Cleanaway, Pact and Asahi to develop plastic pelletising facility

Cleanaway, Pact Group and Asahi Beverages have signed a memorandum of understanding to jointly develop a plastic pelletising facility in Albury/Wodonga.

According to a joint statement, the facility is anticipated to process up to 28,000 tonnes of plastic bottles and other recyclables into flake and food grade pellets.

“The cross value chain collaboration uniquely combines the expertise of each participant,” the statement reads.

“Cleanaway will provide available feedstock through its collection and sorting network. Pact will provide technical and packaging expertise, and Asahi Beverages and Pact will buy the majority of the recycled pellets from the facility to use in their packaging products.”

Pact Managing Director and CEO Sanjay Dayal said the facility would service markets across the East Coast, and create approximately 30 local jobs in regional Australia.

“I am thrilled with this arrangement and the opportunity to work with Cleanaway and Asahi in making a meaningful step in improving the plastics value chain,” he said.

“The arrangement is clearly aligned with our vision to lead the circular economy, and will support Pact in achieving our 2025 Sustainability Promise to offer 30 per cent recycled content across our packaging portfolio.”

According to Cleanaway Managing Director and CEO Vik Bansal, the partnership will create valuable raw materials from the recyclables Cleanaway collects and sorts.

“It is a natural extension of our value chain and expands our footprint of prized assets,” he said.

Asahi Beverage Group CEO Robert Iervasi added that the venture would allow Asahi to utilise Australian sourced recycled plastic resins to assist its transition to using only recycled plastics.

“I am excited by the opportunity to participate in a market winning strategic alliance that closes the loop of the circular economy, and contributes to a sustainable plastics supply chain by combining our strategic capabilities,” he said.

The project is supported by an Environmental Trust grant awarded to Cleanaway, as part of the NSW Government’s Waste Less, Recycle More initiative.

The facility is expected to be operational by December 2021.

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