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Nestlé in society Creating Shared Value and meeting our commitments 2015

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<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong>:<br />

Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong><br />

Nutrition, health<br />

<strong>and</strong> wellness Rural development Water<br />

Environmental<br />

susta<strong>in</strong>ability<br />

Human rights<br />

<strong>and</strong> compliance<br />

Our<br />

people<br />

G4-EN28<br />

Support<strong>in</strong>g Brazil’s national solid<br />

waste policy<br />

New research <strong>in</strong>to the recovery<br />

of flexible packag<strong>in</strong>g<br />

In Brazil, almost a third of the waste generated is recyclable, so<br />

the Government enshr<strong>in</strong>ed its National Solid Waste Policy <strong>in</strong><br />

law to establish greater shared responsibility for action.<br />

Through a model recognised by the United Nations<br />

Environment Programme (UNEP) as a benchmark for<br />

develop<strong>in</strong>g countries, bus<strong>in</strong>esses are expected to develop the<br />

process for collect<strong>in</strong>g their post-consumption packag<strong>in</strong>g for<br />

further recycl<strong>in</strong>g.<br />

More than 300 packag<strong>in</strong>g manufacturers, consumer goods<br />

producers, importers <strong>and</strong> distribution companies, as well as 21<br />

bus<strong>in</strong>ess associations – <strong>in</strong>clud<strong>in</strong>g the Brazilian Food Industry<br />

Association (ABIA), which represents <strong>Nestlé</strong> – make up the<br />

Packag<strong>in</strong>g Recycl<strong>in</strong>g Bus<strong>in</strong>ess Coalition. The coalition<br />

represents more than 70% of Brazil’s packag<strong>in</strong>g sector <strong>and</strong> has<br />

been <strong>in</strong>strumental <strong>in</strong> establish<strong>in</strong>g an <strong>in</strong>dustry agreement.<br />

Start<strong>in</strong>g <strong>in</strong> 12 Brazilian state capitals <strong>and</strong> their metropolitan<br />

regions that are responsible for generat<strong>in</strong>g more than a third of<br />

the nation’s waste, the aim is to <strong>in</strong>crease the recovery of dry<br />

recyclable waste to 28% by 2019. A second phase will <strong>in</strong>volve<br />

a national roll-out, with a recycl<strong>in</strong>g target of 45% by 2031.<br />

Through an annual <strong>in</strong>vestment of BRL 1.3 million (CHF<br />

485 000), <strong>Nestlé</strong> Brazil helps keep post-consumer packag<strong>in</strong>g<br />

out of l<strong>and</strong>fill, create recycl<strong>in</strong>g co-operatives <strong>and</strong> generate<br />

employment. Of the 160 co-operatives covered by CEMPRE<br />

(Bus<strong>in</strong>ess Commitment to Recycl<strong>in</strong>g) throughout Brazil, <strong>Nestlé</strong><br />

now supports 69 of them across 34 cities <strong>in</strong> 15 states. Our<br />

programme now covers more than 1900 catadores (waste<br />

pickers) – more than twice the 2014 figure – who segregated<br />

51 000 tonnes of recyclable waste from Brazil’s l<strong>and</strong>fill sites<br />

<strong>in</strong> <strong>2015</strong>.<br />

In September <strong>2015</strong>, new research <strong>in</strong>to <strong>in</strong>creas<strong>in</strong>g the recovery<br />

of flexible packag<strong>in</strong>g was published by the Research<br />

Foundation for Health <strong>and</strong> Environmental Effects (RFHEE). The<br />

study, ‘Materials Recovery for the Future’, was sponsored by a<br />

number of manufacturers, <strong>in</strong>clud<strong>in</strong>g <strong>Nestlé</strong> Pur<strong>in</strong>a PetCare <strong>and</strong><br />

<strong>Nestlé</strong> USA, <strong>and</strong> <strong>in</strong>dustry organisations such as the<br />

Association of Postconsumer Plastic Recyclers (APR), the<br />

Flexible Packag<strong>in</strong>g Association (FPA) <strong>and</strong> SPI (the plastics<br />

<strong>in</strong>dustry trade association).<br />

The research is the first <strong>in</strong> a series of <strong>in</strong>itiatives, aimed at<br />

creat<strong>in</strong>g a ma<strong>in</strong>stream recovery solution for flexible packag<strong>in</strong>g.<br />

It will help ‘close the loop’ for flexible packag<strong>in</strong>g materials.<br />

Res<strong>our</strong>ce Recycl<strong>in</strong>g Systems will conduct basel<strong>in</strong>e tests of<br />

the sort<strong>in</strong>g technologies commonly used <strong>in</strong> material recovery<br />

facilities, such as screens <strong>and</strong> optical scanners, to determ<strong>in</strong>e<br />

their effectiveness for separat<strong>in</strong>g films <strong>and</strong> other flexible<br />

packag<strong>in</strong>g. Results are expected <strong>in</strong> mid-2016.<br />

The research is the first to use this methodology to<br />

study the movement of films <strong>and</strong> flexible plastic<br />

packag<strong>in</strong>g at material recovery facilities <strong>in</strong> the<br />

United States. We believe that data will help us<br />

learn how to recover <strong>and</strong> divert more valuable<br />

res<strong>in</strong>s from l<strong>and</strong>fill.”<br />

Diane Herndon, Manager, Susta<strong>in</strong>ability,<br />

<strong>Nestlé</strong> Pur<strong>in</strong>a PetCare<br />

Sortable black plastic pots,<br />

Germany<br />

<strong>Nestlé</strong> Germany has developed a new range of <strong>in</strong>stant noodles,<br />

packed <strong>in</strong>to an exist<strong>in</strong>g polypropylene cup adapted from<br />

another <strong>in</strong>stant product range. The col<strong>our</strong> of the exist<strong>in</strong>g cup is<br />

white but the new product range required a black cup. The<br />

issue with conventional, carbon-based black col<strong>our</strong>ants is that<br />

the black plastic is not detectable <strong>and</strong> sortable via Near<br />

Infrared (NIR), the common detect<strong>in</strong>g technology with<strong>in</strong> fully<br />

automated German, post-consumer packag<strong>in</strong>g sort<strong>in</strong>g centres.<br />

With<strong>in</strong> the NEATpack process, we tested different black,<br />

soot-free col<strong>our</strong>ants at a sort<strong>in</strong>g plant <strong>in</strong> Leipzig <strong>and</strong> one, along<br />

with the white batches, was detectable by NIR technology as<br />

be<strong>in</strong>g PP, enabl<strong>in</strong>g effective sort<strong>in</strong>g <strong>and</strong> recycl<strong>in</strong>g. The related<br />

EcodEX study has proven that the use of the alternative<br />

col<strong>our</strong>ant has significantly reduced the impact of GHG<br />

emissions <strong>and</strong> non-renewable energy (see graphic).<br />

The redesigned black cup, launched <strong>in</strong> March <strong>2015</strong>, is an<br />

equally effective barrier to water vap<strong>our</strong> <strong>and</strong> even better barrier<br />

to light than the white cup.<br />

Recovery <strong>in</strong>frastructure around the world<br />

The recovery rate of used packag<strong>in</strong>g <strong>in</strong> any given location<br />

largely depends on the availability of collection <strong>and</strong> recovery<br />

<strong>in</strong>frastructure. Therefore, we cont<strong>in</strong>ue to collaborate with<br />

br<strong>and</strong> owners, packag<strong>in</strong>g suppliers, public <strong>and</strong> private waste<br />

management schemes, operators <strong>and</strong> co-operatives,<br />

governments <strong>and</strong> municipalities around the world to establish<br />

comprehensive schemes for the collection <strong>and</strong> recovery of<br />

post-consumer packag<strong>in</strong>g.<br />

Such schemes usually <strong>in</strong>volve the wide availability of<br />

collection po<strong>in</strong>ts for used packag<strong>in</strong>g, efficient sort<strong>in</strong>g <strong>and</strong> a<br />

range of recovery options, <strong>in</strong>clud<strong>in</strong>g recycl<strong>in</strong>g, energy<br />

recovery, compost<strong>in</strong>g <strong>and</strong> anaerobic digestion (AD). Together,<br />

they help maximise the environmental performance of the<br />

packag<strong>in</strong>g life cycle <strong>and</strong> m<strong>in</strong>imise the quantity of <strong>our</strong> used<br />

packag<strong>in</strong>g end<strong>in</strong>g up <strong>in</strong> l<strong>and</strong>fill or as litter.<br />

The lack of <strong>in</strong>frastructure can be a particular challenge <strong>in</strong><br />

some develop<strong>in</strong>g countries, where the only collection method<br />

is waste pickers sort<strong>in</strong>g through l<strong>and</strong>fill sites by h<strong>and</strong>. Together<br />

with other members of the Consumer Goods Forum (CGF), we<br />

are <strong>in</strong>vestigat<strong>in</strong>g how to help <strong>in</strong>crease the recycl<strong>in</strong>g <strong>and</strong><br />

recovery of used packag<strong>in</strong>g <strong>in</strong> emerg<strong>in</strong>g <strong>and</strong> develop<strong>in</strong>g<br />

countries, beg<strong>in</strong>n<strong>in</strong>g with a project to retrieve packag<strong>in</strong>g from<br />

municipal solid waste.<br />

<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong> – Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong> <strong>and</strong> meet<strong>in</strong>g <strong>our</strong> <strong>commitments</strong> <strong>2015</strong> 189

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