Beyond Producer ResponsibilityHow the Carton Council is Building a Sustainable

Recycling Supply Chain

Elisabeth Comere, PAC Conference,

Ottawa - September 30, 2012

Optimization Guided by Life Cycle

Reduction at

the source

Recyclability

Eco-Design

Trends in Environment Legislation

Resources

“Bio-based

economy”

Resource availability

and efficiency

Climate change

WasteProducts

“Sustainable

production &

consumption”

Eco-design

Product stewardship

and consumer

information

“Circular

economy”

Extended producer

responsibility (EPR)

Our Reality

InternalJRQ/09-19-12

Strong

emphasis on

Recycling in-

home & away

from home

Growing demand for more

sustainable products/packaging

Retailers set green supply chain

requirements

Food industry set ambitious

environment targets

Packaging industry improve

green profile

Our Vision

Our Strategy

Cities Sorters Brokers Mills

Our ability to leverage the recycling supply chain

Guiding Principles

• Industry leadership to design and

manage recycling systems

• Shared responsibility among

affected stakeholders

• Transparent and fair allocation of

costs

• Foster innovation and continuous

improvement

• Leverage administrative

efficiencies through cooperation with

other industry stewardship programs

Carton Industry Alignment

• The Carton Council of Canada -

Leading carton manufacturing

companies in Canada

• Member companies manufacture and

market processing & packaging

systems that are convenient, safe and

environmentally sound.

Canadian GoalsSorting into separate grades

Drive consumer awareness Stakeholder engagement

Ensure robust North American

end-markets for cartons

Carton Council Focus Areas

Recycling Policy

Growing Recycling

Stakeholder Engagement

Growing Recycling: Key to Success

Growing Recycling

What is Needed

Consumers

Awareness –must know cartons are recyclable & how & why to do so

Access –Canadians able to conveniently recycle their used cartons at home & on-the-go

Collectors

Assurance –proof that markets want & will recycle cartons

Assistance -technical & promotional support to establish carton recycling programs

Sorters

Assurance –proof that markets want & will recycle cartons

Assistance -technical & potentially financial to build business case to sort cartons

Markets

Assurance -pricing sufficient to encourage collection/sorting;sufficient carton volume to justify buying

Assistance –technical & potentially financial

Building Sustainable Markets

Identify suitable North American mill partners

Negotiate agreements with partners to buy cartons at prices that drive collection & sorting

Develop broker ties to move supply to markets

Markets

Step 1

In 2008…

Engaging with Fibre Mills in North America

Grupo Empresarial

Transforma

Great Lakes Tissue

Company

Great Lakes

Tissue

End Markets Success: From 1 to 9 Recyclers since 2009

Cartons are now an ISRI traded commodity

(PSI #52) & pricing is strong and stable

Continue to Build on Campaign

Success

$0

$100

$200

$300

$400

$500

$600

$700

$800

2011 2011 2011 2011 2012 2012 2012 2012 2012 2012 2012 2012

Sept Oct Nov Dec Jan Feb Mar Apr May June July Aug

PET (mixed)

Polycoat Containers

Carton Value Steady

6% decrease

Flat

Source: StewardEdge monthly price sheet (figures in $/tonne)

Ship More Volumes from MRFs

Ensure MRFs separate cartons into own grade

Provide technical support to improve efficiency at MRFs

Link marketing managers with brokers and end-markets

Sorters

Step 2

Grow our fact base on MRF Capacity

• Participated in a study to

measure and observe the flow

of all composite paper

packaging materials in 8 MRFs

in Ontario

• Visits currently underway to

help develop a regional carton

recycling strategy

Capture More in the Blue Box

Provide communications content support to

municipal recycling coordinators

Improve convenience to recycle cartons

Collectors

Step 3

Promotion and Education Campaigns

Drive Consumer Awareness

Make carton recycling more convenient away-

from-home

Share our story through social media:

www.recyclecartons.ca; LinkedIn

Consumers

Step 4

Promoting Consumer AwarenessEngaging Municipalities & Stakeholders

• Tool-kit Templates

» Ads, posters, and more

• FAQs for Communities,

Haulers and MRFs

• Social Media Support

• Video Footage

• Technical Assistance

• New Website

www.recyclecartons.ca

• Collaboration

Opportunities

Projects in the Pipeline

• Deploy promotion and education municipal toolkit to improve awareness for carton recycling

• Launch elementary school recycling education campaign in Montreal

• Promote away-from-home-recycling through support for CBCRA

• Engage in thought leadership through Tetra Pak participation in PAC-Next

Grow supply

MRF

Capacity

Education & Outreach