Cave Refuge-Chapter 219 - 218 New Field Renewable Resources Recycling Ltd. (2)_1

"But why do you say there’d be a lot of metal there? It’s true that metal is often found in garbage dumps, but usually only in small amounts.

Any moderately sized pieces of metal would be picked out before even making it to the dump. Most people indeed choose to sell their metal scrap to collectors directly, instead of throwing it away. How much metal can there really be at that recycling station?"

Hearing Ye Liuyun’s skepticism, Robinson William pointed to a highlighted name on the map again: New Field Renewable Resources Recycling Ltd.

"I may not understand what you’re saying, but you see the name here; they aren’t just a basic garbage dump anymore, they’re a renewable resource recycling company.

Simply put, all the items from neighborhood scavengers, once sorted and broken down, are sold to New Field. Any kind of material, be it metal or waste paper, can only be sold to New Field since it’s the only recycling station in Pengcheng.

New Field then classifies the garbage and sells it in bulk to companies like the Steel Factory or Paper Factory.

Wrecked vehicles from Pengcheng also end up there for final dismantling and compression before being sold. Tell me, how much metal do you think there is?"

Listening to Robinson’s explanation, both Dong Tianyu and Ye Liuyun were somewhat skeptical. After all, times have changed and transportation has become more efficient, especially in the south.

Given that Pengcheng leads to three provinces and is close to the vast land of Qilu to the north, it would be more profitable to transport the waste straight north, to the Steel Factory that lies just outside the province.

Perhaps guessing their thoughts, Robinson William said outright, "If the quantity is small, it doesn’t really matter where it’s delivered to. Nobody cares or questions it. However, with scrap material like this, a single trip’s worth probably won’t even cover the cost of fuel. It usually takes at least a thirteen-meter semi-trailer or seventeen-meter trailer to break even.

Under normal circumstances, these vehicles can only take good roads since they’re hauling so much weight. A minor road mishap could lead to a disaster.

As the second in command in Pengcheng, he can merely issue an order to prevent recycling vehicles other than New Field’s from leaving the city, let alone hitting the road. Without a release permit from New Field, vehicles found flouting the rule will be penalized for polluting the environment.

Not only would they need to deliver their garbage to New Field, but they’re also required to pay the company a waste disposal fee.

Keep in mind, the garbage that’s ready to be shipped off is sorted and processed; it’s garbage that can be directly sold.

Given these rules, New Field not only gets to collect eligible waste for free but makes a profit from the disposal fees.

Under these circumstances, which company could outdo New Field, and which driver would risk transporting other companies’ cargo?

Although New Field monopolizes Pengcheng’s waste recycling business, the deputy mayor still wants to maintain a clean image, knowing his term is only temporary. Plus, he’s relatively young so he has room to move up in his career.

Therefore, he doesn’t push too hard and merely goes with market prices. The recycling rates are similar to those in surrounding cities.

Waste recycling isn’t something most people can get involved in. Those who do know the business are aware it’s the deputy’s industry, especially since New Field rarely deals with the individuals who directly collect scrap in the streets.

So, despite New Field’s huge profits in Pengcheng, most locals are oblivious to the company’s conduct and services, and some aren’t even aware of its existence.

It’s been like this since ancient times—though people interact with waste disposal regularly, few take the time to really understand it.

If Liuyun hadn’t mentioned it, I never would’ve known that sorting garbage could be profitable." 𝐟𝚛𝕖𝚎𝕨𝗲𝐛𝚗𝐨𝐯𝐞𝕝.𝐜𝗼𝗺

Having listened to Robinson’s explanation of New Field’s monopoly in Pengcheng, Dong Tianyu, and Ye Liuyun now understood why Robinson had said there were thousands of tons of scrap metal there.

One thousand tons of scrap metal sounds like a lot, but taking iron as an example, one cubic meter of iron weighs about seven tons, so a thousand tons of iron would only occupy over a hundred cubic meters. Such a quantity could easily fit in a moderately sized yard.

In movies, they depict scenes of mountains of metal, compressed into square blocks. Saying there are only one thousand tons of scrap metal in such scenarios is an understatement.

Metal doesn’t degrade over time, so when prices fall, they’d rather hold onto it and occasionally sell a bit when prices rise—hoping to make more money.

Since they don’t pay tax on goods they don’t sell, and once they’ve made a profit from waste paper and plastic, they typically hold onto the scrap metal.

Regardless of inflation, having tangible assets can offset price increases.

After finishing his explanation, Dong Tianyu paused to gather his thoughts before speaking: "We’ve been together for so long now; you guys know my character, so I won’t beat around the bush. Here’s what it is.

Although Robinson mentioned that place, after enduring several natural disasters, nobody knows the current situation there. Let me say what I’m thinking.

What about sending someone there first to check the situation. Then we can discuss the quantity of the trade, based on the reconnaissance.

If you guys trust me, I’ll give Liuyun one ton of saltpeter first, to get things moving. I can then go there and assess the situation.

If there really is a large stockpile of metal there, as Robinson has suggested, I’ll supply more saltpeter to Liuyun.

However, let’s be clear. If there is indeed a substantial amount of metal ingots there, I won’t be able to trade saltpeter for it at our current rate. I’ll only be able to pay in the form of an information fee.

After all, as Robinson said, there could be at least a thousand, or even tens of thousands of tons of scrap metal at that place. Based on our previous trade ratio, I just can’t afford that much saltpeter."

After hearing Dong Tianyu’s candid proposal, Ye Liuyun looked at Robinson William, who still maintained an expression suggesting he would let Ye Liuyun make the final decision.

Seeing that Robinson truly intended to let him decide, Ye Liuyun thought for a moment then said, "Since you’re being so generous, I can’t fail to show my appreciation.

Let’s do this: give me one ton of saltpeter first and I’ll scout the place. If there are scrapped metals there as Robinson has suggested, you can then supply more saltpeter in exchange for the information. However, if there isn’t much scrap metal, I will sell that one ton of saltpeter and revert back to our initial trading ratio with the metal ingots obtained."

Just as Dong Tianyu was about to say something, Ye Liuyun interrupted, "Don’t refuse. Regardless of the outcome of this trade, I don’t have any risk. Robinson, as my brother, has a duty to take care of me. That’s what brothers do. Not to mention he’s been taking advantage of me since we were kids. This time, it’s like he’s making it up to me.

But you’re not my brother, and you’re trusting me solely based on our friendship. Since you’re doing so much, I obviously can’t let you lose out."