Unilever Nov 2019

Unilever: manufacturing a circular plastic economy

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Unilever: manufacturing a circular plastic economy NOVEMBER 2019

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UNILEVER

© Perkins&Will/Unilever

Business Chief takes a closer look at the circular economy for plastic being instituted at and supported by Unilever

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ultinational consumer goods company Unilever has, since its founding 90 years ago, diversified its offerings to include a

huge variety of items ranging from food to cleaning products. With over 400 brands, Unilever says on its website that on any day, “2.5bn people use Unilever 04

products”. According to Statista, the company’s market value in 2018 was $155.8bn, with revenues of US$56.612bn (€50.982bn), making it one of Europe’s largest companies. As of 2019, the company reportedly employs 155,000 people around the world.

For a company as large as Unilever, any of its initiatives have the potential for huge knock-on effects. Because of this, it stresses the importance of research and development (R&D) to pioneer new approaches. With six R&D centres across the world staffed by 6,000 R&D workers and US$1.1bn (€1bn) of investment, the company says that “Innovation is at the heart of Unilever’s ambition to grow sustainably. Science, technology and product development are central to our plans to keep providing consumers with great brands that improve NOVEMBER 2019

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“ Our vision is a world in which everyone works together to ensure that plastic stays in the economy and out of the environment” — Alan Jope, CEO, Unilever

NOVEMBER 2019

their lives while having a positive impact on the environment and society.”

Through these words, Unilever’s intent to position science and technology to meet the world’s environmental concerns can be understood. One of the principal considerations of fast moving consumer goods is necessarily packaging, and with such a focus comes the attendant environmental concern. Many of these packagings come in the form of plastics, with that category subdivided further still.

Single-use plastics have come under particular scrutiny, with the European

CLICK TO WATCH : ‘UNILEVER 2025 PLASTIC PACKAGING COMMITMENTS’ 07 Parliament approving a complete ban planned to go into effect across the bloc by 2021. According to Unilever, the deaths of 100mn marine animals can be attributed to discarded plastic each year. “Plastic has its place, but that place is not in the environment,” said CEO Alan Jope in a press release.

“We can only eliminate plastic waste by acting fast and taking radical action at all points in the plastic cycle.”

In response to such measures, Unilever is helping forward the move towards a circular economy which not only uses less plastic but recycles, w w w.uni l ever. com

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reuses or composts the material it

it sells” – moves which have seen

does use. Currently, Unilever quotes

Unilever become the first company

figures suggesting that only 14% of the

of its kind to target a reduction in

world’s plastic packaging ends up in

plastic in absolute terms.

recycling plants, with only 9% going on

“Our starting point has to be design,

to be recycled. The company announced

reducing the amount of plastic we use,

that by 2025 it would halve its use of

and then making sure that what we do

virgin plastic via a reduction in the

use increasingly comes from recycled

amount of plastic packaging in the

sources,” said Jope in the press

order of 100,000 tonnes and by

release. “We are also committed to

increasing its use of recycled material.

ensuring all our plastic packaging is

It said it would also help to “collect and

reusable, recyclable or compostable.

process more plastic packaging than

This demands a fundamental rethink

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in our approach to our packaging and products. It requires us to introduce new and innovative packaging materials and scale up new business models, like re-use and re-fill formats, at an unprecedented speed and intensity.”

Unilever’s endeavours in this area are backed by other concrete targets.

100% of Unilever packaging will have sustainability or recycling information by 2021, and 100% of packaging will be recycling ready or reusable by 2025.

“ We can only eliminate plastic waste by acting fast and taking radical action at all points in the plastic cycle” — Alan Jope, CEO, Unilever

All rigid Plastic packaging will be 100% w w w.uni l ever. com

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“ We see no paradox between responsible consumption, sustainable business, purposeful brands and better financial performance” — Alan Jope, CEO, Unilever

Cif ecorefill – a 10x concentrated refill that allows shoppers to buy one spray bottle, which they can then use for life

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Supply Chain Efficiency Demands a World-Class Supplier.

Put Your Trust in a Vertically Integrated Partner.

Committed to Sustainability. Driven by Innovation.

Graphic Packaging International is an integrated supplier of paperboard, cartons and machinery. We deliver packaging solutions and machinery systems using state-of-the-art technologies. Brand owners around the globe rely on us for our unwavering focus on quality and efficiency.

Our products are made from paperboard, a recyclable material and made from renewable resources. When you choose Graphic Packaging International, you’re making a sustainable choice for the environment and your business.

Learn more at graphicpkg.com Š2019 Graphic Packaging International the wholly-owned operating subsidiary of Graphic Packaging Holding Company (NYSE: GPK)

Community-based waste banks NOVEMBER 2019

US$56.6bn Approximate revenue

1872

Year founded

155,000

Approximate number of employees

post-consumer resin by 2025, and for the Hellmann’s brand specifically, 25% of turnover will be driven by refillable or reusable plastics by 2025.

That brand, as well as Axe and Dove, are participating in the Loop Program to disruptively upcycle plastic waste via a process of depolymerization, in turn producing food-grade PET plastic and Polyester.

These targets are all intended to benchmark Unilever’s progress towards its ultimate goal. “Our vision is a world in which everyone works together to ensure that plastic stays in the

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Unilever’s partnership with Mr Green Africa unlocks sustainable solutions to plastic waste management in Kenya

All Things Hair – a new model of eco-friendly shopping in the Philippines NOVEMBER 2019

economy and out of the environment,” continued Jope in the press release.

“Our plastic is our responsibility and so we are committed to collecting back more than we sell, as part of our drive towards a circular economy. This is a daunting but exciting task which will help drive global demand for recycled plastic.”

The move towards sustainability is not in conflict with the business imperative, however. In an interview with the BBC, Jope said: “We do believe in trying to remain relevant for younger groups of consumers as they come into the market, and we know that millenials really care about purpose and sustainability and the conduct of the companies and the brands that they’re buying.

This is part of responding to society but also remaining relevant for years to come in the market. We see no paradox between responsible consumption, sustainable business, purposeful brands and better financial performance.”

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www.unilever.com