Certain countries trade in unprocessed recyclates. Some have complained that the ultimate fate of recyclates sold to another country is unknown and they may end up in landfills instead of reprocessed. According to one report, in America, 50–80 percent of computers destined for recycling are actually not recycled. There are reports of illegal-waste imports to China being dismantled and recycled solely for monetary gain, without consideration for workers' health or environmental damage. Although the Chinese government has banned these practices, it has not been able to eradicate them. In 2008, the prices of recyclable waste plummeted before rebounding in 2009. Cardboard averaged about £53/tonne from 2004–2008, dropped to £19/tonne, and then went up to £59/tonne in May 2009. PET plastic averaged about £156/tonne, dropped to £75/tonne and then moved up to £195/tonne in May 2009. Certain regions have difficulty using or exporting as much of a material as they recycle. This problem is most prevalent with glass: both Britain and the U.S. import large quantities of wine bottled in green glass. Though much of this glass is sent to be recycled, outside the American Midwest there is not enough wine production to use all of the reprocessed material. The extra must be downcycled into building materials or re-inserted into the regular waste stream
The Energy Information Administration (EIA) states on its website that a paper mill uses 40 percent less energy to make paper from recycled paper than it does to make paper from fresh lumber. Some critics argue that it takes more energy to produce recycled products than it does to dispose of them in traditional landfill methods, since the curbside collection of recyclables often requires a second waste truck. However, recycling proponents point out that a second timber or logging truck is eliminated when paper is collected for recycling, so the net energy consumption is the same. An Emergy life-cycle analysis on recycling revealed that fly ash, aluminum, recycled concrete aggregate, recycled plastic, and steel yield higher efficiency ratios, whereas the recycling of lumber generates the lowest recycle benefit ratio. Hence, the specific nature of the recycling process, the methods used to analyse the process, and the products involved affect the energy savings budgets.
In certain areas there is also a recycling service, often with one or more dedicated bins intended to receive items that can be recycled into new products. These bins are sometimes separated into different categories (usually represented by colours) which determine what materials can be inserted into the bin. The contents of the bins are taken to a recycling plant to be processed, and there are various systems for recycling-bin collection: single-bin-combined stream systems, multiple-bin systems, and cyclic collections with different materials collected on different days.
Fiscal efficiency is separate from economic efficiency. Economic analysis of recycling includes what economists call externalities, which are unpriced costs and benefits that accrue to individuals outside of private transactions. Examples include: decreased air pollution and greenhouse gases from incineration, reduced hazardous waste leaching from landfills, reduced energy consumption, and reduced waste and resource consumption, which leads to a reduction in environmentally damaging mining and timber activity. About 4,000 minerals are known, of these only a few hundred minerals in the world are relatively common. At current rates, current known reserves of phosphorus will be depleted in the next 50 to 100 years. Without mechanisms such as taxes or subsidies to internalize externalities, businesses will ignore them despite the costs imposed on society. To make such nonfiscal benefits economically relevant, advocates have pushed for legislative action to increase the demand for recycled materials. The United States Environmental Protection Agency (EPA) has concluded in favor of recycling, saying that recycling efforts reduced the country's carbon emissions by a net 49 million metric tonnes in 2005. In the United Kingdom, the Waste and Resources Action Programme stated that Great Britain's recycling efforts reduce CO2 emissions by 10–15 million tonnes a year. Recycling is more efficient in densely populated areas, as there are economies of scale involved.
Recycling of plastics is more difficult, as most programs can't reach the necessary level of quality. Recycling of PVC often results in downcycling of the material, which means only products of lower quality standard can be made with the recycled material. A new approach which allows an equal level of quality is the Vinyloop process. It was used after the London Olympics 2012 to fulfill the PVC Policy.