The Future of Recyclable Packaging in the Meat Industry

Leslie Cook– Strategic Portfolio Director NAMI Environmental Conference January 28, 2020

How we got here? - The Perfect Storm

How are we going to get there?

What is in the future?

Designing for Today and Tomorrow where it never becomes waste.

CHINA STOP WASTE IMPORTS LOCAL RECYCLING in FLUX China stopped importing plastic Municipalities are closing or reducing waste that accounted for 56% of the their curbside recycling due to rising world’s imports. costs and changing markets.

- PLASTIC BANS PLASTIC IN OUR OCEAN Proposed bans in countries, Consumer awareness is heightened states/provinces, counties & on the mis-managed plastic waste. cities across the globe. Single- use plastic at the center of it.

Global Packaging Market $980 BILLION by 2020 Increase pressure on brand owners to make packaging 100% RECYCLABLE by 2025.

Currently, supply of recycled plastics meets only 6% of the demand.

By 2025: Invest in Innovation: Design and advance packaging solutions to be 100% recyclable or reusable

Eliminate Plastic Waste: Target 50% average recycled content across all packaging solutions of which 60% is post-consumer recycled content

Collaborate for Change: Lead collaborations with partners worldwide to increase recycling and reuse rates

We are in business to protect, to solve critical packaging challenges, and to leave our world better than we found it.

600.00

500.00

400.00

300.00

200.00 Carbon Footprint index % index Footprint Carbon 100.00

The carbon footprint of 1 kg of Beef 0.00 is 370 times the carbon footprint of Ambient MAP / LID Darfresh the bag used to package it PVC std PP tray on Board

top pad bottom material transport packaging energy Food Waste disposal

How the Consumer Sees Packaging How the Life Cycle Analyst Sees Packaging

Packaging, Waste Transport, 4% Disposal, Packaging 5% 1% material Avoidable 89% Waste, 6%

Production, 34% Unavoidabl e Waste, 17%

Home Discarded Cooking, Processing, food 17% 20% 11%

Which is more harmful to the environment? GHG emissions for US poultry supply chain

Source: Harris Poll on Consumer Food Waste (2015) Source: AMERIPEN Value of Packaging (2013) © 2020 Sealed Air 7 Consumers are becoming more aware that not all content entering the recycling stream is actually recycled. However, consumers still overstate the amount which is actually recycled.

% of meat purchasers throwing away fresh refrigerated meat at 33% 30% 26% 30% 77% least once a week % of collected recyclable waste which is believed to be 37% 42% 43% 34% 43% actually recycled

Source: Sealed Air - Consumer Trade-off Study:Sustainable Meat Packaging

40% 37% 35% 31% 30% Inconvenience of recycling 30% programs What do you 24% think keeps 25% 23% Lack of programs & service 21% 21% people like you 20% 20% to enable recycling 20% 17% from recycling 16% 15% Lack of trust in recycle more? 15% programs

10% Not knowing how to participate in recycling 5% programs

0% Global North America Western Europe

Consumers are looking to brand owners and governments to lead on providing sustainable solutions

Consumers are paying attention and rewarding a company’s environmental efforts by giving them their business

Materials Design Recovery Education

What packaging is made of… How packaging is put together… When packaging can be recovered… How the consumer can participate…

• Post-consumer plastic • Simplified multi-layer films • Expanded Collection types • Recyclability label • Plant-based plastics • Major component recycle • Chemical recycling • Resin Identification Codes • Fiber-based materials • Separable formats • Reusable packaging loops • Digital. information • Next generation sorting technologies

New Products Waste Generation

Circular Economy Recycle Collection & Transport

• Sourcing - Renewable/Bio- based, Recycle Content & Responsible Fiber Sourcing

• Recovery – Design for Recovery, Improving Recovery Infrastructure and Increasing Participation in Recycling

Reusable Recyclable Compostable

Curbside Retail Store Customer Multi-Use Industrial Collection Dropoff Take- Back

Formed rigid Rigid, formed or Format Durable Flexible plastics Various plastic containers flexible

Typical Materials Various PET/PP/PE PE Various PLA/PHA/PBS/etc

Must be IR- Must be Requires Must biodegrade Requires reverse sortable, Requirements compatible with consumer within specific logistics system compatible with pure PE collection program timeframe pure materials

Reuse cannot be Multi-material, Oxo or organic Multi-material, Exclusions for a different carbon black, degradable crosslink purpose foams additives

Curbside Recycling

• At least 60% of consumers or communities where the items is sold must have access to recycling facilities

30% post-consumer recycling Store Drop-off rate in multiple regions, collectively representing at least 400 million inhabitants

Source: Sustainable Packaging Coalition

Consumer Specialty Plastic Product Post-Use Use & Chemical Manufactured Packaged Collection Reuse

Monomers Fuels Mechanical Recycling

Chemical Recycling

Consumer Education Promote the Value of Expand Collection Packaging for Waste Recovery Options Prevention Flexible Plastics Solutions

Policymakers will seek to hold producers responsible for waste.

New recovery business models will evolve in the collection & recycling of contaminated flexible films.

Advanced recycling technologies will move closer to commercial scale.

Technology solutions will move consumers from awareness into action.

Municipalities and governments will be more involved in waste recycling, creating regulations for collecting and processing waste.

Plastic recovery initiatives will increase through partnerships with brand owners, plastic manufacturers, governments & NGOs to advance the circular economy.

There is a risk to brand and If you are searching for the right Customer communication and We cannot recycle our way corporate image if no action answer, there is ‘no right answer’. education is powerful. You can out. It starts with smart packaging Is taken. You need to be Customized solutions tailored to differentiate with Messaging. design that addresses your key proactive! your customers’ viewpoints and your You can also impact consumers’ challenges as well as the You need a clear sustainable objectives. buying decisions. management of post consumer packaging policy that is packaging waste. available publicly. We can B2B recovery opportunities will help you. strengthen as a key topic in short/medium term © 2020 Sealed Air 20