Recycled PET: assessing the

impact on the industry as a whole

- A closer look at the Latin American R-PET market
evolution of R-PET as an alternative source to virgin PET;
- Review of Brazilian and Mercosur legislation to R-PET on
bottle to bottle applications (food grade and non-food grade);
- Perspective on challenges to increase the PET recycling
index in Brazil
By Dr. Irineu Bueno Barbosa Junior
Owner of Global PET Reciclagem S.A.

Recycled PET: assessing the impact on the

industry as a whole
Brazilian PET Recycling and its particularities:
-Recycling index is now close to 60% of total consumed on packaging.

Source: www.abipet.org.br

Recycled PET: assessing the impact on the

industry as a whole
R-PET Final Uses in 2012
Strapping Tapes
6%
Laminates
6%

Food / Non Food

Bottles
18%

Source: www.abipet.org.br

Pipes
2%

Others
6%
Textiles
38%

Insaturated and
Alquil Resins
24%

Recycled PET: assessing the impact on the

industry as a whole
Brazilian PET Recycling and its particularities:
- Recollection policy is based on poor people and not in public systems;
- Economy growing and unemployment decreasing is leading PET Bottles
to higher recollection costs.
-National Solid Waste Policy has
not changed this reality until now;
- Probably the supply chain of raw
material will collapse and some final
uses will migrate to other
alternatives as raw material.
- New opportunities, see www.clubedareciclagem.com.br

Recycled PET: assessing the impact on the

industry as a whole
Acquisition prices increased 113% within 5 years;
Recycling index is no more sensible to price increase.
Year

Net price of bottles bales Var. per

(R$/Kg)
(US/Kg) year (%)

Recycling
Index * (%)

Var. per
year (%)

2009

1,01

0,47

2010

1,28

0,70

27%

55,8%

0,36%

2011

1,52

0,91

19%

57,1%

2,33%

2012

1,76

0,90

16%

58,9%

3,15%

2013

2,15

1,00

9%

59,5% **

1,02%

2009 to 13 1,01 to 2,15

55,6%

0,47 to 1,00 113%

7,01%

Recycled PET: assessing the impact on the

industry as a whole
Higher Production Costs
Regular PET Flakes

Applications
Low specification:
- Laminates;
-Fibers;
- Strapping tapes;
- Insaturated
Resin
Competitor: Virgin
PP, PVC, PS, PET,
PTA, Chinese Fibers

Super-washed PET
Flakes
Applications
High
specification:
- Laminates;
- Fibers;
- Insaturated
Resin
Competitor: Virgin
PP, PVC, PS, PET.
PTA, Chinese
Fibers

PET PCR Bottle

Grade

Application:
Bottles

Competitor:
Virgin PET

Recycled PET: assessing the impact on the

industry as a whole

Recycled PET: assessing the impact on the

industry as a whole

BTB market to food contact

ANVISA RDC 20/2008 established in
Mercosur the authorization to use PETPCR in direct contact with food;
In Brazil ANVISA is the sanitary authority
responsible to evaluate all process of
registration of BTB PET-PCR Resin;

Recycled PET: assessing the impact on the

industry as a whole
BTB Recycling Obstacles to development:
Homologation process is new, confuse and highly
bureaucratic;
The tree steps to a recycling company homologate
its product are:

Recycled PET: assessing the impact on the

industry as a whole
1st Step Approve recycling technology used:
Equipment may have FDA-NOL to allow the
technology, formalize the maximum concentration of
PET-PCR accepted;
Buy an equipment/technology already approved (doubt
ANVISA may ask to do the challenge test again with Brazilian
raw material);

Do the challenge test and conquer your own NOL (Global

PET choice NOL # 133 / 2010).

Recycled PET: assessing the impact on the

industry as a whole

2010 FDA NOL # 133 Issued;

Recycled PET: assessing the impact on the

industry as a whole
2nd Step Approve Industrial installations to
food contact production:
Main requirements:
Food contact ANVISAS standards to production machines
and building structure;
Traceability of all raw material used;
Quality control by gas crhomatography of all batches / lots
produced.

Recycled PET: assessing the impact on the

industry as a whole
3rd Step Registration of final product :
Main requirements (to acid and non acid aqueous food
products):
Total Migration tests (EN 1186-1, EN 1186-9);
Specific Migration to Terephtalic Acid (SFS-EN 13130-2);
Specific Migration to Mono and Diethylene Glicol (SFS-EN
13130-7);
Gas Chromatography Volatiles Profile;
Sensory Analysis (ISO 13302:2003(E) and ISO
4120:2004(E)).

Recycled PET: assessing the impact on the

industry as a whole

3 steps to packaging producers:

Sanitary Authorization - Food contact ANVISAS
standards to production machines and building
structure;
Traceability of all raw material used (PET-PCR resin,
preforms, bottles);
Register of final product (same procedure that
recyclers have to do New requirement: Register
only Preform or Bottle).

Recycled PET: assessing the impact on the

industry as a whole

Food producers:
Use only registered packaging;
To keep traceability documents of packaging;
Label may contain:
Producer identification;
Traceability code;
The expression PET-PCR.

So many bureaucracy generates

Recycled PET: assessing the impact on the

industry as a whole

Recycled PET: assessing the impact on the

industry as a whole

Our future?
R-PET Industry depends on the raw material offer:
Depending of public politics specific to correct destination of
all recyclable material;
PNRS going this way.

Lower prices of Virgin PET / final products = Lower

possibilities to recycling in Brazil;
Actual scenario:
Some final applications (laminates & pipes) losing
commercial viability and returning to PVC/PP/PS;
Larger producer of preforms has lower prices buying Virgin
PET.

GLOBAL PET RECICLAGEM S/A

SO CARLOS - SP

Global PET would like to kindly thanks for your

attention.
Special thanks for ICIS Staff by the invitation
and opportunity
Contact:
Irineu Bueno Barbosa Junior
www.globalpetsa.com.br
irineu@globalpetsa.com.br
+ 55 16 3363-2000