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-basedeconomy”

Resource availability and

efficiency

Climate change

WasteProducts

“Sustainable production & consumption”

Eco-design

Product stewardship and consumer information

“Circulareconomy”

Extended producer

responsibility (EPR)

Internal

Our Reality

JRQ/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

A world where used

packaging and

printed paper are

seen as valuable

resources to be

recovered in an

economically and

socially responsible

manner

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

Recovery

Rate

Carton Council Focus Areas

Recycling Policy

Growing Recycling

Stakeholder

Engagement

Growing Recycling: Key to Success

Recycling Policy

Growing Recycling

Stakeholder

Engagement

What is Needed

Consumers

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

Consumers Collectors Sorters 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

2011 2011 2011 2011 2012 2012 2012 2012 2012 2012 2012 2012Sept Oct Nov Dec Jan Feb Mar Apr May June July Aug

$0

$100

$200

$300

$400

$500

$600

$700

$800

PET (mixed)Polycoat Containers

Carton Value Steady6% 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

Consumers Collectors Sorters Markets

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

Consumers

Collectors Sorters Markets

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 Collectors Sorters Markets

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

MRFCapacity

Education &

Outreach