Up to 12 fire crews are tackling a large fire involving 400 bales of household waste and carpets near Ancaster.
Crews were called to the giant blaze on the High Dyke at Barkston Heath at 1.57am this morning (Tuesday).
Residents are advised to keep their windows and doors closed due to the large amount of smoke while emergency services tackle the fire.
The B6403 is closed to traffic currently.
There have been reports that the smoke could be seen as far away as Boston and Spalding.
A Lincolnshire Police spokesman said: “Police, Fire and Ambulance responders were at the scene and police toured the area advising residents to keep their windows closed as there was thick black smoke coming from the fire. A number of roads around the area have been closed.
He added: “The cause of the fire is not yet known. There are no injuries.”
Police toured the streets of Ancaster with a tannoy and going door to door where they saw windows open because of the warm night.
As rain began to fall the cloud pushed the smoke down to street level, creating a dark smog with a smell of burning plastic.
This is the second fire at the recycling plant on Wilsford Heath in just over two years, the previous one taking place in February 2013. There was another fire two years before in June 2011 when 200 tons of material were destroyed due to spontaneous combustion.`
Ancaster resident Denise Gascoyne said she and her husband were awoken by the smell and then a police tannoy at 5am. She said: “I had my windows open at the back of the house and my eyes were stinging a bit.”
Chairman of Ancaster Parish Council David Sayer said: “As I left early this morning the ash was coming over my house and my car was covered in a layer of ash.
“This is the second fire in three years, these kind of plants seem to quite regularly suffer from fires and something has to be done, as it is also a nuisance because you don’t know what is in the ash.
“We will be asking questions, we were due to meet with a representative soon, and the fire service and South Kesteven District Council will be asking questions about how they are going to prevent this in the future.
“You would think they would have good fire suppression systems in place.”
Sue Armstrong, Group Human Resources Director for Mid UK Recycling, said most importantly there had been no injuries. “The fire brigade have got it under control, but further than that information is sketchy at the moment.”
She said the plant is a 24-hour operation and so staff were on site at the time. She added: “Fire is out biggest fear. We have put in a lot of processes to diminish the risk but other than that I cannot say anything.”