HomePublicationsInsightsReverse logistics: Development and practices in the beverage sector – Part 1: Returnable containers

Reverse logistics: Development and practices in the beverage sector – Part 1: Returnable containers


This article will be divided into two parts and will address the reverse logistics of packaging, focusing on the beverage sector. In this first part, in addition to a general context regarding the development of reverse packaging logistics, operations involving returnable containers will also be dealt with in more detail, while the second part, which will be published shortly, will address operations involving aluminum cans and other recyclable products.

Reverse logistics has been growing in recent years in order to meet ecological, economic and competitiveness objectives, recapturing the value of waste that was once discarded. In the Brazilian context, an important milestone is the enactment of the National Solid Waste Policy, which in 2010 established the obligation to implement a reverse logistics plan for a number of sectors, including packaging in general, which directly affects the sector. of drinks. In November 2015, a sectoral agreement was signed with the Ministry of the Environment with the objective of guaranteeing the environmentally appropriate final destination of packaging. 7 years after the signing of the agreement, what has been done to develop reverse logistics in the sector?

The main entity at the forefront of the implementation of the reverse logistics system is Coalizão Embalagens, a group that has the participation of about 12 Brazilian Associations and Organizations representing the business sector composed of producers, users, importers and retailers of packaging in general, with over 3.500 member companies. In the first few years, the group focused on creating a nationwide infrastructure to support reverse logistics operations, and has recently started to publish some results: According to group data, in 2020 more than 250 tons of packaging were collected in 374 municipalities in 26 states, plus the Federal District. With the installation of more than 2 Voluntary Delivery Points (PEVs), together with support for cooperatives and waste picker organizations, there was also a 21,3% reduction in the volume of packaging disposed of in landfills.

Specifically for the beverage sector, according to a document published by ABIR – Brazilian Association of Soft Drinks and Non-Alcoholic Beverages (2021), a member of the Coalition, beverages sold in returnable packaging (in this case, containers) currently represent 23% of sales of the sector, and the association promises to increase the investment already in the short term in this type of packaging, as well as in recyclable and recycled packaging. According to an article published by Valor Investe magazine (2022), Coca Cola, one of the main companies participating in ABIR, will invest around US$500 million together with its bottling partners with the aim of increasing the availability of returnable packaging in Latin America. Also according to the article, the group's objective is to reach the level of 40% in the use of returnables in the coming years. In Brazil, the sale of returnables represents about 20% of the total sold by the company, above the company's global average, which is 16%.

One of the pillars for evolution is communication with the final consumer, a key element for the return of packaging to be done properly. The placement of marketing actions encouraging the purchase of products in returnable packaging and consumer awareness for carrying out the return are essential for this type of operation to achieve better results. In this context, an interesting case is that of AMBEV, which recently started selling boxes containing 6 returnable glass bottles, which cannot be sold separately, and began to encourage sales through its delivery application. The boxes, made of cardboard, contain instructions on the return of containers, in addition to pointing out the economic advantages that the consumer has when purchasing the product and returning it correctly, establishing a bond with the consumer and facilitating the occurrence of new cycles. In this way, AMBEV seeks to increase the number of cycles of each bottle, which makes the operation more profitable, to reduce the amount of discarded containers, which meets the ecological objectives of reducing waste, in addition to building customer loyalty for future purchases, increasing its competitiveness in the market.

Regarding perspectives for the future, the beverage sector should intensify investment in returnable containers, which increases the relevance of maintaining communication channels and the placement of marketing actions for this type of product. With educated and loyal consumers, reverse logistics flows more easily. Added to this, the sectoral agreement remains in force, and Coalizão Embalagens continues to seek the development of the reverse logistics plan and expand its area of ​​operation to more locations. The dedicated infrastructure, in conjunction with consumer awareness, should lead to less and less packaging being discarded, driving more sustainable operations.

 

References:

– Packaging Coalition – Coalition Embalagens (coalizaoembalagens.com.br)

– ABIR – Brazilian Association of Soft Drinks and Non-Alcoholic Beverages – Revista_Abir_2021-web.pdf

– SINIR – National Information System on Solid Waste Management – SINIR+ | National Information System on Solid Waste Management

– Valor Investe (02/06/2022) – Coca-Cola will invest US$ 500 million in Latin America to expand the use of returnable packaging

 

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