Major supermarkets' packaging claims exposed—what you need to know

As we navigate the aisles of our beloved supermarkets, we trust that the products we place in our trolleys are good for us and kind to the environment.

However, a recent revelation has overshadowed the integrity of packaging claims made by food manufacturers supplying Australia's retail giants Coles, Woolworths, and ALDI.

Our members must be informed about the 'immediate' changes suppliers have been warned to make regarding their false packaging claims.


The Australian Packaging Covenant Organisation (APCO), the peak body for the packaging sector, has issued a stern warning to businesses.

APCO highlighted that certain claims regarding the recyclability of soft plastics might be in violation of consumer law.

Specifically, they pointed out that any marketing materials suggesting that soft plastics can be recycled through the now-defunct REDcycle scheme should be promptly removed.


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APCO warned suppliers to update soft plastic packaging claims to meet Australian Consumer Law. Credit: Shutterstock


For those who may not be familiar with the REDcycle program, it was a popular initiative that allowed consumers to return soft plastics to recycling stores.

However, in a shocking turn of events, the scheme collapsed in November 2022 after investigations revealed that plastics were being stockpiled at numerous sites instead of being recycled.

The APCO advised against using the 'Return to Store' logo, as most supermarkets in Australia, including Coles, Woolworths, and ALDI, no longer accept soft plastics.


These supermarkets, part of the Soft Plastics Taskforce, are trialling a replacement scheme at several Melbourne supermarkets.

Furthermore, APCO included a new caution regarding outdated claims about soft plastics on websites.

‘It is imperative to remove any old references to “Return to Store” or “REDcycle” immediately.’ they announced.

‘Failure to comply may result in action under Australian Consumer Law (ACL),’

Despite these warnings, supermarket shelves in April and May revealed hundreds of Coles and Woolworths products that still sported outdated recycling advice.


This has led to criticism from environmental groups like the Boomerang Alliance, which has long opposed misleading soft plastics recycling claims.

The Alliance has called for a complete revamp of soft plastics advice, with its director Jeff Angel labelling the sector as 'wasteful and environmentally damaging' and noting that a mere 20 per cent of soft plastics are recycled.

APCO has reiterated its guidance to packaging manufacturers for over a year, emphasising the need to update advice on soft plastics.

The recent push for immediate changes was spurred by the Australian Competition and Consumer Commission (ACCC), which advised APCO to ensure its members comply swiftly.


‘Following the collapse of REDcycle, APCO has been consistent in its communication to members regarding the importance of updating old soft plastic recycling labels across packaging and all other points of consumer communication,’ the statement said.

‘This includes the removal of 'return to store' and REDcycle mentions in marketing material.’

‘These communications have been ongoing for more than a year, with members consistently reminded of their obligations.’

APCO has also consulted with the ACCC to develop new soft plastic packaging advice, which advised shoppers to 'check locally' for recycling options.

‘We understand that brand owners have always faced potential action under the Australian Consumer Law (ACL) for misleading representations,’ the statement continued.

‘The ACCC has not provided brand owners with a "moratorium" or "grace period" to change labels. Therefore, APCO actively supports members to remove all misleading references and align with ACCC expectations.’


In related news, a new report ranked Woolworths, Coles, ALDI, and IGA on their plastic reduction efforts, with ALDI leading with two out of five stars.

The report, conducted by the Australian Marine Conservation Society (AMCS) and Boomerang Alliance, found that supermarkets still use excessive and wasteful plastics. Read more about it here.
Key Takeaways
  • The Australian Packaging Covenant Organisation (APCO) warned suppliers that packaging claims on soft plastics need immediate updating to comply with Australian Consumer Law.
  • Soft plastic recycling claims, such as those regarding the REDcycle scheme and the 'Return to Store' logo, have become inaccurate following the collapse of recycling programs and are misleading to consumers.
  • The packaging industry has been accused of 'greenwashing' by making outdated recycling claims, with calls for a complete overhaul of soft plastics recycling advice.
  • The Australian Competition and Consumer Commission (ACCC) prompted immediate changes, and APCO has advised its members to remove misleading references and provide updated recycling information.
Have you seen any misleading packaging claims lately? How did supermarket staff handle them? Share your experiences in the comments below.
 
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