AD Circular: calming the storm
A perfect storm
Governments across the world are under pressure from a wide range of bodies to make product labelling more transparent. What started as a trend in certain segments to help consumers make smarter and safer choices has spread to virtually every sector.
While we’ve seen a rise in self-adhesive labelling, at the same time, there is also pressure on governments to take long-term, effective action against climate change and label waste has come under intense scrutiny. In the Asia Pacific region, for example, the CCP enacted the revised “Law of the People’s Republic of China on the Prevention and Control of Environmental Pollution by Solid Wastes” in September 2020 which lays out detailed requirements for the treatment of industrial solid waste. Other parts of Asia are seeing significant changes in laws and regulations to impose a reduction in single-use plastics consumption and manage waste more strictly.
These factors, combined with a lack of extensive and effective closed-loop recycling solutions for label waste, which often means that it ends up in landfill or is incinerated, you have the genesis of a ‘perfect storm’ that is brewing for brand owners.
Designed to ease the pressure on brands, the AD Circular program partners with professional recyclers to deliver customized waste recycling solutions for countries across Asia Pacific. It also helps companies establish a waste-management ledger to help promote traceability and transparency.
A real life example
The program combines our existing label matrix and liner waste recycling services, and then expands them to address the wider value chain and in the process, improving overall recycling rates. The success of the program can be seen in China with Dongguan Sunway Label Co. Ltd. The company is the first converter to join the AD Circular program in China and its success has been startling: working with Shenzhen Luhan Renewable Resources to recycle label matrix and PET liner waste, the utilization rate of recycling resources has increased by nearly 30% while the costs of solid waste disposal decreased by over 50%.
They are delighted with the improvements already visible: “AD Circular has helped us eliminate potential safety hazards and improve our plant environment. It’s also given us an opportunity to give value to waste that we would previously have sent to landfill or incineration. Recycling, regeneration, modification and reuse of our waste has allowed us to make a positive contribution to the environment,” says the president of Sunway.
Part of our broader sustainability commitment
As a part of Sustainable Advantage, AD Circular is Avery Dennison’s wider commitment to sustainability, and supports the United Nations Sustainable Development Goals (SDGs), particularly SDG 13 on climate action. Six years ago, we set out an ambitious plan to ensure we played our part in reducing climate change with three key, recently-updated goals:
- Deliver innovations that advance the circular economy;
- Reduce our environmental impact in our operations and supply chain; and
- Make a positive impact by enhancing the livelihoods of our employees and communities.
As part of this broader commitment, Avery Dennison became one of the founding members of the Circular Economy for Labels (CELAB) when it was established in Q4 2020. Created as a cross-industry alliance for organisations large and small, CELAB is dedicated to building a sustainable self-adhesive labelling industry. The AD Circular program is aimed squarely at helping fulfil this vision, as well as supporting the company in its sustainability goals. Our ambitions go well beyond reducing our own environmental impact. Through our membership of CELAB, we’re organizing cross-industry collaboration to realise our goals more quickly and see our impact reach further.
The program is building momentum across the region. In India, for example, we are partnering with three companies for label waste recycling and waste-to-energy initiatives: Mahajan Recycle Resources, Dharti Warriors, and Shakti Plastic Industries. Recycling arrangements are also available for other countries across Asia Pacific as we continue to add local recyclers to our partnership.
To find out more about the AD Circular program or to join as a recycling partner, please visit our webpage and submit a form or contact your local Avery Dennison representative.