Dead wrong. The cost to shred plastic is a pittance. Even the recycling industry pays a pittance to process plastic, hence they are able to buy PET plastic at high prices and sell it recycled not much hire than they paid yet still make a profit. Their margins are razor thin.
Lots of plastics, however, cannot be recycled economically. Usually anything that isn't PET plastic which JBII doesn't want anyway due to the zero hydrocarbon content of PET.
"Unfortunately, while plastics marked #1 or #2 are generally considered to be recyclable, not all containers with those numbers actually are. The reason for this is that many plastics contain additives blended into the original resin, and the different additives create discrepancies even within each category. Every container in the grocery store is made with a unique blend of chemicals—plasticizers, molding agents, dyes—that combine to give a plastic its shape, color, strength, and flexibility (or lack thereof). As a result, they melt at varying temperatures and respond differently to new additives, and so they cannot all be melted down and recycled together to make a new product. As a result, most plastic, aside from the ubiquitous clear plastic bottle, cannot, generally speaking, be recycled by most municipalities. This problem applies to the #1s and #2s, as well as yogurt containers or hummus tubs, and Chinese-takeout containers, which are usually made from #5 plastic. (It also includes plastic bags and the frustratingly hard plastic packaging that your headphones came in, which don't even earn a recycling number.) But many people don’t know that, so they toss all of them in the blue bin, thereby reducing efficiency at the sorting plant, which is where your plastic goes when it's collected on recycling day." http://discovermagazine.com/2009/jul-aug/06-when-recycling-is-bad-for-the-environment
the plastics recycling sector, which has stressed that the production of recycled HDPE (rHDPE) is a “capital intensive” process, with few companies competing in a “tough market" “The reason the rHDPE market is where it is comes down to price. We have had meetings where we have shown the facts and figures and, basically, the high cost involved in the processing to create rHDPE. It is a cost intensive process and it is hard to make a margin on.” Food-grade plastic - both rHDPE and rPET - has become an area of increased interest for the plastics recycling sector as retailers seek to respond to consumer demand for greater levels of recycled content in packaging. However, despite an apparent willingness on behalf of the sector, the availability of quality feedstock and the cost of the labour-intensive production process have proved barriers to plastics recycling firms adopting the process. http://www.letsrecycle.com/news/latest-news/plastics/plastics-recyclers-hit-out-at-dairy-uk-over-rhdpe
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