Sustainable Packaging & The Green Fiber Bottle The 27th Nordic Meeting on Brewing Technology 20.05.2016 Mariehamn, Åland, Finland Håkon Langen Packaging Innovation Director This is Carlsberg Group today No. 4 Largest international brewer No. 1 in Eastern Europe No. 2 in Western Europe 150 Markets around the world 140 different beer brands 7.5bn Free cash flow (DKK) in 2015 120 m.hl. of beer sold in 2015 2 Our sustainability strategy continues to be focussed around three key themes THEMES FOCUSING ON THREE KEY THEMES RESOURCES & ENVIRONMENT HEALTH & WELL-BEING PEOPLE & POLICIES FOR IMPLEMENTATION IN OUR VALUE CHAIN 3 See more at www.carlsberggroup.com/sustainability Why are we working strategically with sustainable packaging? Why? 4 6 7 ~ 8 We believe that unsustainable products face significant price increases in the future… ? 120 [ EUR/HL ] 100 80 60 40 20 0 Packaging Internal cost External costs 9 What are we doing about it? What? 10 Many initiatives on different levels in markets where we operate 11 12 LCA (Life Cycle Assessment) tool 1. Increase the internal knowledge and awareness of environmental impact related to packaging 2. Use tool to evaluate environmental impact: – Changes in packaging formats – Change of suppliers – Change in brewery location – Introduction of deposit systems 3. Support Carlsberg decision makers to take packaging environmental impacts into their decisions in line with other business parameters 13 LCA Example case Results from our Carlsberg LCA tool 295g OW glass bottle 28g Barrier PET 14 We launched the Sustainable Packaging Programme 15 Our partnership platform – The Carlsberg Circular Community • A collaboration platform where Carlsberg and partners work together to eliminate the concept of waste and improve the sustainability credentials of our products • by using the Cradle-to-Cradle design framework when developing and marketing new products Cradle-to-Cradle logo is registered trademark of McDonough Braungart Design Chemistry LLC. Use here is limited to cases where Carlsberg is co-operating with EPEA 16 The partners in the Carlsberg Circular Community Shrink wrap Cans Coatings Glass packaging Preforms for PET kegs Fiber based bottles Paperboard Multipacks Communication & PR Assessment & Optimisation ABC-X OPTIMAL OPTIMISABLE TOLERABLE NOT ACCEPTABLE NOT CHARACTERISED 18 Together with Rexam, we have obtained the worlds first C2C certification of the can in the UK From ‘lifetime’ warranty to ‘afterlife warranty’ 19 With Cradle-to-Cradle we are expanding the focus from efficiency to effectiveness… RETHINK Innovation Quality & Performance improvements REUSE with high quality UPCYCLE Quality Improvement RECYCLE Downcycling? REDUCE Incremental Reduction Minimise Negative Impacts Carlsberg Group Adapted from copyrighted diagram EPEA & MBDC 20 20 Cheers to Green Ideas – Crowdsourcing campaign to make beer more sustainable 21 21 Many ideas were contributed from all over the world… 22 The Green Fiber Bottle Innovation project 23 The Green Fiber Bottle Project - 3 year sustainability development partnership Benefit Description • Includes a biodegradable fail-safe mechanism. Can degrade if unintentionally left as branded waste – Gives the nutrients back to nature • Reduce reliance on fossil fuels by using a renewable resource as raw material • Ensure that consumers get same or better functional benefits and explore additional benefits to consumers (e.g. pack will keep beer colder for longer) Ensure shelf-life and quality aspects Biodegradable Bio-based Functional & durable • 24 25 26 27 Questions or comments? Thank you for your attention! Learn more about Carlsberg Groups work with sustainability online. www.carlsberggroup.com/sustainability 29