KADAC PTY LTD AUSTRALIAN PACKAGING COUNCIL to 2015 ACTION PLAN

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1 KADAC PTY LTD AUSTRALIAN PACKAGING COUNCIL 2011 to 2015 ACTION PLAN KADAC PTY LTD APC 2011 to 2015 Action Plan 1

2 CONTENTS Contents.Page 2 Company Profile...Page 3 Executive Summary and Commitment..Page 4 Site Location and Contact..Page 5 Site Location..Page 5 Major Brands..Page 5 Goal 1, KPI 1..Page 6 Goal 2, KPI 3..Pages 7-8 Goal 2, KPI 4..Pages 9-10 Goal 3, KPI 6..Page 11 Goal 3, KPI 7..Page 11 Goal 3, KPI 8..Page 12 KADAC PTY LTD APC 2011 to 2015 Action Plan 2

3 1. Company Profile KADAC has been established since 1973 and its Head Office is based in Cheltenham, Melbourne. Over the 36 years, KADAC has grown to be recognised in the industry as the premier health and organic company. Today we sell and deliver directly to over 2,500 health, organic and pharmacy stores, as well as independent and major supermarket chains. KADAC has built its business by providing supplier partners with an efficient warehousing and distribution service, as well as a sales capability across multiple channels to continuously grow sales over time. KADAC derives approximately 50% of its revenue by acting as a wholesale distributor for other health and organic companies. KADAC provides warehousing, pick and pack, sell and distribution operation to over 250 suppliers. It is KADAC s intention to communicate with these suppliers in order to understand and help them implement the objectives of the National Packaging Covenant. Of the remaining 50% of KADAC s revenue, about half of that is imported product from Europe, North America, South America and Asia. The initial step in KADAC s action plan is to contact each overseas manufacture, outline the objectives of the APC and develop an action plan with suppliers who have mutually aligned objectives to implement Environmental Management Systems. Therefore, about 25% of the remaining revenue is from products which KADAC manufactures and distributes to health, organic food stores and to independent supermarket chains. Over 800 different products are manufactured at KADAC s manufacturing site. The packaging types are typically in plastic re-sealable bags with a zip lock type, plastic containers and glass with metal screw type lids. KADAC s Environmental Management System covers the packing area for all of these products, the raw product materials and raw packaging materials which are used in their production and warehousing. KADAC PTY LTD APC 2011 to 2015 Action Plan 3

4 2. Executive Summary and Commitment KADAC has become a signatory to the Australian Packaging Covenant (APC) in KADAC is committed to the principles of the APC and as such has an obligation to undertake our action plans and continuously improve the way we manage our activities, the way we operate and how we maintain our facilities. We are committed to reduce packaging waste where possible and continuously investigate ways to minimise waste throughout our manufacturing, warehouse, distribution processes, and to work closely with our packaging suppliers and imported product suppliers to meet our objectives of the APC. KADAC is proud to present its first APC Action Plan, and proud of its objectives and targets it has set in this Action Plan. KADAC Pty Ltd. C.E.O KADAC PTY LTD APC 2011 to 2015 Action Plan 4

5 3. Site Locations and Contacts Contacts: C.E.O Andrew Post QEHS Kon Zissis Ph. (03) Ph. (03) Fax Fax (03) Site Address: Head Office 134 Argus Street, Cheltenham Victoria, Major Brands: Our brands include Global Organics Lotus Nature First Real Good Food KADAC PTY LTD APC 2011 to 2015 Action Plan 5

6 GOAL 1: Design; Optimise packaging to use resources efficiently and reduce environmental impact without compromising product quality and safety KPI 1 : Proportion of signatories in the supply chain implementing the Sustainable Packaging Guidelines for design or procurement of packaging ACTION RESPONSIBILITY TIMEFRAME TARGET EVIDENCE Develop a SPG policy. QA and Marketing to develop suitable policy Completed and current SPG Policy in place by September 2011 Outlines reviews of all existing packaging, new packaging criteria and policy. KADAC SPG policy Policy on notice boards Begin the review of all existing branded labels and packaging to ensure they comply with KADAC SPG policy QA, Marketing Staged over 24 months for existing packaging and products. February 2012 Lotus brands May 2012 Nature First Evaluation form SOP July 2012 Real Good Food products September 2012 Canned Global Organics February 2013 Other Global Organic brands Meeting minutes SPG criteria integrated into supplier agreements. Draw up existing product evaluation plan All new products and product packaging ranges to be evaluated. QA, Marketing, R&D specialist. For KADAC brands this will be beginning from July All locally source products that we distribute will be a staged process. To classify the products into categories (food type or packaging type TBT) As per SPG policy ensure all new products meet the SPG KADAC Policy. July 2011 onwards, and for all new KADAC product lines Develop a review matrix for other brand product that are locally made and purchased by KADAC, and work with suppliers on the major A brands to incorporate our SPG policy with them. Evaluation forms Minute meetings Supplier work meetings, packaging specifications for new packaging materials Secure electronic storage on company files. KADAC PTY LTD APC 2011 to 2015 Action Plan 6

7 GOAL 2: Recycling; KPI 3 : Proportion of signatories with onsite recovery systems for recycling used packaging ACTION RESPONSIBILITY TIMEFRAME TARGET EVIDENCE Evaluate the current recycling program that is in place. Does it fit with the SPG? Is the recycling rate sufficient? Determine what other recycling methods can be added to site. To contact suitable recycling company that is also a APC signatory, that will able to assist KADAC in meeting its SPG policy Formalise a formal contract with respective recycling company to meet the requirements of KADAC SPG Policy QA July 2011 Gap analysis study to determine what is recycled, with which company. QA manager August November 2011 Capture plastics as recyclable packaging. QA November 2011 To have met with suitable recycling company, discuss requirements to meet our SPG Policy QA and Warehouse February 2012 To work with a suitable recycling company that will be a one stop shop for all our recycling needs Evaluation report on the initial findings Plastic recycling contract, bins with suitable company that does recycle plastics. Meeting notes Formal contract in place , letters, correspondence. Meeting minutes Develop an internal SOP and Policy outlining our recycling commitment QA, Warehouse manager to approve September 2011 Recycling SOP and Policy signed off by Board and senior management, indicating commitment. Policy and SOP current and available Awareness to wider KADAC the recycle Policy and SOP QA, Warehouse and Logistics To be rolled out in stages. KADAC has 4 sites. Plan is to have all sites completed by October Argus, 134 Argus, 138 Argus September 2011 Age St October 2011 Posters, notification in monthly Kadac Kronicles, Memos. Measure the recycle amount, in QA Co-ordinator, Logistics Initial data to capture the May 11 to April 12 Data different packaging forms. amount of recycle vs landfill capture rate. May 12 April 13 10% Year to improve KADAC PTY LTD APC 2011 to 2015 Action Plan 7

8 the recycle rate by 10% YOY increase in recycle rate YOY May 13 April 14 10% increase on recycle rate. May 14 April 15 10% increase from previous years GOAL 2: Recycling; KPI 4 : Proportion of signatories with a policy to buy products made with recycled packaging ACTION RESPONSIBILITY TIMEFRAME TARGET EVIDENCE Determine what % of recycling is in current packaging purchased for local manufacturing QA, Production End 2011 Establish the % of recycled material in current packaging and provide internal report. Only applicable to KADAC purchased packaging material. Also to cover slip sheets purchased as pallet dividers etc. Report on the current % of recycled material in the packaging purchased by KADAC. Draft and formalise a buy recycle Policy for all packaging groups, where applicable QA and Production Policy to be drafted and distributed amongst all APC team members for review Draft policy to be drawn up by July 2011 Review Policy during September 2011 Draft Policy Meeting minutes of policy review Final Policy document Final buy recycle Policy to be made current by September October 2011 Draft a buy recycle procedure QA and Production s Procedure to be drafted and distributed amongst all APC team members for review Final Procedure to be completed by December 2011 Final Procedure KADAC PTY LTD APC 2011 to 2015 Action Plan 8

9 Buy % recycled packaging plan QA, Marketing and Production s Increase the % of recycled component in packaging over a 4 year period. Cardboard packaging increase the % recycle component by 10% YOY Plastic packaging where practicable, explore the option of single or multibarrier plastics that have all components that are fully recyclable. Year 2011 investigate what plastic bag and jar options currently exist from suppliers that have reasonable recyclable components Explore options of plastics that have higher recyclable components. Target is to use plastics, where practicable, that have recycle # other than 7. KADAC PTY LTD APC 2011 to 2015 Action Plan 9

10 GOAL 3: Product Stewardship; KPI 6 : Proportion of signatories that have formal processes for working with others to improve design and recycling of packaging ACTION RESPONSIBILITY TIMEFRAME TARGET EVIDENCE To engage and work with local packaging supplier that also is an APC signatory to work with our commitment on SPG. QA, Production 2011 to 2015 Integrate the SPG policy into procurement via SOP. Organise meetings with suppliers in 2011 Meeting minutes, correspondence material, internal notices, internal meeting minutes. To engage and work with recycling companies, that is also APC signatories, which will assist in KADAC achieving recycling goals. Establish recycling contracts with suitable recycling companies. QA, Production and Logistics s QA End 2011 March 2012 Contract in place, Kg of recyclable material that was picked up, the type of material, its recycled status Formal contract documents, data or records from each pick up. GOAL 3: Product Stewardship; KPI 7: Proportion of signatories demonstrating other product stewardship outcomes Raise recycling awareness to all staff at KADAC, how they can recycle not only at work but adopt these practices outside of the workplace, such as home. QA, Logistics, Production September 2011 Posters at workplace Flyers that have information on work and home recycling initiatives Site posters Meeting information Information to staff on what the different type of recycling symbols and numbers mean KADAC PTY LTD APC 2011 to 2015 Action Plan 10

11 GOAL 3: Product Stewardship; KPI 8: Reduction in the number of packaging items in litter Identify which packaging groups have recycling information and which do not QA For all KADAC purchased packaging, this will begin in July To be completed by February 2012 To identify by Feb 2012 which KADAC packaging groups do not contain recycling information for consumers or end users Report Data All new packaging for new items to have recycling information placed on packaging, example, Mobius loop, recycle man and bin QA, Marketing All new product packaging from Feb 2012 to incorporate recycling information on pack for end users. Feb 2012 onwards Packaging SOP and Policy for new products. Purchase Orders Include label or other secondary recycling information for consumers. KADAC PTY LTD APC 2011 to 2015 Action Plan 11

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