News from 2020-12-14 / DEG

Paraguay – DEG customer WEIG supports waste paper collectors through COVID-19 aid packages

Rubbish collectors are part of the everyday scene in Paraguay. They collect recyclable waste material and sell it on to provide a meagre livelihood for themselves and their families. The nationwide lockdown in Paraguay from April 2020 onwards made their work practically impossible. Food shortages and drastic price increases for basic everyday essentials made the situation even worse, while government aid was initially long in coming.

A DEG customer from Germany, WEIG, acted promptly. WEIG CEO Andreas Neufeld commented: “Waste paper collectors in Paraguay are important suppliers of raw materials for our cardboard production in Luque and Ciudad del Este. We felt just as responsible for them as we did for our permanent employees, and so we wanted to help.”

Through the “United against COVID-19” project, WEIG supported not only local workers and suppliers, but also waste paper collectors and other needy people in neighbouring communities with food and hygiene packages. For this purpose, DEG is providing EUR 70,000 from BMZ funds (Federal Ministry for Economic Cooperation and Development) through its BSS programme “COVID-19 Response”.

Based in Mayen, Germany, the WEIG Group offers recycling services, cardboard products and packaging, with its own value chain. The medium-sized company has also been established in Paraguay since 1978. Its subsidiary, Karton Tecnico del Paraguay, produces customer-specific solutions made from paper and cardboard. Two years ago, DEG provided the firm with a long-term loan of USD 10 million for investment to expand paper production. In addition, it supports a company project with funds from the developpp.de programme. The aim of the project is to increase the recycling rate for waste paper. This is to be achieved by developing effective infrastructure and through publicity campaigns explaining the benefits of waste separation.