A new NSW initiative aims to help councils become a major market for Australian-made products containing recycled soft plastics, addressing what many see as the missing link in rebuilding the country's soft plastics recycling system.
Led by Lake Macquarie City Council and the Circular Economy Living Lab (CELL), and delivered by Tidal Circular, the Circular Soft Plastics Value Chain Activation project seeks to aggregate procurement demand from councils while making it easier for them to identify, assess and purchase products manufactured with Australian recycled soft plastics.
The initiative comes as the Soft Plastics Stewardship Australia (SPSA) scheme begins rebuilding national collection infrastructure through participating supermarkets. While collection systems are returning, and the call for feedstock supply grows louder, attention is increasingly turning to the development of sustainable end markets for recovered material.
Tidal Circular managing director Justin Bonsey said creating demand is now the next critical step in rebuilding Australia's soft plastics value chain.
“Now that stewardship-backed soft plastics collections are back up and running, the big question is where they go after that. Without demand, we end up back where we started. Councils – especially through a coordinated approach – can play a significant role in this.”
Over July and August, participating councils and industry suppliers will contribute information to develop a statewide map of the recycled soft plastics value chain, analyse available products and suppliers, and identify priority procurement opportunities.
The project will produce a suite of practical resources, including a business case template, procurement guidance and a live Circular Soft Plastics Directory to help councils source products manufactured with Australian recycled content. A demand-aggregation platform will also enable councils to pool purchasing interest, creating stronger demand signals for manufacturers while potentially unlocking volume pricing.
Bonsey said the initiative was designed to help councils better understand the growing range of recycled-content products now available and provide the tools to support procurement decisions.
“Australian-recycled soft plastics have evolved greatly over the years, now delivering high-performing value-added products that not only meet operational needs but also generate multiplier social and economic benefits. This project aims to bring all those pieces together by showcasing these products, quantifying their benefits into a practical business case, and activating demand.”
The project also seeks participation from Australian manufacturers, recyclers and suppliers of products containing recycled soft plastics, with the resulting directory intended to provide greater visibility across the supply chain.
The project is scheduled for completion in September, when the directory will go live and consolidated procurement demand will be shared with industry. While initially focused on NSW councils, the organisers say the tools and procurement platform could ultimately be adopted by councils across Australia.
Ed's note: One of the consistent themes emerging from PKN's coverage of Australia's packaging reform journey is that collection alone is not enough. For circular systems to succeed, recovered materials need reliable domestic end markets. Initiatives that help connect recycled-content manufacturers with large-scale purchasers such as local government have the potential to strengthen demand, support investment in Australian recycling infrastructure and, ultimately, improve the resilience of the nation's soft plastics value chain. We'll be watching with interest to see what outcomes this NSW pilot delivers.
