SA METAL GROUP: The First Step to a Circular Economy Starts with SA Metal

South Africa is relatively strong in the industrial recycling space. As of 2022, 46% of plastic, 70% of paper, 72% of cans and beverage metals, and 42% of glass was recycled. South Africans generate 122 million tonnes of waste each year and ensuring what can be recycled is done so in an efficient and productive way has become essential.

In 2019, the government began a recycle, reuse and reduce campaign aimed at ensuring the recycling industry could boom with an inflow of material and output of useful products, completing a circular journey. But engaging the private sector has, and always will be, a core part of this strategy. Businesses are generators of waste, and effective recycling must happen if the country is to build an industry that leads the way on the continent.

Global supply chains, disrupted by the pandemic and now the war in Ukraine, have left South Africa struggling to access many of the raw materials required in manufacturing and development. The recycling industry is often the answer – especially in the metal space.

Recycling metal conserves natural resources such as iron ore, bauxite, and other minerals that are used to produce new metal products. By recycling existing metal, Africa reduces its dependence on imported metal and conserves its limited natural resources. Metal recycling helps to reduce greenhouse gas emissions and air pollution, which are major environmental problems in many parts of Africa. The energy required to recycle metal is much less compared to producing new metal from raw materials. The metal recycling industry provides employment opportunities for thousands of people in Africa. It is an important source of livelihood for many people who are involved in collecting, sorting, and processing metal waste. The industry is an important contributor to the economies of many African countries, generating revenue through the sale of recycled metal, and helping to reduce the amount of waste that is sent to landfills, and the burden on state waste management systems. There is also an essential promotion of recycling as a concept when the public sees the success that can come from metal recycling. This helps to create a more sustainable future for Africa and its people. Overall, metal recycling is an important sector for Africa, providing environmental, economic, and social benefits.

Nowhere is this understood more strongly than at SA Metal Group, South Africa’s oldest and largest metal recycling company.

HISTORIC

Established in 1919, this is a company with four generations of family and industry expertise built into it. After moving from the UK to South Africa in 1900, Wolfe Barnett established what is today the powerful SA Metal Group, focused on buying up used machinery and breaking it for parts before sending useful elements back to the UK on steam ships. Following the end of WWII, parts were more available in Europe and Barnett’s business in South Africa switched its concentration to scrap metal. The second generation took the reins and began professionalising, installing machinery, and building relationships. Other waste collection services are offered, and the company’s reliability becomes its appealing USP. By the 1980s, the third generation joins the business, moving it from Woodstock to Epping Industria. SA Metal Group is now a key partner for various heavy industry organisations as well as the general public, utilising some of Africa’s most advanced machines to process scrap metal. The next two decades see significant expansion with the company realising nationwide growth and establishing of divisions to handle different processes.

In 2012, the fourth generation of Barnett’s joins the organisation started by Wolfe in 1919, and now, more than 100 years on, the business thrives.

“From our conveniently-located scrap yards in and around Cape Town, Johannesburg and Pretoria, we purchase scrap metals from a range of Southern African sources including industrial enterprises, public entities, scrap metal dealers and private individuals,” it informs.

“SA Metal Group strives to provide the best markets to our suppliers of scrap metals, to supply quality-controlled processed scrap metals, the highest quality steel and non-ferrous products manufactured from recycled scrap metals, the safest and most innovative demolition services and the most efficient waste removal solutions.”

Today, the company specialises in recycling a wide range of metal products including ferrous and non-ferrous metals, and provides recycling solutions for both individuals and businesses. SA Metal Group is committed to sustainable recycling practices and is dedicated to reducing its environmental impact through the reuse and recycling of metal waste.

Steel bars, billet, rebar, and reinforcing sheeting is produced from recycled material. Copper conductors and brass bars are made for the construction industry. The company can handle demolition of major sites including mines and factories, and is qualified in asbestos removal and radioactive material handling. SA Metal Group also has strong export partners and holds strong relations across the region, with partnerships in Namibia, Botswana, Swaziland, Mozambique, Lesotho, Malawi, Zambia and Zimbabwe.

BARNETT’S BUSINESS

Perhaps the biggest strength of the organisation is long-term sustainability and reliability. With Barnett’s heading the business for a century, the company embraces and utilises all the strength that comes with a family business. Often clear and concise in terms of a strong sense of values and purpose that go beyond just making a profit, they have a long-term focus and are committed to preserving legacy and serving their communities. Family businesses are typically more flexible than larger corporations and can make quick decisions and respond to changes in the market. This allows them to adapt to challenges and capitalise on new opportunities with a nimble approach. These companies are often respected by employees, fostering a strong sense of loyalty among the team, customers, and suppliers, which results in strong relationships, creating a supportive network. Combine all of this with ongoing entrepreneurial spirit and long-term succession planning and you have a stability that is hard to achieve in corporate organisations with shareholders and external influence.

When you mix a family business, home to strong values, with a market that has a need, the end result is success. The South African economy faces several challenges and so healthy businesses, employing large numbers, contributing to a tax base, and providing valuable service for clients is a necessity.

STRENGTH WHEN NEEDED MOST

Struggling to grow, high unemployment, weak GDP figures, stressed public finances, political instability, and an energy system in a dire state makes for a bleak outlook but SA Metal Group has bucked the trends and remained sustainable in South Africa through more than just economic downturns. This is a company that knows how to navigate uncertainty.

Thankfully, the demand for metal recycling, and recycled metal products continues to grow as eco-conscious consumers demand more from their country and its big businesses.  

Recycled metal has a wide range of uses, including construction where it is used in the industry to manufacture necessary strengthening products; manufacturing where it is used as a raw material in the production of various consumer goods such as cars, appliances, and electronics; energy production where it is used in the production of renewable energy technologies such as wind turbines and solar panels; infrastructure development where recycled metal is used in the construction of bridges, roads, and other projects; packaging where it can be used to make new metal cans for food and drinks, which are both lightweight and durable; and many other applications.

For SA Metal Group, the process of recycling is not just about collecting waste for use in the circular economy, it’s about taking a product and turning it into something valuable. It’s about doing it in an effective way, and it’s about generating opportunities at all times.

So many companies are distracted while on a growth journey, losing sight of their core offering. SA Metal Group has always been committed to the scrap metal industry and has extensive expertise which is almost unrivalled in the country. It has scale – few can boast a similar presence. It is underpinned by sustainable practices, handling materials responsibly and ethically, while delivering a wide range of services which make it a one-stop-shop solution for metal recycling. It is also a strong community asset, contributing positively to the areas in which it operates. Backed by a highly experienced leadership team and strong partnerships with the likes of Standard Bank and HD Trucks, SA Metal Group is undoubtedly an industry leader and a unique and valuable player in the South African business landscape.

“The group has a reputation for absolute integrity in all its dealings built up over the last hundred years,” it states, confident in its status as a source of strength for the country.