German retailers have blasted government plans to impose stringent new recycling laws on drink cans and bottles from January 2001. Under a new law proposed by economics minister Werner Mueller and environment minister Jurgen Trittin, consumers would have to pay a deposit of 0.25 euro on most cans and one-way bottles. Retailers would have to return the deposits, collect and sort the cans, take them to a collection point and ensure they are recycled according to government requirements. Rewe md Hans Reischl has vowed to "fight all the way" to oppose the plans, while Metro has slammed them as "unworkable," and warned of sharp rises in drinks prices across the country as retailers try and cover their costs. "This is clearly a political decision," said a spokesman for Metro, which sells drinks from its Real hypermarkets, Extra supermarkets and Metro cash and carry outlets in Germany. "Not only are we expected to absorb the costs of the changeover to the euro next year, with no government help, we are now being forced to install expensive collection systems for recycling. To reduce waste is a good idea. But the way the government is handling it is all wrong." Trade groups estimate the retail industry will need to invest in 100,000 collection machines just to comply with the law, while running costs will also be high. Smaller retailers will have to handle the collection process manually. Metro says the initial investment could top DM3bn, against a government estimate of DM2bn. "Retailers feel this is a matter for consumers and manufacturers, yet the government is asking the middlemen [retailers] to pay," said one trade source. "On top of the euro, this is all too much." Retailers are hoping the plan is blocked by the German upper house, which represents the interests of the 16 states on a national level. {{NEWS }}