Nestlé, Lindt & Amcor: Supporting Aluminium Circularity
According to the European Aluminium Foil Association (EAFA), roughly 60% of aluminium packaging is recycled in Europe. While this figure represents a significant portion of the market, a gap remains regarding smaller formats.
To address this, the EAFA and Flexible Packaging Europe will launch a new European alliance on 1 January, 2026 to address a persistent sustainability challenge: the recycling of small aluminium packaging.
Despite the material's strong recyclability credentials, smaller formats continue to be lost within current waste management systems. This loss represents a missed opportunity for the supply chain to recapture valuable raw materials.
Consequently, the alliance aims to improve recycling performance and support a more circular approach to aluminium packaging across Europe.
Improving aluminium recycling rates
The alliance has a clear objective to significantly improve the recycling of small aluminium packaging, including coffee capsules.
For procurement and sustainability executives, the focus is on creating the conditions needed to ensure these formats can be effectively collected, sorted and recycled at high quality and scale.
This focus suggests a move towards a system where the value of the material is retained within the industrial loop. This approach supports a circular economy in which aluminium remains in use rather than being lost to disposal.
Retaining this material within the economy is crucial, as aluminium foil also saves more resources than are consumed in its production throughout its value and supply chain.
“We need to join forces in the value chain to make progress, particularly with small aluminium packaging, in order to achieve the [Packaging and Packaging Waste Regulation (PPWR)] targets,” says Guido Aufdemkamp, Executive Director of EAFA.
“This alliance provides a shared foundation to improve collection, sorting and recycling in a targeted way.
“Together, we will identify the respective bottlenecks in waste management which hinder a good recycling performance and conduct relevant studies supporting practical implementation of measures.
“We also rely on the experience in our network of national aluminium recycling organisations and other existing initiatives to put in practice the necessary actions.”
Meeting packaging regulatory targets
The pressure to adapt is being driven by legislation, as the upcoming Packaging and Packaging Waste Regulation has highlighted the need for action.
- The EU's Packaging and Packaging Waste Regulation (PPWR), replacing the older Directive, sets comprehensive rules for all packaging on the EU market.
- The regulation is aiming to cut waste, boost reuse/recycling and harmonise standards through design requirements (like recyclability by 2030) and recycled content mandates.
- It is likely to impact manufacturers, retailers and consumers to reduce environmental impact and foster a circular economy.
This regulation could mean that businesses must reassess their compliance strategies regarding waste processing.
Although modern, large-scale sorting facilities are capable of separating these formats, this capability is not consistent across Europe.
This lack of consistency results in large volumes being incinerated and only partially recovered through bottom ash treatment, which will not meet future recycled-at-scale requirements. This infrastructure gap presents a significant hurdle for the industry.
Furthermore, the growing implementation of deposit return schemes for beverage containers is altering household recycling streams across Europe.
As these schemes remove beverage containers, sorting plants have an opportunity to shift their focus towards other packaging formats, including small aluminium items.
The alliance seeks to use this transition to identify bottlenecks in waste management and support targeted improvements in collection, sorting and recycling systems.
All sustainability, net zero and sustainable procurement leaders should attend:
- Procurement & Supply Chain LIVE: The Net Zero Summit - QEII Centre, London, March 4-5
- Procurement & Supply Chain LIVE: The US Summit - Navy Pier, Chicago, April 21-22
Co-located with Sustainability LIVE, these events brings together CPOs, CSCO, CSOs, ESG leaders and senior decision-makers at a moment when sustainability, supply chains and commercial performance are increasingly interconnected.
Tickets can be booked online today for The Net Zero Summit and The US Summit. Group discounts available.
Uniting the value chain
Demonstrating the scale of this initiative, 16 companies from across the aluminium and packaging value chain have already confirmed their participation, with the alliance set to launch on 1 January 2026.
This level of participation indicates a strong industry-wide desire to solve these logistical and environmental issues. To date, some of the main companies involved are:
- Amcor
- JDE Peet’s
- Lindt & Sprüngli
- Nestlé Nespresso
Their involvement spans producers of aluminium foil, flexible packaging, coffee capsules and semi-rigid containers, alongside suppliers, brand owners and fillers.
This diversity suggests that solutions will be developed with the entire lifecycle of the product in mind, rather than in isolation.
By facilitating direct collaboration between these diverse stakeholders, the alliance aims to bridge the gap between packaging design and end-of-life processing. This integrated approach ensures that technical constraints in sorting and recycling are addressed during the product development phase, ultimately leading to higher material recovery rates and a more robust circular economy for aluminium across the continent.
This collective effort reflects a shared commitment to tackling recycling challenges collaboratively and strengthening the circular economy for small aluminium packaging.
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Guido Aufdemkamp
Executive Director