PACKAGING COUNCIL (SECRETARIAT)

Plastics Sector

Achieves Accord target of 23%

23% plastic packaging was recovered as a percentage of consumption with 33,770 tonnes of plastic collected equivalent to 844 million 2 litre plastic bottles. 

Consumption decreased by 6% (or 8,743 tonnes) and the amount of recovered plastics decreased slightly by circa 3%. Significantly, the amount of recycled plastic in food grade packaging is increasing (see case study). Currently recycled PET plastic resin is imported. In the longer term the industry aims to use more post consumer recycled plastic recovered and processed in New Zealand.

Plastics New Zealand has been collating recycling data for 16 years and in preparation for the final Year 5 survey will retain an independent consultancy to conduct an audit of the Year 4 statistics. This audit will include a review of historical data and the range of companies and materials covered in the annual Mass Balance Survey information.

Whilst plastic packaging increasingly substitutes other packaging types the total consumption has decreased slightly. Plastic packaging is being chosen increasingly for food and other exports to reduce weight during transport.  Furthermore in response to increasing prices for virgin resin manufacturers are continuing to lightweight (reduce the amount of plastic) their products. 

In addition, it is anticipated that consumption will slow as major manufacturers move off shore.

The price for recovered plastics has increased significantly in Year 4 creating an incentive for recycling operators to extend the types of materials that they are accepting.

As viable markets, including for contaminated flexible packaging open up, the industry is confident that the recycling rate will improve particularly with more councils offering collection services for all plastic types. Increased demand and prices for recycled plastic will make the economics of alternatives such as waste to energy and biodiesel more challenging.

Improved recycling is dependent upon improved consistency across the country of both collection types and consumer information. Plastics New Zealand is committed to assisting with this education process and reports that its most popular webpages are those which explain the Plastics Identification Codes 1 to 7 and what they mean in terms of recyclability.

This consumer interest is underpinned by a greater awareness amongst brand owners and the packaged goods industry about the whole of life impacts of packaging. Uptake of the Plastics New Zealand Design for the Environment Guidelines has increased resulting in better labelling and interest from designers in selecting the correct code classifications. This has been particularly evident with suppliers to the Govt3 procurement process. In addition, Plastics New Zealand has put in place an extensive industry training programme using the NZQA Unit Standards to ensure that industry participants understand and use the Plastics Identification Code.

Recycling plastic into new products rather than using virgin plastics can save on average two tonnes of CO2 for every tonne of plastic recycled. There is a wide range of markets including full closed loop recycling back into packaging.

However with around 50% plastic packaging produced off shore, New Zealand continues to be challenged by overseas trends including degradable plastics. A “New Zealand Product Stewardship Guide and Commitment for Degradable Plastics” is to be published which defines and classifies agreed standards and labels for degradable plastics.  The length of time this is taking to prepare illustrates the complexity of the topic.

New Zealand’s current plastic recycling rate is comparable with that in Australia and the Netherlands and exceeds the UK however with more comprehensive kerbside collections, higher prices for recovered plastics and better markets for the materials, the industry is expecting more onshore recycling for PET and HDPE and increased recycling rates.

Approximately 275 million milk bottles are now recovered each year

Case Study

Recycled PET and HDPE is increasingly used around the world in primary packaging by retailers and branded manufacturers for bottles and trays. Coca Cola Amatil was the first non-alcoholic beverage company in New Zealand to package a food grade product using post consumer recycled content PET.

PACKAGING COUNCIL OF NEW ZEALAND
ACTING AS THE NZ PACKAGING ACCORD SECRETARIAT
77 Greenmount Drive, East Tamaki, Manukau
PO Box 58899, Greenmount, Auckland
PHONE: 09 271 4044, FAX: 09 271 4041