Nestle to Purchase 2 Million Metric Tons of Recycled Plastic

SEATTLE (Scrap Monster):  Nestle announced that it will spend over $2 billion to boost recycled plastic consumption. The investment aims to curb the consumption of virgin plastic, thereby saving the environment.

The company statement issued Thursday noted that it would cut costs in other parts of its business, in order to save approximately $1.6 billion in cash. This would be utilized towards purchasing nearly 2 million metric tons of recycled plastics over a period of five years until 2025.

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Nestle will rope in new suppliers into the business through lucrative offers. As part of its efforts to overcome shortage of recycled plastics, the company will offer prices above the prevailing market price for recycled materials. Consequently, the company aims to reach its goal of reducing use of virgin plastics by one-third by 2025.

Mark Schneider, chief executive of Nestlé stated that the efforts are in line with the company’s ultimate aim to make more plastics infinitely recyclable, by reducing its reliance on virgin plastics. The proposed spending will create an economy for food-grade plastics, he added.

Nestle had been recently named as one among the worst corporate plastic polluters. As per estimates the company currently recycles only 2% of its plastics packaging.