Bryson Recycling has signed a two-year contract with Lurgan-based paper processing firm Huhtamaki, in a move that will see all paper collected by Bryson in Armagh and Banbridge recycled locally.
Under the agreement, paper collected through Bryson's kerbside box service, which has been operating in the Armagh and Banbridge areas since 2002, will go to Huhtamaki's plant in Lurgan, where it will be recycled to make moulded fibre products such as egg cartons and cup carriers.
The firms did not reveal the value of the deal, but said it will mean that over 80% of all materials collected by Bryson in these areas will now be reprocessed in Northern Ireland.
Huhtamaki, which started recycling in 1890 by producing boxes for the linen industry, currently employs 200 people at its Lurgan site, supplying products to major retailers including Tesco, Asda, Sainsbury's and McDonalds.
Eric Randall, director at Bryson Recycling, said the deal with Huhtamaki will enable Bryson to increase the amount of business it does with local firms.
"The recycling industry here is enjoying great success in spite of the difficulties experienced by other sectors, and is playing an important role in the Northern Ireland economy," he said.