So, if you’re anything like me you are reading this because you saw our article about the end of our e-waste era and you want the low down, the gossip, the how and the why. It’s a long and rather winding story but I’ll try my best.
As the first brand in the world to make jewellery exclusively in gold and silver recycled from e-waste, we are so grateful to have had the opportunity to innovate and craft in such an exciting and impactful sustainability sector. Since we made our very first e-waste ring in 2015 a few (and much larger ) companies have entered the fray. Until very recently not a single one managed to stay the course, eventually choosing to combine e-waste with other “recycled” sources (i.e. old jewellery and bench sweeps). To be fair, much of what allowed us to keep going longer than other brands who entered the market after us (aside from sheer determination) is our size, we are smaller and therefore need to process less metal to meet demand (but we also had far fewer resources at our disposal).
SO, WHAT CHANGED FOR US?
So many things! Firstly our partner refinery, along with many other South African and international refineries, is closing its doors. The low margins game of refining, sadly, just isn’t recession proof. Whilst the e-waste recycling section operated independently from their main business we were heavily reliant on their equipment and expertise.
Secondly, new precious metals VAT regulations came into effect in 2023. Whilst arguably a very necessary and overdue attempt to tackle corruption, money laundering and tax evasion in the precious metals industry (and it is rife), equally as arguable is that these were applied rather clumsily to a sector already on the edge, causing the closing down of many supporting industries and permanently altering the precious metals ecosystem in South Africa.
And then there is the gold mafia. The rising value of gold, up 75.3% since the pandemic, as well as the growing profile of e-waste has brought many new players into the industry. This is of course wonderful in many regards; more players mean more recycling. Whilst people are driving exciting and innovative changes in the industry there are also those whose business practices are downright thuggish: do you write off your AK 47 in the stationary sections of your tax returns or as manufacturing equipment? Access to the raw e-waste has become competitive business, one where scale, market power (and sometimes intimidation) have become important factors, it is no longer a space we can, or want to, keep up with.
Fourthly greater export of e-waste, particularly higher yield e-waste sources, began during the pandemic. Different regulations around the world meant opportunities were a constantly moving goalpost. Much of the high value e-waste (containing higher quantities of gold, silver and palladium) was exported, leaving behind primarily lower grades. E-waste processing break-even point, certainly at the scale of our operation, relies on having at least some of those higher grades in the mix.
And lastly the very good news: more efficient manufacturing technologies require less input of precious metals in electronics in the first place. This means that e-waste recycling processes have to evolve constantly to keep up. Research into clean and efficient e-waste recycling at this pace is a whole industry in itself, and it is no longer a space where we feel we can be meaningful drivers of sustainable innovation.
When the cracks started showing in our recycling operation, we could have thrown everything at it and started our own completely independent refinery. And believe me, it was tempting. I remain just as passionate about e-waste recycling as I was on day one, in fact all of my on the ground learning over these last ten years has only increased my passion. A lot of soul searching however and the path that lay ahead if we chose that route just wasn’t what I wanted for my life. It would mean a boardroom and a pencil skirt rather than a flowing dress and a work bench. It would mean entering full-time a high conflict, high stakes game. It would mean the end of small and the start of something much bigger, much less personal, much less ethics driven. The price, both financial and personal, was just a bill I was not willing to pay.
E-waste remains the fastest growing municipal waste stream in the world, a social and environmental disaster that still desperately needs addressing. We are stepping aside, trusting that others are ready and far more equipped to rise to this challenge. It’s been a wild ride, time for the next one.
