Plastic is a hot topic in Davos this week and more big-name companies are stepping up commitments to reducing plastic waste -- playing catch-up to other industry leaders. Fast-food chicken chain KFC said Thursday that all plastic-based, consumer-facing packaging will be recoverable or reusable by 2025. Walmart Canada announced plans on Wednesday that include reducing plastic bag use by 2025 that will take about 1 billion bags out of circulation, and replacing single-use plastic straws with paper alternatives by 2020. “This commitment represents a public acknowledgment of the obligation we have to address these serious issues” of environmental sustainability, KFC Chief Executive Officer Tony Lowings said in a statement. Waste from plastic has become a flashpoint with environmentalists and consumers, and companies are reluctant to be seen as falling behind. Oreo maker Mondelez International Inc. and Nestle SA are among food giants that announced similar sustainability goals last year. KFC parent Yum! Brands Inc. previously said it will source all fiber-based packaging from certified or recycled sources by 2020, as a supporting partner of the NextGen Consortium. Starbucks Corp., McDonald’s Corp. and Coca-Cola Co. are also partners. Walmart Canada, with 411 stores and more than 85,000 employees, announced additional goals, including a 2025 target to have 100 percent recyclable, reusable or compostable packaging for its own private brand products as part of a global commitment launched by The Ellen MacArthur Foundation in 2018. Thus far, more than 290 companies have signed on for the 2025 date.

‘Aspirational Goal’

    “This is an aspirational goal when you think about it,” said Conrad MacKerron, senior vice president of As You Sow, a nonprofit group focused on shareholder advocacy. Still, publicly committing to such a target helps investors and consumers hold companies accountable, MacKerron said. There are also cities in the U.S. that have made zero-waste commitments, MacKerron said, citing San Francisco as an example. Nestle SA and PepsiCo Inc. are among some 25 consumer companies taking part in a program announced Thursday at the World Economic Forum in Davos that provides products in reusable packaging that can be returned for a refund. The “Loop” initiative, which refers to a theoretical circular economy where nothing is wasted, is led by New Jersey-based recycling company Terracycle Inc. KFC also said Thursday it made good on a promise that by the end of last year all chicken purchased would be raised without antibiotics important to human medicine. That initiative got underway in 2017 after pressure from shareholders. Other fast-food chains began phasing out chicken with antibiotics years earlier. Chick-fil-A Inc. began in 2014, Subway eliminated it in 2016 and Taco Bell, also owned by Yum! Brands, reached the goal in 2017. Still, KFC helped tip the chicken industry in an important way, according to Lena Brook, director of food campaigns at the Natural Resources Defense Council. “KFC proved that even in perhaps a more complex reality that change is possible if you commit to it,” Brook said.

Big companies are testing a return to the “milkman model”—that is, addressing waste by shifting to reusable containers. Twenty-five of the world’s biggest brands said they will make the change this summer, including Procter & Gamble Co., Nestlé SA, PepsiCo Inc. and Unilever PLC, the Wall Street Journal reported. These companies will use glass, steel, and other reusable containers that can be returned and cleaned to be used again. The participating companies see it as a way to reduce waste—and there’s a lot of it. According to data reported by the Earth Day Network, 9.1 billion tons of plastic has been produced since the 1950s when it was first introduced, and most of it still exists in some form. “From a philosophical point of view, we have got to lean in and learn about this stuff,” Simon Lowden, the marketing head for PepsiCo’s snacks business told the Journal. “People talk about recyclability and reuse and say they’d like to be involved in helping the environment, so let’s see if it’s true.” Business leaders in Davos this week for the World Economic Forum also discussed the issue of plastic waste. A new shopping platform, called Loop announced at the forum on Thursday that it would start delivering products like shampoo and laundry detergent for manufacturers in reusable containers, doing away with the disposable plastic containers, The Associated Press reported. Brands partnering with Loop include Nestle, Procter & Gamble, PepsiCo, and others. “Our goal is that by 2030, all of our packaging will be reusable or recyclable,” Virginie Helias, the vice president, and chief sustainability officer at Procter & Gamble, told the AP. Loop will start its offer with 300 products, with plans to expand down the line. Products include Pantene shampoo, which would be delivered in an aluminum pump container, and Haagen-Dazs Ice Cream, which would come in a stainless steel tub. “We have invented a process whereby we deconstruct PET plastic and polyester fiber into it base ingredients and then repolymerize them back into virgin-quality plastic. A great example would be to take an old used polyester carpet or sweater and turn that into a water bottle for one of our many clients such as Coca Cola or Pepsi-Cola,” Daniel Solomita, Loop founder and CEO, said in a statement to Fortune. While the company could help decrease garbage waste, it would also mean more delivery trucks, according to Tom Szaky, the CEO of the recycling company TerraCycle, which is behind Loop. In 2016, transportation, including cars, trucks, commercial aircraft, and railroads represented 28% of U.S. greenhouse gas emissions, according to the Environmental Protection Agency. Light-duty vehicles accounted for 60% of the total transportation-related emissions, followed by medium- and heavy-duty trucks at 23%.

Dozens of major brands have partnered to launch this ambitious new packaging model in the U.S. and France. TerraCycle and Suez break down how it could change the waste equation in the coming decades. After years of quiet planning and rigorous testing, TerraCycle has unveiled what it believes will be a revolutionary change in packaging: Loop. Debuted at the World Economic Forum in Davos, Switzerland this week, the new shopping system is the first of its kind to offer hundreds of name brand products in reusable and refillable packaging. In addition, many products traditionally viewed as inefficient to process — pens, diapers, razor blades — will now be recycled for the first time in many areas. This builds on the New Jersey company's foundational business of finding value in what is considered unrecyclable — but on an entirely new level. Designed to be more attractive and functional than common versions, these new goods will be available on a pilot basis in the U.S. and France, starting this spring. With the convenience of delivery and pick-up service via online ordering — and eventually at retail stores — Loop is being billed as a rare opportunity to wean consumers off single-use disposability. "The thesis of Loop is we want to bring about the future of consumption, and the tenet of that would be the idea that waste doesn't exist," said TerraCycle CEO Tom Szaky in an interview with Waste Dive.  

 

A new consumer culture?

Procter & Gamble and Nestlé (both founding investors) — along with PepsiCo, Unilever, Mars Petcare, The Clorox Company, The Body Shop, Coca-Cola European Partners, Mondelēz International and Danone — are among the initial partners that have designed new packaging for Loop. Achieving this level of participation from the companies behind so many household brands was seen as essential for consumer buy-in. According to Szaky, a key component is elevating the experience of reusable shopping (beyond its current niche version of bringing mason jars and cloth bags to a local bulk store) through added convenience and an element of "luxury." Prices are expected to be comparable to current options aside from a refundable deposit, and many containers are made from glass, stainless steel or durable plastic. Some, such as a new Häagen-Dazs container, will even keep products frozen or fresh for longer. As envisioned, this system will start out as a delivery/pick-up service — something Szaky has previously described as akin to the old "milkman" model. UPS will deliver the products in reusable shipping bags, and once consumers are done, transport the bags to a regional cleaning facility, where containers will be sanitized and products recycled. This is said to be the first time feminine care products and diapers will be recycled in France, and the first time for razor blades in the U.S. "There are some big firsts baked into Loop, and that's really using a lot of TerraCycle's original competency. If it's reasonable to recover and reasonable to reuse, then it must be reused, is the rule," said Szaky. The pilot program is expected to launch this spring in the Paris metro area and the New York City area – including parts of New Jersey and Pennsylvania. French retailer Carrefour has signed on as a partner, and a U.S. retailer is in the works. While the initial list of participating companies have had to make upfront investments in new packaging design (though on a limited scale to start), the ability to meet both consumer demands and sustainability targets is seen as worth the price of admission. A spokesperson for the French unit of Coca-Cola European Partner (CCEP) told Waste Dive it sees a way to expand existing refillable glass bottle sales and "bring this unique experience directly to consumers at home in line with a no waste vision and our sustainability strategy." Loop is considered a clear fit for CCEP's "This Is Forward" plan — part of Coca-Cola's broader "World Without Waste" initiative  to ensure all packaging is recyclable and fully recovered by 2025. Other major partners — including Procter & Gamble, Nestlé, PepsiCo, Unilever and Mondelēz International — have set their own future sustainability targets or made financial commitments to recycling initiatives in recent years. While these pledges have often been met with skepticism from major environmental groups, it's possible this Loop announcement may be perceived differently. Szaky noted that eight of the 10 companies on a 2018 Greenpeace list of the most commonly found brands in ocean clean-ups are Loop partners — a potential signal of their willingness to take more ownership over plastic pollution. Greenpeace itself is also participating in the Davos launch event.  

 

A world without "garbage"

Loop might be an easier fit for regulatory trends in European countries that encourage more recycling (though it will be exempt from extended producer responsibility rules), but it could prove a greater shock to the U.S. system if scaled successfully. The most directly affected parties will be packaging manufacturers — glass, for instance, might see more demand, while single-use plastic demand could decline. The potential decrease in tonnage for both waste and recycling collections also raises questions of what Loop will mean for the U.S. waste and recycling industry itself. "I'd say at the very beginning, if I was working over at Republic or Waste Management or even Waste Connections (Waste Connections owns a quarter of our Canadian company) I think they wouldn't even see this as a threat because it would seem super small compared to what is in the dumpster," said Szaky. "The real question is 10, 20, 30 years from now, if durable, reusable, repairable, that type of movement really hits scale — and I think Loop could be one of the vehicles that accomplish that — then you may see an effect on the loads, and unless you get involved in that, then you would see it competitively." Last year, Waste Connections CEO Ron Mittelstaedt told Waste Dive he believes "reuse is the pathway that will help diversion by non-generation" in future decades, although he didn't directly mention TerraCycle. No U.S. waste and recycling industry companies have invested in Loop to date. Suez, the France multinational that has a stake in TerraCycle's European operations, invested 4% in Loop. The company also partnered with Procter & Gamble and TerraCycle to launch a shampoo bottle made of ocean plastic at Davos in 2017. Jean-Marc Boursier, senior executive vice president of recycling and recovery at Suez's Northern Europe division, feels the concept fits into his company's view that increasing waste volumes can't be the primary corporate growth metric. According to Boursier, rising GDP, industrial activity and population growth should all be considered signs of a healthy economy — but that doesn't necessarily have to translate to more waste. "The question is, can we optimize waste production, and do we need to still dump everything into a very large landfill?" said Boursier, referring to the U.S. market. "Or, shall we consider waste as not only a nuisance, but as a product that we could transform into something more valuable?" Boursier declined to offer any direct advice on how U.S. service providers that still derive a significant portion of their revenue from landfills could adapt to such a model. Speaking about companies in general, he offered this outlook: "Either you enter — if you have an industrial company — into this world of circular economy with a negative view, where you believe that it is a constraint and it might have some increased costs at first glance. In which case you will be very reluctant to change the world — and we need to change our way if we are going to protect the planet," he said. "Or you take the lead and you try to differentiate yourself positively." Boursier sees Loop as a way for big brands to do that, adding that while it's too soon to know the full potential, "I believe it can change the world."  

 

Next steps

After the first two pilots launch this spring, Loop is expected to expand into the London area in late 2019 with retailer Tesco. Toronto, California and Tokyo — in conjunction with the 2020 Summer Olympics — are on tap for next year. According to Bloomberg, the company has invested an estimated $10 million in this concept. Asked how he sees this growing as part of TerraCycle's business, Szaky noted that the timeframe might be long, but the change will be apparent when the company's market share in a given area shifts away recycling disposable products to durable ones. Based on life-cycle assessments, consumers will need to reorder products upward of five times for the environmental effects to even out. Watching how many repeat participants Loop can attract, and at what scale, will be key to tracking its progress. In the meantime, Szaky is also still looking for acquisition opportunities in specialized waste streams — such as the 2018 purchase of light bulb recycler Air Cycle — and remains open to a scenario in which TerraCycle's core business of recycling challenging materials shrinks as Loop grows. When asked if the long-term plan was to still file for an IPO once the company approached $70 million in revenue, Szaky replied: "It absolutely is, and Loop just helps us get there faster."

Ante las consecuencias innegables de la contaminación por plásticos, personas de todo el mundo están rechazando los artículos plásticos desechables y se están comprometiendo con estilos de vida sostenibles. Los gobiernos también están actuando: más de 50 países se han unido a la campaña Mares Limpios de ONU Medio Ambiente, el mayor movimiento mundial de lucha contra la basura marina. Las empresas no pueden permitirse ignorar esta protesta pública. Muchas industrias están elaborando planes para eliminar los plásticos de un solo uso, usar más plástico reciclado en sus empaques y trabajar en un reciclaje más efectivo. La presión no proviene solo de los consumidores. Bloomberg informó en junio que un grupo de 25 inversores que administra más de US$ 1 billón en activos exigió que Nestlé, PepsiCo, Procter & Gamble y Unilever redujeran su uso de empaques plásticos. En la solicitud, respaldada por la organización sin fines de lucro As You Sow, se pidió a las empresas que divulgaran el uso anual de empaques de plástico, establecieran objetivos de reducción y facilitaran el reciclaje y la transición a empaques reciclables, reutilizables o compostables tanto como fuera posible. La necesidad de actuar urgentemente es innegable: los humanos han producido alrededor de 8.300 millones de toneladas de plástico desde la década de 1950 y se prevé que esa cifra aumente a alrededor de 34.000 millones de toneladas en 2050. Se estima que la producción de plástico crezca 40% en la próxima década, con compañías de combustibles fósiles invirtiendo miles de millones de dólares en nuevas industrias de fabricación de plástico en Estados Unidos. Las empresas que usan plásticos claramente tienen un papel fundamental que desempeñar para cambiar esta dinámica insostenible. La industria de bienes de consumo es particularmente consciente de que los clientes ya están rechazando los productos de las empresas que no evitan el uso de plástico desechable. La esperanza es que esta nueva realidad pueda generar innovación y oportunidades. Ya muchas firmas, grandes y pequeñas, están haciendo cambios. Aquí hay solo algunos ejemplos: En abril, el gigante suizo de alimentos Nestlé se comprometió a que sus empaques plásticos serían 100% reciclables o reusables para 2025. La empresa quiere fomentar el uso de plásticos que permitan mejores tasas de reciclaje y eliminen o cambien las combinaciones complejas que dificultan el reciclaje. Unilever también se ha comprometido a garantizar que todos sus envases de plástico sean totalmente reutilizables, reciclables o compostables para el año 2025. Unilever respalda la iniciativa para una Nueva Economía del Plástico de la Fundación Ellen MacArthur y pretende publicar antes de 2020 toda la gama de materiales plásticos utilizados en sus procesos de embalaje para ayudar a crear un protocolo para la industria. En el marco del Día Mundial del Medio Ambiente, Volvo anunció que al menos 25% de los plásticos utilizados en sus nuevos modelos de automóviles a partir de 2025 se fabricarán con materiales reciclados. El gigante de bebidas Coca-Cola, que usa alrededor de 120.000 millones de botellas al año, lanzó en enero su campaña World Without Waste y se comprometió a reciclar una botella o lata usada por cada nueva que se venda a partir de 2030. Para ese año, también prometió aumentar a 50% la cantidad de contenido reciclado en botellas de plástico y está experimentando con diferentes técnicas de recolección para reciclar sus productos, incluyendo el respaldo a los esfuerzos de los gobiernos y la industria. McDonald’s ha dicho que hará todos sus empaques a partir de fuentes renovables y reciclables para el año 2025. Dell apunta a que sus empaques no generen ningún tipo de desechos para el año 2020, utilizando materiales de fuentes sostenibles. La empresa de informática ya utiliza basura marina plástica reciclada y otros materiales como el bambú y aspira a que todos sus empaques sean finalmente aptos para el compostaje o la recolección doméstica. Evian de Danone fabricará todas sus botellas a partir de plástico reciclado para 2025. La tienda británica Iceland prometió eliminar los empaques de plástico de sus productos propios para fines de 2023. Procter & Gamble, que fabrica el champú Head & Shoulders, produjo el año pasado la primera botella de champú reciclable, fabricada con hasta 25% de plástico recuperado de playas. Además se ha comprometido a hacer que todos sus envases sean reciclables o reutilizables para el año 2030. Su marca de lavado, Fairy Liquid, ya ha producido una nueva botella de plástico, hecha con plástico 100% reciclado y 10% de basura marina plástica. Las botellas se desarrollaron en asociación con TerraCycle. La cadena de muebles sueca IKEA se ha comprometido a eliminar gradualmente los productos de plástico de un solo uso de sus tiendas y restaurantes para 2020. La firma dice que está comprometida con la eliminación de los plásticos a base de petróleo y quiere garantizar que todos sus productos de plástico estén hechos con materiales reciclados. En un informe reciente, ONU Medio Ambiente examina el potencial de reemplazar los plásticos convencionales con una gama de materiales naturales, como papel, algodón, madera, algas y hongos, y tecnologías alternativas, y biopolímeros de nueva generación fabricados a partir de fuentes de biomasa. También destaca a empresas, desde multinacionales hasta emprendimientos, que están innovando en este campo. Por ejemplo, una empresa con sede en Nueva York ha desarrollado envases compostables que utilizan desechos orgánicos y micelio fúngico. El material se puede modelar y se ha usado para enviar productos de alto valor, incluidas las computadoras Dell. El informe concluye que las empresas deben incluir la sostenibilidad en sus modelos comerciales, a veces inspirándose en las comunidades locales para encontrar alternativas al plástico disponibles a partir de plantas y animales. La innovación y el espíritu empresarial son fundamentales. Sin duda, este es precisamente el dominio en el que deben brillar las empresas líderes del mundo.

Welcome to Planet for All—a series that will empower you to change our world. This week, we’re teaming up with sustainable thought leaders to unpack five of the biggest threats to our environment and pinpoint accessible, meaningful, and heart-driven action that we can all take to make a huge difference. Today, we’re exploring the massive plastic waste problem with tell-it-like-it-is trailblazer Tom Szaky.

A large number of global consumer companies have launched an initiative to reduce waste from packaging. Through the Loop service, companies like Unilever, Nestle and Coca Cola are planning to offer reusable packaging that is collected after use and then refilled and reused. Photo: Walk Some of the world's largest consumer companies have joined forces with the recycling company TerraCycle to launch a global shopping system for reusable packaging. The shopping system Loop has been developed to reduce the world's dependence on disposable plastic by offering circular solutions for consumer products. Through Loop, companies plan to offer consumers reusable packaging that is collected after use and then cleaned, refilled and reused. Loop was launched during the World Economic Forum's Davos Summit. Over 20 global consumer companies have been involved in financing Loop, including Procter & Gamle, Nestle, Unilever, Pepsi, Coca Cola and Body Shop. Food chains such as British Tesco and the logistics company UPS also participate in the initiative. "Loop is a long-awaited innovation that challenges companies to take a new grip on our value chains and integrate reusable product packaging as part of our work to reduce waste," says Laurent Freixe, CEO of Nestlé in the US, in a comment. According to the life cycle analyzes that Loop has carried out together with its partners, the environmental benefits of the long-lasting products show that they are better than for disposable packaging, while at the same time the waste is reduced. Loop will be launched in the spring in France and the Northeast USA. The service is expected to be launched in more countries in 2019 and 2020. A spokesperson from Loop tells Current Sustainability that so far there are plans to launch the service in the UK, Canada and Tokyo, but more markets are expected to be in the future.

April 22 of each year is World Earth Day. To commemorate the Earth Day of 2017, TerraCycle will invite New Zealanders to register as members of the recycling hubs and put their junk into the community for recycling.

“One man’s trash is another man’s treasure,” as the saying goes. For TerraCycle founder Tom Szaky, it was more than a saying—it was also his business plan. Founded in 2003, TerraCycle takes your garbage—everything and anything you could throw away or recycle—and transforms it into consumer products like cutting boards, reusable grocery bags, and even yard fencing.

His story sounds like a frat-house comedy, in which a shaggy-haired Princeton kid discovers the recipe for totally awesome pot, and turns the idea into a business. His secret: fertilizer made from worm poop.

Das Recycling wird belohnt: Pro Stift spendet der Stifte- und Feuerzeughersteller BIC zwei Cent. Recycelt werden die Stifte über eine Firma namens TerraCycle. Die haben mit rund 30 internationalen Firmen wie Colgate oder Nestle Kooperationen geschlossen, um weltweit alte Stifte, leere Getränkeverpackungen oder alte Zahnbürsten zu sammeln. TerraCycle verwertet den Müll. Dabei werden die Stifte auseinandergenommen, die verschiedenen Plastikmaterialien werden geschreddert und sortiert, magnetische und nichtmagnetische Metalle voneinander getrennt. Als Dankeschön für das Sammeln zahlen Stifte- oder Zahnpastahersteller an die Sammler kleine Beträge und werben damit, ihre Produkte nachhaltig zu entsorgen. Die Sammler wiederum verpflichten sich, das Geld für ihren Abfall an eine gemeinnützige Organisation zu spenden.