The challenges of using recycled plastic and how we’re responding

At Unilever, we’re working to reduce our virgin plastic footprint by scaling up our use of post-consumer recycled plastic, known as PCR. By the end of this year, we’re aiming for 25% PCR in our packaging, and to collect and process more plastic packaging than we sell.

Though switching to PCR may sound like a straightforward material swap, in reality, it’s extremely complex for many reasons. We spoke to Dion Moran and Severine Mongauze in our Global R&D and Procurement Sustainability teams to understand why.

Why is switching to recycled plastic important?

Dion: Using PCR drives demand for packaging collection and recycling – which in turn boosts supply – helping keep plastic in circulation and out of nature. Alongside lighter packaging, alternative materials and reuse–refill models, scaling PCR is key to reducing our use of virgin plastic.

Severine: PCR often has a lower carbon footprint than virgin plastic made from fossil fuels, so it’s an opportunity to cut greenhouse gas emissions as well as waste. Using PCR also helps businesses meet the increasing regulatory requirements for recycled content in packaging.

How does plastic recycling work?

Severine: Used plastic is collected, sorted and cleaned, then melted and processed into flakes and pellets, to be turned into something new. Most is mechanically recycled, but there are also advanced methods. Every part of the value chain – from waste management services and waste collectors to aggregators and recyclers – plays a vital role in the process.

Dion: We rigorously test all PCR to ensure it performs like new and meets the same packaging safety and performance standards as virgin plastic. It’s a highly technical sourcing and innovation process, which is why collaboration with our supply chain is key.

What progress has Unilever made on PCR?

Dion: We’ve reduced our use of virgin plastic by 23% since 2019, and more than 21% of our plastic packaging is now made from PCR. Many of our Power Brands – such as Hellmann’s, Dove and Dirt Is Good – incorporate high levels.

Severine: By scaling PCR and through physical collection, in 2024, we collected and processed 93% of our plastic packaging footprint. We continue to support collection through local partnerships and participation in extended producer responsibility (EPR) schemes, and we’re constantly testing new materials and technologies to expand our use.

What are the biggest challenges in scaling PCR use?

Severine: Securing a supply of high-quality PCR. Limited demand and supply, combined with complex market dynamics, make PCR more expensive than virgin plastic. That’s why well-designed regulations like EPR and new recycling technologies are so important – to incentivise the collection, sorting and recycling infrastructure and improve supply.

Dion: Using PCR in place of virgin plastic isn’t simply a case of swapping one for the other: it’s a complex technical challenge. PCR quality varies hugely, depending on how it’s collected, sorted and processed. For food, beauty and personal care packaging, PCR must meet the same safety, performance and regulatory standards as virgin plastic.

How can these challenges impact packaging in practice?

Severine: One way is colour. Even top-quality, food-grade PCR can look grey after being processed several times. When we changed PCR resins for our Hellmann’s mayonnaise bottles following supply shortages, many shoppers thought there was something wrong with the product because of its grey tint. We added labels to explain the change, but it was a reminder of how much packaging aesthetics and colours matter.

Dion: It’s a balancing act. A material might be more sustainable, but if it doesn’t protect the product or feel right to the consumer, it won’t work. For example, with Domestos, we have to make sure the powerful formulation doesn’t affect the packaging’s integrity and safety. And with complex packaging components like deodorant sticks, we work closely with suppliers to optimise the manufacturing process and remove textural imperfections.

How is Unilever tackling these challenges?

Severine: We work with our 60-strong supplier network to secure supply streams. We embed technical experts into supplier relationships to troubleshoot technical issues and co-develop new recycling and manufacturing processes. In the US, Canada and Brazil, we developed new capabilities in sorting, cleaning and blending resins to overcome the grey tint and create transparent packaging. As a result, we’re rolling out Hellmann’s squeeze bottles and jars with 50-100% PCR in these markets – a shift that has already removed approximately 17,000 tonnes of virgin plastic.^[a]

Dion: At our Global Packaging R&D Centre, our material scientists use advanced testing methods to understand PCR at a molecular level, and digital tools to predict behaviour and colour. This eliminates the need for prototypes and cuts development time. At our Advanced Manufacturing Centre – our pilot-scale plant for in-house testing – we optimise our materials and designs virtually before bringing them to market. This further reduces the need for physical tests and factory trials.

What excites you most about the future of sustainable packaging solutions?

Dion: Recycling technologies are evolving quickly, opening up new possibilities to improve quality and efficiency. To scale these, we need innovation and collaboration across the value chain, as well as regulatory approvals and enabling policies to help drive demand, accelerate uptake and create the conditions and infrastructure for widescale deployment. I’m excited that the momentum behind this is building.

Severine: Waste intelligence tools and AI could be game-changing, offering real-time insights into how packaging is being sorted and recycled. Like all new technologies and solutions, it requires more widespread adoption and enabling policy for impact. It’s early days, but it’s a really exciting area.