Packaging solutions provider Amcor partners with Mondelez and Licella to advance circular economy

Packaging solutions provider Amcor and US-based food company Mondelēz International have announced an investment in advanced recycling technology company Licella to promote a circular economy.

Both firms are investing in Licella to support the ending of plastic waste. The investments will enable Licella to move forward with building one of Australia’s first advanced recycling facilities.

The recycling technology company will recycle used plastic into a crude oil alternative that can be used to make new food-grade plastic packaging using its Catalytic Hydrothermal Reactor (Cat-HTR) technology.

Cat-HTR is an advanced hydrothermal liquefaction (HTL) technology that continually recycles used plastic that would otherwise be disposed of away in a landfill using hot, pressurised water, according to Amcor.

The new Advanced Recycling Victoria facility in Australia will first handle roughly 20,000 tons of end-of-life plastic per year with the capacity to expand up to 120,000 tons per year in future.

In order to meet a large portion of its Australian soft plastic packaging demands, the food company will be able to receive recycled content from this location through Amcor, lowering its demand for virgin plastic in Australia.

Amcor Corporate Venturing and Open Innovation VP Frank Lehmann said: “Amcor is continually seeking opportunities to invest in new technologies that will bring long-term benefits to our customers, consumers and the planet.

“We recognise our products can play a vital role in the circular economy, and partnerships like this enhance our ability to deliver innovative solutions for our customers, like Mondelēz International.”

Mondelez, the owner of the Cadbury brand, works to foster a circular economy for packaging waste by collaborating with partners along the value chain by recognising the environmental difficulties caused by packaging waste.

The company’s ‘Light and Right’ packaging strategy aims to reduce excess packaging and streamline packaging materials across the company.

Licella CEO Len Humphreys said: “This is the leading technology of its kind globally, and it was developed here in Australia.

“This investment will help advance our Australian facility at a time when demand for sustainable plastic solutions that also  help provide food-grade recycled content, is growing.”