Kunming (Yunnan) 2,000 t/d Vegetable Waste Recycling Project

Project OverviewPROJECT OVERVIEW

Vegetable wholesale markets, cold-storage facilities and growing bases around Kunming generate large volumes of discarded leaves, reject vegetables and processing offcuts every year ("tail vegetables"). This material is high-moisture, perishable and bulky, and is currently mostly landfilled or dumped, occupying land and generating leachate pollution — a rigid local environmental pain point.

This project collects and concentrates the waste, then processes it through sorting & crushing → thickening & dewatering → high-temperature blanching → crushing & pressing → rotary drying into a dry material of ~15% moisture, sold as feed raw material or organic-fertilizer raw material. Products go to feed mills and organic-fertilizer plants — an essential agricultural input with a stable, cycle-resistant market.

Stable feedstockSourced from vegetable distribution hubs; year-round and concentrated

Dual revenue streamsProduct sales + disposal fees charged to waste producers

Policy-friendlySolves existing pollution; easy local support and land facilitation

Industry synergyLinks feed, farming and organic-fertilizer value chains; can extend to high-value BSF routes

Process & ScopePROCESS & SCOPE

Receiving & conveying→ Sorting & crushing→ Thickening & dewatering→ High-temp blanching→ Crushing & pressing→ Rotary drying→ Finished dry material

The whole line runs under negative-pressure enclosure, with acid wash + alkali wash + photo-oxidation deodorization and a wastewater treatment system; exhaust and effluent are discharged up to standard.

Material node	Throughput (t/d)	Moisture state	Note
Feed (raw vegetable waste)	2,000	5% solids	Collected from markets / cold storage / farms
After thickening & dewatering	1,000	10% solids	Free water removed; to blanching
After blanching	666.7	15% solids	High-temp enzyme kill, sterilization; stabilizes material
After pressing	400	25% solids	Mechanical pressing for further dewatering
Dried product	117.65	15% moisture	Feed / organic-fertilizer raw material
By-product wastewater	~1,882	High-strength organic wastewater	Treated by on-site wastewater station up to standard

Main equipment list Flat feed hoppers ×2, buffer/leveling hoppers ×2, crushing & sorting machines ZNJ-800 ×4, thickening & dewatering machines GST-2000 ×4, belt blanchers ×2, crushers DGY-600 ×2, presses ZNJ-750 ×2 + ZNJ-450 ×2, rotary dryers φ2.8×24m ×2, biomass hot-blast stoves ×2, plus deodorization system, centralized PLC control, pipes/valves/supports and conveying screws.

Utilities & ancillary works Transformer 2,000 kVA / 380V, truck scale, fire protection, water supply/drainage, roads and office facilities; pretreatment workshop 9,000 m², wastewater station 3,000 m² (per the original process proposal).

Capital ExpenditureCAPITAL EXPENDITURE

Based on actual investment levels of our completed similar projects, the investment intensity for comparable vegetable-waste recycling projects is as follows. The larger the scale, the lower the unit investment — the most immediate cost advantage of large projects.

Capacity	Total plant investment	Unit investment intensity	Comparison
800 t/d	~70M RMB	0.0875M RMB/(t·d)	—
1,000 t/d	~90M RMB	0.0900M RMB/(t·d)	—
2,000 t/d (this project)	~120M RMB	~0.0600M RMB/(t·d)	About one-third lower than the 1,000-t scale

Investment breakdown (indicative share; subject to final project budget):

Component	Indicative share	Main content
Process equipment	~38%	Whole line, installation & commissioning, transport & spares
Civil works	~25%	Pretreatment workshop, wastewater station, roads, walls, offices
Utilities	~10%	Power distribution 2,000 kVA, truck scale, fire, water supply/drainage
Collection system	~15%	15–20 sealed collection trucks and loaders (can be replaced by waste producers self-delivering)
Other project costs	~12%	Design, permitting, supervision, initial working capital

Phased build recommendation Phase 1 can start at 1,000 t/d (~90M RMB), then add Phase 2 to reach 2,000 t/d once feedstock channels and product sales are proven. This halves the owner's first-phase funding pressure and lowers investment risk — the steadiest way to deliver a large project.

Return AnalysisRETURN ANALYSIS

① Processing stage (plant-gate basis, per the original process table)

Item	Unit price	Daily amount	Annual amount
Product sales (117.65 t/d)	1,800 RMB/t	211.8k RMB	69.89M RMB
Biomass pellet fuel (69% of cost)	900 RMB/t	−40.8k RMB	−13.46M RMB
Electricity	0.70 RMB/kWh	−15.1k RMB	−4.98M RMB
Labor	—	−3.0k RMB	−0.99M RMB
Maintenance & other	—	−0.3k RMB	−0.10M RMB
Processing gross profit	—	152.6k RMB	50.36M RMB

② Full basis (including feedstock collection, wastewater treatment, depreciation and tax)

The scenarios below already include: feedstock collection cost, high-strength wastewater treatment (~1,882 t/d × 8 RMB), inorganic haul-away, fixed-asset depreciation (120M RMB × 95% ÷ 10 yr = 11.4M RMB/yr) and 25% corporate income tax.

Feedstock delivery model	Annual gross	Annual net	Annual cash flow	Static payback	ROI
Waste producer self-delivers + charge 30 RMB/t disposal fee	63.41M	39.01M	50.41M	2.4 yr	32.5%
Self-haul 20 RMB/t + charge 30 RMB/t disposal fee	49.81M	29.11M	40.51M	3.0 yr	24.3%
Producer self-delivers, no disposal fee	43.61M	24.16M	35.56M	3.4 yr	20.1%
Self-haul 40 RMB/t + charge 30 RMB/t disposal fee	37.01M	19.21M	30.61M	3.9 yr	16.0%
Self-haul 20 RMB/t, no disposal fee	30.41M	14.26M	25.66M	4.7 yr	11.9%
Self-haul 40 RMB/t, no disposal fee	17.21M	4.36M	15.76M	7.6 yr	3.6%

Estimation conclusion Investors usually require a static payback of ≤ 6 years. Under the assumption that feedstock is delivered by waste producers and a reasonable disposal fee can be charged, the payback is 2.4–4 years — an excellent return. If all collection is self-operated with no disposal fee at all, payback stretches beyond 7 years and requires careful evaluation.

Sensitivity of Key VariablesSENSITIVITY

The table below compares payback under different feedstock delivery models; the feedstock side is the No.1 variable that decides the project's fate:

Producer self-delivers + disposal feeBest case

2.4 yr

Self-haul 20 RMB/t + disposal fee

3.0 yr

Producer self-delivers, no fee

3.4 yr

Self-haul 40 RMB/t + disposal fee

3.9 yr

Self-haul 20 RMB/t, no fee

4.7 yr

Self-haul 40 RMB/t, no feeWorst case

7.6 yr

≤ 3.5 yr (excellent) 3.5 – 5 yr (acceptable) > 5 yr (needs optimization)

Two other key variables:

Product price	Annual gross
1,000 RMB/t (compost feedstock)	−13.85M
1,200 RMB/t	−6.08M
1,500 RMB/t	+5.56M
1,800 RMB/t (feed raw material)	+17.21M

Note: on the conservative basis of self-haul at 40 RMB/t with no disposal fee. Product price must be > 1,500 RMB/t for sustained profitability; it is recommended to lock in feed-mill purchase intent or long-term agreements first.

Biomass pellet price	Annual gross
800 RMB/t	+18.71M
900 RMB/t (assumed in this plan)	+17.21M
1,200 RMB/t	+12.72M

Fuel accounts for ~69% of direct plant cost, the largest operating cost item. Recommend a long-term pellet-fuel price agreement, or evaluate local natural gas and waste-heat alternatives.

Conclusion & RecommendationsCONCLUSION

The project itself is viable. Vegetable-waste recycling is a market-driven cash-flow project producing essential feed/fertilizer raw materials; it runs without fiscal subsidy, fitting industrial-investor preferences.
Clear scale advantage. At 2,000 t/d the unit investment is only ~0.06M RMB/(t·d), well below the 0.09M of the 1,000-t scale — high investment efficiency.
Success hinges on the feedstock side. Whether waste producers deliver to the plant and whether a 20–50 RMB/t disposal fee can be charged directly decides whether payback is 2.4 or 7.6 years — the top item for negotiation and due diligence.
Three data points to secure in advance: ① current collection method of vegetable waste and the disposal fee that can be charged; ② local actual product price and prospective buyers; ③ delivered prices of biomass pellets and industrial power.
Phased implementation recommended. Build 1,000 t/d (~90M RMB) first to prove feedstock and sales, then expand to 2,000 t/d to control first-phase funding pressure.
Flexible cooperation models. EPC turnkey, equipment finance leasing, downstream off-take equity, or market-based minority stakes by local platform companies.

Important notice This brief is based on the "Vegetable-Waste Treatment Process System Design" proposal data and our actual investment levels for similar projects. The product price of 1,800 RMB/t is an assumed plan value; fuel, power and labor are estimated parameters. Final investment and return figures are subject to on-site verification, the formal project budget and purchase/sale agreements. Once you provide feedstock, energy and sales baseline data, we can issue a free investor-version cash-flow model (incl. IRR and payback).

Contractor & Track RecordCREDENTIALS

Zhucheng Xinridong Machinery Co., Ltd. specializes in complete equipment manufacturing and EPC turnkey delivery for organic-waste recycling (food waste, kitchen waste, vegetable waste), with full-chain capability in process design, equipment manufacturing, installation & commissioning, and operations support.

Luliang, Yunnan project1,200 t/d vegetable-waste / food-waste project

Xundian, Yunnan project800 t/d vegetable-waste project

Site visitsOn-site tours can be arranged anytime to verify operating data

Next steps You may first confirm local vegetable-waste volume, current collection fees and candidate land; we will then issue a formal investment proposal and investor return model, and support site selection, process matching and financing design.