Kraft Heinz Announces Goal to Reduce the Use of Virgin Plastic Globally by 20 Percent – or more than 100 Million Pounds – by 2030

Rhea-AI Summary

Kraft Heinz Company (Nasdaq: KHC) aims to reduce the use of virgin plastic in its global packaging portfolio by 20 percent by 2030, with a goal to make 100 percent recyclable, reusable, or compostable packaging by 2025. The company also aims to reach net-zero greenhouse gas emissions by 2050, while halving emissions by 2030. Kraft Heinz is investing in innovative technologies and partnerships to redesign packaging, increase the use of recycled content, and explore alternative materials like fiber-based packaging.

Positive

• Kraft Heinz is committed to reducing its use of virgin plastic and aims to make its packaging more sustainable, aligning with consumer expectations and ESG goals.
• The company's goal to reduce the use of virgin plastic by 20 percent by 2030 is estimated to eliminate approximately 100 million pounds of plastic, equivalent to nearly five Eiffel Towers in weight.
• Kraft Heinz is investing in innovative technologies and partnerships to redesign packaging, increase the use of recycled content, and explore alternative materials like fiber-based packaging.
• The company's partnerships and initiatives to replace virgin plastic with recycled content and explore alternative materials showcase its dedication to minimizing its operational footprint and leaving a positive impact on the environment.

Negative

• None.

Company aims to reach goal by using less plastic, more recycled content, and alternatives to plastic

PITTSBURGH & CHICAGO--(BUSINESS WIRE)-- The Kraft Heinz Company (Nasdaq: KHC) (the “Company” or “Kraft Heinz”) announces a new goal in 2023 to reduce the use of virgin plastic in its global packaging portfolio by 20 percent by 2030 – a critical step in decreasing its use of fossil fuels and finding more sustainable product packaging options. This change is estimated to reduce the use of approximately 100 million pounds of virgin plastic¹, the equivalent of nearly five Eiffel Towers in weight.

This goal builds on the existing investments the Company has made across its portfolio to reduce plastic use and meet its broader packaging goals, including aiming to make 100 percent recyclable, reusable or compostable packaging by 2025, and aiming to reach net-zero greenhouse gas (“GHG”) emissions by 2050, while halving emissions by 2030.

“To achieve our ESG goals, including to reach net-zero GHG emissions, we can’t continue to do things as we have in the past,” said Rashida La Lande, Executive Vice President, Global General Counsel, and Chief Sustainability and Corporate Affairs Officer at Kraft Heinz. “We are investing in innovative technologies and partnerships that are critical to helping us redesign packaging, eliminate unnecessary plastic, increase our use of recycled content, and influence the adoption of reuse models. This is one more way we’re renovating our product portfolio to not only offer more sustainable options, but to deliver on our consumer expectations.”

Replacing Virgin Plastic with Recycled Content

Kraft Heinz is building on the existing work with the U.S., Canada, and U.K. Plastic Pacts to increase the use of recycled content in its packaging. The Company targets replacing 15 percent of its U.S. PET rigid plastic packaging portfolio with post-consumer recycled content by 2025.

• KRAFT® Real Mayo and MIRACLE WHIP® plan to transition packaging to 100 percent recycled content in the United States beginning in 2024 in an effort to eliminate approximately 14 million pounds of virgin plastic.
• HEINZ® moved to 30 percent recycled content in most of its bottles in Brazil, the U.K., and Europe.
• HEINZ partnered with specialists in the U.K. to create recyclable HEINZ Beans Snap Pots from soft plastics that were returned to Tesco by consumers. The recyclable pots are food-safe and made with 39 percent recycled plastic.

Material Elimination or Reduction

Kraft Heinz is identifying packaging solutions that use less plastic, such as eliminating unnecessary plastic components.

• SHAKE ‘N BAKE® removed its plastic “shaker” bag from its signature packaging last year to help eliminate 900,000 pounds of plastic waste annually. Effective across its full product portfolio, this was the brand’s first step toward a more sustainable future and an easy way for consumers to make a difference.
• HEINZ launched an eco-friendly multipack paperboard sleeve to replace plastic shrink-wrap in the U.K., eliminating more than 1 million pounds of plastic in 2022.

Exploring Material Alternatives

Kraft Heinz is also exploring the use of alternative materials like fiber-based packaging with the hope that these cutting-edge innovations could be used for other packaging formats in years to come.

• HEINZ announced a pilot with Pulpex in 2022 to develop a paper-based, renewable and recyclable bottle made from 100 percent sustainably sourced wood pulp for HEINZ Tomato Ketchup – a first in the sauce category. The Company is currently testing the prototype to assess performance before bringing the bottle to the market.
• NABOB® coffee in Canada replaced its non-recyclable flexible plastic coffee bags with recyclable canisters made from 80 percent paper fiber from renewable resources this year. This change is estimated to eliminate approximately 2.5 million plastic bags annually.

Driven by our Company Value We do the right thing, Kraft Heinz is dedicated to minimizing its operational footprint and leaving a positive impact on the environment. These solutions serve as a catalyst for what’s to come in the years ahead as the Company aims to accelerate innovation and growth through partnerships.

To learn more about Kraft Heinz’s ESG goals and progress, visit www.kraftheinzcompany.com/esg.

¹As compared to 2021 baseline.

About The Kraft Heinz Company

We are driving transformation at The Kraft Heinz Company (Nasdaq: KHC), inspired by our Purpose, Let's Make Life Delicious. Consumers are at the center of everything we do. With 2022 net sales of approximately $26 billion, we are committed to growing our iconic and emerging food and beverage brands on a global scale. We leverage our scale and agility to unleash the full power of Kraft Heinz across a portfolio of six consumer-driven product platforms. As global citizens, we're dedicated to making a sustainable, ethical impact while helping feed the world in healthy, responsible ways. Learn more about our journey by visiting www.kraftheinzcompany.com or following us on LinkedIn and Twitter.

Forward-Looking Statements

This press release contains a number of forward-looking statements. Words such as "aim," "achieve," "commit," "continue," "design," "expect," "increase," "plan," "target," "will," and variations of such words and similar future or conditional expressions are intended to identify forward-looking statements. These statements are not historical facts and are based on Kraft Heinz's current beliefs, expectations, estimates, and projections. These forward-looking statements are subject to a number of risks and uncertainties, many of which are difficult to predict and beyond Kraft Heinz's control, which could cause actual results to differ materially from those indicated in the forward-looking statements. Those factors include, but are not limited to, the Company’s ability to achieve the intended benefits of projects and relationships, changes in consumer preferences, costs and availability of resources and raw materials, compliance with laws and regulations, and the risk factors set forth in the Kraft Heinz's filings with the Securities and Exchange Commission, including the Company's most recently filed Annual Report on Form 10-K and subsequent reports on Forms 10-Q and 8-K. Kraft Heinz disclaims and does not undertake any obligation to update, revise, or withdraw any forward-looking statement in this press release, except as required by applicable law or regulation.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230731283757/en/

Chelsea Slaggert (media)

Chelsea.Slaggert@kraftheinz.com

Anne-Marie Megela (investors)

Anne-Marie.Megela@kraftheinz.com

Source: The Kraft Heinz Company

FAQ

What are Kraft Heinz's goals for reducing plastic use in its packaging portfolio?

Kraft Heinz aims to reduce the use of virgin plastic in its global packaging portfolio by 20 percent by 2030, with a goal to make 100 percent recyclable, reusable, or compostable packaging by 2025.

What is Kraft Heinz's target for replacing U.S. PET rigid plastic packaging with post-consumer recycled content?

The company targets replacing 15 percent of its U.S. PET rigid plastic packaging portfolio with post-consumer recycled content by 2025.

How is Kraft Heinz exploring material alternatives for packaging?

Kraft Heinz is exploring the use of alternative materials like fiber-based packaging and has announced a pilot with Pulpex to develop a paper-based, renewable, and recyclable bottle made from 100 percent sustainably sourced wood pulp for HEINZ Tomato Ketchup.