF SECONDHAND PROFESSIONALS
A Guide Through Adam Minter's Dilemmas

Triage.  At Good Point Recycling in Middlebury, Vermont and Brockton, Massachusetts, our 40 staff have to manage up to 500,000 pounds per month of used electronics. A few of those devices are recently "electively upgraded", with a good resale value. But alas, like by Minter's other Secondhand firehose drinkers (Goodwill, Salvation Army, Japan's BookOff) we find that the vast majority has been in a closet for way too long. We send very little (5%) to the dump - mostly Ikea-grade wood from older electronics. But most of the items are going to be de-manufactured or shredded into little pieces of copper, aluminum, glass, black plastic, white plastic, circuit boards, etc.

There is a lot of value, a lot of waste, and a lot of emotional baggage. Fortunately, some things are easier than we make them out to be.

So there's a training program for the staff, based on the concept of "TRIAGE". There's a first sort, to get stuff to the department where there's an expert in that stuff (usually, de-manufacturing). Then there's a "second sort", which may mean testing the electronics to see if they work, looking up demand for them online, or removing 36 screws with 8 different screwheads using power drills. Sometimes, with things like "vintage" or antique electronics, or items that might have a hazard like lithium battery, there's a third sort, or reason to ship the third sort equipment to a different electronic specialist.

And also this hits home... All of us eventually are called to sort and settle our loved ones possessions.  Last month I flew to my 77 year old mother's home in very rural Marshal Arkansas. 29 years before my dad passed away in 2017, he had moved his own mothers STUFF from his super revered grandfather's home in Taney County Missouri. I wish I'd had 40 employee company when he did that, a lot of valuable antiques were lost, and dad  tried to save a lot of things that had only sentimental value.

Dad moved a few tons of those things to an abandoned house on their new property in Marshall, down the hill from mom's.  As giant oak trees are wont to do in Arkansas wind storms, one had sliced the abandoned house practically in half, and by the time I got there several rains (and a couple of meth-heads) had been through the place (one methhead kindly forgot all the silverware in a cottage cheese bucket near the door, probably set it down and couldn't find it again).  Anyway, I came down as a professional to "TRIAGE" the damage, and cherry pick the 20% of non- ruined stuff worth saving.

The thing I'm most grateful for finding in the destroyed home was a wood carving by my grandfather, Clarence Fisher of Ridgedale, Missouri. He taught me early on about quality, repair, and the good-enough market. He was probably born to the poorest hillbilly family in the county (his father did not read or write, signed his name with an "x"). A self-taught carpenter and subsistence farmer, he left a deep imprint on me. Adam Minter had a similar relationship with his own grandfather.

The carving I salvaged from the house is the lower one (the top carving Pa gave us as a gift, it was his last carving). He told me he was worried he might not be able to do one for everyone in the family. But later it turned out he had an idea, to make a wood carving template, so he could "mass produce" them, or some other carpenter could.  That lower one I found on the floor of his daughter (my mom in Arkansas) in the house the tree destroyed.


Adam is going to get a lot more coverage this month - C-SPAN, NPR Marketplace, and Fresh Air. And check the reviews so far in Nature, Publishers Weekly, Waste Dive, Recycling International, and NPR to name a few.  It's a great read, and if you want to hear some secret advice on the dilemmas he addresses, directly from a Reuse Pro, read on.

Europe (and INTERPOL) Focus Still Explained by "Strategic Metals"?

INTERPOL announced 30 days of "recycling crime" enforcement this week.

On this I will give them points - They are targeting automobile "recycling crime" and waste exports, and not as many of the photos seem to show reuse or Tech Sector imports. I believe Fair Trade Recycling (WR3A) has been effective in reducing the enforcement agency's obsession with "e-waste exports".


The photo of lead-zinc ore for sale from Africa's most toxic mine (Kabwe in Zambia) is apparently legal.  There's no law targeting the most toxic activity on the planet, because it isn't "waste"... so there is no fetish attached to it.

I love INTERPOL's focus on tigers and elephants and shark fins and ocean dumping. I'm enthusiastic about illegal forestry and charcoal trade. But what explains INTERPOL's strange obsession with recycling, when MINING is so much worse for Africans and the planet?

Mining lead-zinc ore from Africa's forests, for sale to Asia and Europe, is legal.

But it is apparently not legal for Africans to buy back scrap metal?

Used "E-Waste" Exports: United States International Trade Commission.

Report from United States International Trade Commission.

Report on Export of Used Electronic Products. This information has recently been updated, and is now available.

The U.S. International Trade Commission announces the release of


Used Electronic Products: An Examination of U.S. Exports

USITC Publication 4379
Investigation No. 332-528 


"End Uses of Working U.S. UEP Exports

"An estimated 60 percent of U.S. UEP exports (by value) were exported in tested, working condition in 2011. While it is not always clear whether whole goods shipped to developing countries are intended for resale or recycling, available information suggests that they are most likely resold in working condition where possible, because most working UEPs (particularly more recent models) have a higher resale value than the recoverable materials they contain. According to one study, for example, nearly 90 percent of used personal computers being imported into Peru are resold rather than dismantled for recycling or raw materials, largely because their sales value intact surpassed that of their component materials.11 Similarly, in Ghana, 90 percent of UEP imports in 2009 were either in working condition (70 percent) or repairable to be resold (20 percent) (box 5.1).12 Thus, the end use for most working and repairable personal computers, cell phones, and other UEPs that are exported is initially a secondhand market."

(Note: The other 40% includes separated scrap and formal recycling)


Summary: 




U.S. sales of used electronic products (UEP) in 2011 were valued at $19.2 billion, and U.S. exports of such products in 2011 made up 7 percent of total U.S. UEP sales, reports the U.S. International Trade Commission (USITC) in its new publication.
Completed at the request of the U.S. Trade Representative, the report is based on data collected through a nationwide survey of 5,200 refurbishers, recyclers, brokers, information technology asset managers, and other UEP handlers. The report covers the year 2011 and focuses on audio and visual equipment, computers and peripheral equipment, digital imaging devices, telecommunication equipment, and component parts of these products. The Commission's findings include:
·         UEPs are collected from consumers and businesses, sorted by value, then either refurbished and resold as working electronic equipment or disassembled into working parts or scrap commodities (metals, plastics, and glass) that are resold as manufacturing inputs in the United States and abroad.

·         The top five destinations for U.S. UEP exports in 2011 were Asia-Pacific countries (primarily Korea and Japan), Mexico, India, Hong Kong, and China, accounting for 74 percent of exports. Just over half of U.S. UEP exports were shipped to countries that are members of the Organisation for Economic Cooperation and Development (OECD).

·         Whole equipment for reuse accounted for the largest share of U.S. exports by value in 2011, and tested and working products represented the majority of U.S. exports of whole UEPs.

·         Refurbishing and repair enterprises accounted for the largest share of U.S. exporters of UEPs by value, followed by enterprises involved in wholesaling, brokering, or retailing.

·         Measured by end-use of the products, commodity materials intended for smelting or refining accounted for the largest share of U.S. exports by weight (43 percent) in 2011.

·         U.S. regulations in place in 25 states generally reduce exports by requiring electronics manufacturers to collect used products for recycling. Industry certification programs also likely serve to limit U.S. exports of UEPs. In contrast, limited U.S. capacity to process UEPs in two segments of the industry: cathode ray tube (CRT) glass and final smelting – create incentives to export CRT monitors, CRT glass, and circuit boards destined for smelting to retrieve precious metals.

·         In developing countries, demand for UEPs exported from the United States is strong, but the Basel Convention and some country regulations may limit such exports, since many developing countries agree not to import nonworking UEPs from OECD member countries.

View the report at: http://www.usitc.gov/publications/332/pub4379.pdf


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Banning the Exportation of Ladders


We would be heartless to ignore the images.   Poor child workers, huddled over fires, stoked with the coals of yesterday's technology.   As westerners spend more and more lavishly on shiny smart phones, flat screens, and tablets, with the world's wiki-media at our fingertips, it seems apt to pause and think about the impact of the wealthy's consumption on the planet's resources, and of the worlds poor, left seemingly farther and farther below us, inside a muddy pit of toxic fumes.

Photographers like Pieter Hugo capture the wet irritation in the eyes of the black teenager.  Filmmakers like David Fedele slowly let the reel turn and record the images of kids trying to make a living off of the scraps of electronics once imported into their cities.

Cairo, Lagos, and Accra, the megalopoleis of urban growth, stream with cell towers and internet today.  But the poor just outside those cities, at their unlined, unregulated, unspoken dumps, seem to stretch their arms out of a moat.  Their slow effort to climb out of poverty, through urban mining, makes Europeans and Americans feel guilty, ashamed of our wealth.  Reminded of these "poster child" recycling workers, seemingly without even boots to lift as they climb, we want to check a box.  We want to say we are certified.  We want to pass a law, a ban, to address the unfamiliar black faces hauling too familiar CRT televisions, VCRs, and refrigerators.  To say we have done our part for Africa and change the topic.  Turn the page, please, make the images go away.

There are indeed many important topics in the so-called "third world".
  • Endangered species poaching.
  • Sex trade.
  • Toxic alleuvial gold mining.
  • Blood minerals.
  • Crime.
  • Despotism.
  • Child soldiers.
How much of our time should we devote to "e-waste"?  Where does it belong on this list?

2011 Display Device Price Freefall

Market Report on Used and Refurbished LCDs

The used CRT display device market has been on a slide for some time.  We have one of the only, and best, CRT refurbishing factory account purchase orders (which includes certified recycling of incidental breakage and parts recycling).  But the orders there have been cut from 180,000 units per month in 2006 to 5,000 units per month in 2011.

Part of that pressure comes from supplies from within Asia itself.   Office buildings in Hong Kong, Shanghai, Kuala Lumpur, Singapore, Taipei, Seoul, and Jakarta were replacing their working CRTs in mass between 2008-2010.   Even steady demand in Africa, South America, and the Mideast was fulfilled cheaply by Asian supply.  Shipping from the East Coast of the USA through the Panama Canal, across the Pacific, for refurbishing in Indonesia, and shipping back to Egypt... that was more expensive than refurbishing locally for export.

That, by the way, was one of the big factors to the "California Compromise" collapsing a year ago this month.  While BAN and California explored the idea of setting high standards for Asian Refurbishers to meet, the Asians decided it was too little, too late.

Now, the same thing is happening with used LCD prices.   Below is an excerpt from one of my favorite, Taiwan-based trade journals.  Today there is oversupply in the large (new) LCD market causing layoffs and work stoppages, and some factories are going back to cutting LCDs into smaller sizes and targeting the same emerging markets as refurbishers.