PET Price Volatility Spurs Bottle-to-Bottle Recycling Growth in Thailand

Thailand's beverage industry is responding to the volatile market prices of virgin PET by expanding its bottle-to-bottle recycling efforts. HaadThip, a Coca-Cola bottler in southern Thailand, has announced a significant expansion of its recycling partnerships to mitigate the unpredictability of virgin PET supply and pricing.

The price of virgin PET is subject to frequent fluctuations due to various factors, including the costs of raw materials like crude oil, naphtha, PTA, and MEG, as well as changes in international shipping, exchange rates, and global supply and demand. This volatility makes production costs challenging to predict for bottlers.

In contrast, using locally recycled post-consumer PET (rPET) offers a more stable supply alternative, reducing reliance on imported virgin materials. HaadThip's collaboration with local recycling enterprises strengthens the collection, sorting, cleaning, and pelletizing of post-consumer PET bottles, facilitating the production of new beverage bottles in a true "bottle-to-bottle" cycle.

This initiative aligns with Coca-Cola's global sustainable packaging goals, which aim to increase the use of recycled materials, reduce carbon footprints, and promote a circular economy. The Thai government also supports the circular economy model, enhancing policies like extended producer responsibility to foster the rPET market.

Stay ahead of market trends with the Credco app. For any queries, please reach out via WhatsApp at +91 8448083211.