Egypt’s recycling system processes millions of tons of waste annually, much of it through informal, fragmented networks that operate with limited documentation and minimal traceability.

That fragmentation is precisely what Dawar by Environ Adapt is attempting to formalize.

The Cairo-based circular economy platform has acquired a strategic stake in BekyaPay, a consumer-facing application that allows households to exchange sorted recyclable materials for cash.

The transaction extends Dawar’s digital oversight from midstream aggregation and trade layers directly to the point of waste generation, households.

Digitizing an Informal Economy

Egypt’s waste recovery sector has historically relied on informal collectors and decentralized trading networks. While efficient in many respects, the system lacks standardized reporting, verified recovery data, and digital traceability.

Dawar was built to address that gap.

Rather than operating as a traditional recycler, the company functions as a digital infrastructure layer that records, verifies, and structures recyclable material flows across the value chain. Its platform connects collection points, aggregators, traders, and compliance reporting within a unified digital framework.

Over the past three years, Dawar reports recording more than 90,000 verified tons of recyclable materials across 22 governorates. In practical terms, that means converting informal transactions into traceable datasets, a capability that becomes increasingly valuable as regulatory and corporate reporting requirements tighten.

Closing the “First-Mile” Gap

Until now, Dawar’s system has largely focused on materials once they enter structured collection or trade channels.

BekyaPay operates earlier in the chain.

Launched less than a year ago, the app enables households and commercial entities, including schools and hypermarkets, to monetize sorted recyclables through a network of more than 500 collection points and 120 collectors across two governorates. It has onboarded more than 30,000 users.

By acquiring a stake in BekyaPay, Dawar integrates source-level collection into its traceability architecture, capturing data before materials move into the informal trade network.

The result is not simply higher collection volume, but earlier data visibility.

Compliance is Reshaping the Market

The timing is notable.

Extended Producer Responsibility (EPR) regulations and rising ESG disclosure standards are increasing pressure on manufacturers and brands to document waste recovery and recycling rates. Verified material flows are no longer optional; they are becoming compliance requirements.

In that context, digitized recovery systems serve a dual function: operational efficiency and regulatory documentation.

Platforms capable of aggregating verified recovery data across multiple governorates position themselves not just as waste operators, but as compliance infrastructure providers.

From Collection to Control

The acquisition signals consolidation within Egypt’s circular economy ecosystem, moving from decentralized initiatives toward vertically integrated, data-driven systems.

For Dawar, integrating BekyaPay expands control over the earliest stage of the recycling chain. For the broader market, it reflects a gradual shift: recycling is becoming less about volume alone and more about measurable, reportable recovery.

As environmental regulation strengthens and sustainability reporting gains commercial weight, traceability may prove as valuable as the materials themselves.