Pressure on food processors to continue recycling, reducing and composting waste is growing amid fears many are avoiding the expense in the current climate, incurring greater costs later.
"Negative press about recycling combined with pressures for food producers to reduce costs could lead to some firms choosing to cut back on, or completely abandon, their green credentials," said Lee Wright, marketing director for recycling equipment supplier Slingsby. "However, because landfill tax is increasing, this is likely to be a false economy."
Landfill tax increased from £32/t to £40/t this month. Meanwhile, the government is considering legislation for implementing selective landfill bans, according to Daniel Instone, head of the waste programme at the Department for Environment, Food and Rural Affairs (DEFRA).
At a Westminster Energy, Environment & Transport Forum seminar on 21st Century Waste last month, Instone said such legislation had already been adopted by areas of Europe.
A DEFRA spokesman would only say "this is only one of the strategies that we are looking into - others include increasing recycling targets and getting more energy from waste"
"Waste produced in the UK has gone down since the recession hit and we would expect it to reduce further," said Instone. "For one thing, hard-hit businesses will be looking at all options to avoid the extra landfill taxes."
The recession has hit the market for recyclable waste and there have been reports of the unviability of exporting waste to countries such as China.
Consequently, firms that don't recycle will face significantly higher charges for use of landfill sites, said Wright.
Food waste composting firm Sanderson Environmental expects the landfill tax rise to spur demand for its services.
"Commercial composting provides a green, cost-effective and sustainable waste management solution, turning biodegradable food waste into valuable renewable resources such as compost and energy," said the firm's md Andy Sanderson.
Fresh figures from the Waste & Resources Action Programme show £1.1bn worth of materials are now sent for recycling - an average annual growth of 30% since 2003. Recycled waste has almost doubled in five years.