An SNP MSP has attacked Nicola Sturgeon for pushing ahead with a recycling policy that has left Scots businesses living in a "state of fear".
Fergus Ewing today called on the First Minister to halt the deposit return scheme amid fears it will send drinks producers to the wall.
The former Scottish Government minister spoke out after reports that 600 firms across the country had shared concerns about the impact of the flagship environmental policy.
The deposit return scheme is aimed at increasing recycling by charging a 20p deposit on every single-use drinks bottles and cans.
Companies are required to register by March 1 ahead of its planned launch on August 16 this year - or face their products being banned from sale in Scotland.
The Record has reported how some independent brewers have warned the additional costs forced on their businesses could force them to close.
Speaking at First Minister's Questions, Ewing said: "Many of the 600 businesses are in state of fear and despair. Some will close and some will fail - others will no longer sell their own produce in their own country of Scotland.
"Unless halted now, this scheme - which most businesses believe to be fatally flawed - will damage the reputation of Scotland as a place to do business.
"First Minister, will you instruct a pause of this disaster of a scheme before it becomes a catastrophe?
"And will you order a thorough and independent review of how better to achieve its aims, and exclude glass from the scope?"
Sturgeon said work was already underway to reduce implementation costs for firms.
She added: "One of the issues that we will consider further is if there is yet more we can do to reduce the impact on small producers - as I think some of the concerns that have been raised there are not unreasonable.
"We will continue to take a responsible approach and listening to the concerns of business."
Tory MSP Maurice Golden also warned against the deposit return scheme and said some firms faced having to fork-out £1.5 million per month.
"They are being asked to sign-up with key information still missing," he said.
"But if they don't sign-up, they can't sell their products - one leading brewer described it as extortion tactics."
Sturgeon responded: "This is an industry-led scheme and the industry needs to work with the administrator on a joined-up approach to delivering it.
"We will continue to engage with businesses on any further changes that can be made."
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