Packaging

Packaging is one area in which we could make a meaningful difference to our environmental footprint. We, therefore, seek to maximise the sustainability of our packaging by improving its circularity. That is why we have committed to making all our packaging fully recyclable by 2025. Meanwhile, we want to reduce our use of virgin material by increasing the recycled content in our packaging to 25% by 2025.

Guaranteeing that our packaging will perform as it is designed to, as well as be aesthetically good and safe for our consumers is an industrial norm. Our strategies include allocating R&D resources in sustainable packaging innovations and working closely with our stakeholders to find sustainable packaging solutions:

Reducing the amount of materials used in our packaging

• We are reducing the volume of packaging materials used as a percentage of product. We are minimising materials that are not favourable to the environment in our labels and flexibles by switching to PET and laminate paper packaging

Increasing the usage of sustainable packaging materials

• We are working to include more recycled content in the packaging materials. In Thailand, we use 100% recycled paper for coagulated carton for local products and increase the recycled content in tin plate and plastic bottles. We are also sourcing more renewable and bio-based packaging materials such as sugarcane-based plastic. To meet our requirements for sustainable packaging materials, we are working to find new suppliers/ partners. In Malaysia, we are looking at progressively introducing rPET into the manufacturing of bottles used across our range of beverage products.

Designing packaging to be recyclable

• We are increasing the recyclability of the primary and secondary packaging used in our products. This requires us to address challenging packaging materials such as labels and be flexible in order to find alternative solutions.

Under a new Packaging Sustainability Policy, our Thai operations have committed to prioritising green packaging. This means, we will consider the impact of our packaging – be it aluminium cans, plastic or paper – from the design and development stage, to disposal post-consumption. This is supported by a Packaging Intensity Ratio Roadmap that is closely monitored.

In both Malaysia and Thailand, we encourage responsible post-consumption behaviour through school recycling programmes. Organised since 2007, the nationwide programme in Malaysia saw participation by 756 schools in 2019. More importantly, the program has to date, prevented about 5 million kg of recyclable material from going to the landfill.

Further underlining our commitment to post-consumption management, F&NHB has become a founding member of the Malaysian Recycling Alliance (MAREA), a voluntary Extended Producer Responsibility (EPR) organisation that focuses on significantly improving the collection and recycling of post-consumer packaging through a multi-stakeholder approach.

Through MAREA, F&NHB will be collaborating with the Malaysian Government and other stakeholders, including consumers, waste collectors, recyclers and industry players, to drive the singular goal of a greener Malaysia through circular economy solutions. MAREA is currently one of the stakeholder groups actively contributing to developing the Malaysia Plastic Sustainability Roadmap by the Ministry of Environment. In 2022, MAREA has embarked on a collaboration with the Malaysia Ministry of Housing and Local Government (KPKT) to conduct an EPR pilot study in Langkawi Island to be implemented in three phases over 15 months.