PepsiCo boosts point of sale sustainability with recycled display stands for Lay’s chips

08 Aug 2022 --- PepsiCo is launching display stands for its Lay’s chips brand throughout Europe made from UBQ Materials’ (UBQ) patented bio-based thermoplastic. The move extends the F&B giant’s partnership with UBQ using recycled shipping pallets to boost logistical carbon efficiency.

The thermoplastic consists entirely of unsorted household waste, including all organics. UBQ material diverts waste from landfills and incineration, preventing emissions from being released into the environment. The supplier says that for every ton of UBQ produced, up to 12 tons of CO₂ equivalent are prevented from polluting the environment.

The new Lay’s displays will be made partly with UBQ, substituting conventional oil-based plastics.

Shipping pallet expansion
Beyond the new product extension, PepsiCo has expanded the initial logistics pilot, ordering 30,000 more shipping pallets made with UBQ.

“Our goal is to transform our entire supply chain to tackle the [environmental] sustainability challenges the world faces. UBQ’s waste-based thermoplastic reduces landfill waste, prevents emissions, and takes us toward circularity, which is why we are working toward scaling the use of UBQ globally,” explains David Schwartz, vice president at PepsiCo Labs.The UBQ pallets feature recycled PP resin and recycled BOPP – the plastic film used in the PepsiCo’s chip packs.

“We are putting [environmental] sustainability and innovation at the heart of our operations. Achieving these goals is integral to the future of our business, customers, consumers and the planet.”

The pallets also feature recycled PP resin and recycled BOPP – the plastic film used in the company’s snack packaging – to complete the circular economy cycle.

Last year, PepsiCo Europe revealed plans to eliminate virgin fossil-based plastic in all of its chip bags by 2030. It proposed using recycled or renewable plastic instead, reducing greenhouse gasses from film packaging by up to 40%.

The company urged policymakers to deliver specific targets for flexible packaging to drive collection, sorting and recycling after announcing this target.

Pepsi Labs versus climate change
PepsiCo’s technology venture arm, Pepsi Labs, identified UBQ as an anchor solution supporting PepsiCo Positive (pep+) transformation, which places environmental sustainability and human capital at the center of how it will create growth and value.

UBQ’s thermoplastic consists entirely of unsorted household waste.“We are eager to extend the implementation of our advanced material into new products and markets,” says Douer, Co-CEO and chairman of UBQ Materials. “PepsiCo Labs plays a critical role in supporting Pep+, prioritizing innovations that minimize the company’s environmental impact. The climate crisis demands immediate action, and this collaboration is one example of how corporations can make significant change through simple substitutions.”

Following a round of investment led by TPG Climate Rise, UBQ is expanding globally with a large-scale facility and state-of-the-art lab in Bergen Op Zoom, Netherlands, enabling the advanced materials company to further localize waste to production cycles across Europe.

Along with five other solutions innovators, UBQ was recently selected to advance PepsiCo’s sustainability agenda, as the company works to reduce Scope 1 and 2 emissions by 75% by 2030, a goal which is on track according to PepsiCo’s ESG Summary released earlier this month.

Last month, PepsiCo Labs selected six technology startups to trial emerging solutions on its European supply chains. The collaborations are geared toward achieving environmental sustainability advances and will be conducted throughout the continent this year.

By Joshua Poole

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