Interview with Parag

Interview with Parag Our regional sustainability chief explains how we’re making a material difference

Sustainability is a big issue, whether we’re talking about climate change, plastics pollution, or any number of topics. What is happening in the label industry?

Sustainability has been a topic of interest for several years now and we’re not just talking about the future, we’re talking about now. Becoming sustainable today. Governments and industries are demanding more sustainable practices. Governments are strengthening their regulations, while many companies are putting more stringent sourcing policies in place. The labeling industry is no exception. Packaging is changing in response to sustainability concerns, and Avery Dennison is at the forefront of that change. As pressure-sensitive labels remain a preferred decoration technology for packaging, we’re reinforcing our efforts by expanding ClearIntent™, our portfolio of sustainable solutions. We’re creating thinner facestocks, materials made from recycled waste, and solutions that enable

6 Parag Bagade Head of Sustainability, Compliance and ADvantage Services South Asia Pacific and Sub-Saharan Africa

recyclability of the entire container. These and other sustainable solutions are readily available today. We also offer recycling programs that have been developed with local partners to recycle and repurpose label waste. Overall, the ClearIntent™ portfolio helps obtain the benefits of both PS label technology and sustainability.

How have Avery Dennison’s sustainability solutions been successfully applied?

Numerous well-known brands use our ClearIntent™ solutions. CleanFlake™ Adhesive Technology, as one example from our ClearIntent™ portfolio, has been applied to many different FMCG brands since its launch in 2012. As our patented solution recognized by numerous awards, CleanFlake™ increases the recyclability of PET bottles by enabling the label to cleanly separate from the container during the recycling process. Another example is the growing number of customers using our Avery Dennison Recycling Services program, where we partner with local recyclers to keep liner and matrix waste out of landfills. The program is easy to implement and is quickly spreading to many countries globally.

How do customers react to the ClearIntent™ Portfolio?

Products in the ClearIntent™ portfolio provide easy-to-understand information that customers need to strategically adopt sustainable solutions. So customers have largely been quite receptive, which is great, because we need their engagement to make a difference on a meaningful scale.

It’s a different environment than even five years ago. Today, everyone is serious about sustainability and they’re ready and willing to commit to environmentally friendly options. Consumers as well as our customers are demanding better solutions that could help them reach their own sustainability goals. Together, we need to form strong partnerships

“Consumers as well as our customers are demanding better solutions that could help them reach their own sustainability goals. Together, we need to form strong partnerships to make real change as we invest in innovative solutions that will speak to the industry”

to make real change as we invest in innovative solutions that will speak to the industry. This not only means better products, but also valueadded services such as the recycling programs. And we’re developing all those things in collaboration with customers.

Do you think the state of the economy or a company’s financial stability impacts how they approach sustainability? How?

Both are critical decision levers, however motivation to make positive changes to the planet and increasing consumer demand are also growing considerations. It’s often not an either/ or proposition. Being sustainable doesn’t necessarily mean spending more money or giving up anything. Take pressure-sensitive labels, for example. There is a broad range of cost-neutral alternatives in the ClearIntent™ portfolio that still provide the stunning shelf appeal that cannot be compromised. We invest a lot of effort in supporting customers with the information they need that can help them make the right labeling choice for every need, no matter how big or small their business may be, or how negatively the economy is impacting their business.

What does the future of sustainability look like for Avery Dennison?

Busy! To begin with, we’re highly committed to doing our part in promoting a circular economy through expanding our Sustainability portfolio. Our liner recycling program has successfully commercialized in India and Australia, has recently started in the Philippines and South Africa, and is being scaled up in Thailand. Our matrix recycling program has also launched in India and the Philippines. On top of that, we’re associating with global NGOs like the Ellen MacArthur Foundation and WWF to more vigorously drive a sustainable future.

In addition, we’ll continue to choose raw materials that minimize consumption of resources, and to manufacture our products and operate our facilities in ways that reduce our greenhouse gas emissions. We’ll also continue collaborating with our customers, suppliers, peers and others to advance sustainability industrywide. Our own RFID-enabled intelligent label solutions have the capacity to dramatically increase efficiency and reduce waste in supply chains, while increasing brands’ capabilities for communicating with consumers about product provenance, recycling and reuse.

We’re a materials science company, so everything we do to promote sustainability comes back to our materials. Innovation in their design, manufacturing, and application is how we’ll help solve big sustainability challenges while remaining the go-to partner for converters and brands. We’re excited about where the industry is going, and how we can help it get there. ■