Plastipak Packaging announces investment in Spanish recycling site

Plastic container manufacturer and recycler Plastipak Packaging has announced it will invest in a recycling facility in central Spain to turn PET flake into food-grade recycled PET (rPET) pellets.

The new recycling facility, which is projected to produce 20,000 tonnes of food-grade rPET pellet per year, will be situated in Toledo in central Spain, near an existing PET preform and container manufacturing plant.

UK rPET recycling facility
UK rPET recycling facility

The new facility is predicted to create 14 new jobs and will include additional manufacturing and warehouse space.

While Plastipak has not disclosed the investment sum, it has announced that construction will begin in summer 2022.

Plastipak already produces 130,000 tonnes of rPET in three facilities across Europe per year – in France, Luxembourg, and the UK. It also operates a HDPE and PET recycling plant in the US.

Pedro Martins, Plastipak’s Executive Managing Director Europe, explained: “The investment in a new recycling facility in Spain will support both Plastipak and our customers in fulfilling our commitments to corporate social responsibility.

“The project comes in advance of minimum levels of recycled content mandated by the Single Use Plastics Directive, and will support brand owners to reduce their financial obligations under the planned Spanish plastics tax.”

Jack Pacente, VP Global Sustainability, said: “With over 30 years recycling expertise, Plastipak has led the way in the PET circular economy, with our long-standing business strategy of bottle-to-bottle recycling, using the output to directly support our preform and bottle manufacturing.

“We are delighted to announce this latest round of significant investment to support the growing demand for rPET in the Spanish market.”

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How will the government and DMOs address the challenges of including glass in DRS while ensuring a level playing field across the UK?

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There's no easy solution to include glass in the DRS while maintaining a level playing field. Potential approaches include a phased introduction of glass, potentially with higher deposits to reflect its logistical challenges. The government and DMOs could incentivise innovation in glass packaging design and subsidise dedicated return points for glass-handling. Exemptions for smaller businesses unable to handle glass might also be necessary. Any successful solution will likely blend several approaches. It must address the differing priorities of devolved administrations, balance environmental benefits with logistical and cost implications, and be supported by robust consumer education campaigns emphasizing the importance of glass recycling.