The partnership intends to replace 18,000 tonnes of manufactured plastic with recycled plastic produced locally each year, reducing carbon emissions of 25,000 tonnes
Woolworths Group and Pact are planning for a strategic partnership to boost recycled packaging and achieve circular packaging. (Credit: Woolworths Group Limited)
Australian retailer Woolworths Group and sustainable packaging solutions provider Pact Group are planning to form a strategic partnership to boost recycled packaging and achieve circular packaging.
The partnership is expected to help the retailer use up to 18,000 tonnes of recycled plastic in its own brand packaging each year.
The agreement between Woolworths and Pact would represent a multimillion-dollar investment in regional manufacturing and recycling capabilities.
Woolworths had eliminated more than 5,800 tonnes of virgin single-use plastic and packaging from its own brand range in FY22 as part of its commitment to eliminating plastic from packaging.
The retailer is working to use recycled plastic to minimise the environmental impact where there is no feasible alternative to plastic for food safety or quality.
The proposed partnership aims to make Pact as Woolworths Group’s strategic partner by volume in the company’s efforts to deliver more sustainable packaging to reduce the use of virgin plastic in all of its own brand packaging by half by 2024.
Pact will use recycled plastic to create more compostable packaging across the entire Woolworths product line, including milk bottles, meat trays, and beverage bottles.
Currently, Pact operates five plastic recycling facilities in Australia including the recently opened PET recycling facility in Albury-Wodonga and has plans to build four more facilities by 2025.
Pact Group CEO and managing director Sanjay Dayal said: “We know that consumers and businesses are increasingly demanding recycled and recyclable plastic packaging and Pact is working with committed partners like Woolworths Group to drive that change.
“Plastic packaging that is designed effectively, that is recyclable and recycled properly in Australia can be used again and again, creating a truly local circular economy for plastics.”
The recent collaboration between Woolworths Group and Pact on recycled plastic represents the next phase of their long-standing partnership.
Pact has already provided Woolworths Group with 50 million reusable and recyclable plastic produce crates to replace conventional single-use cardboard and polystyrene boxes.