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MAY | 2011

Best Practices in Sustainable Procurement of Paperboard

Copyright Beroe Inc, 2011. All Rights Reserved 1

This whitepaper focuses on the current global trends in the sustainable measures in paperboard packaging. It also outlines the different measures of sustainability and the various steps that have to be taken to ensure sustainable procurement of paperboard packaging.

The Three Aspects of Sustainability in Paperboard Packaging Business Sustainability Cost Reduction: Excessive Inventory Over Processing Overproduction Excessive Movement Excessive Waiting Defects/Rework  Non-value-added Transportation Inaccurate Information Social Responsibility

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 Prevention of Air, Water, and Land Pollution  Conservation of Natural Resources and Energy Reducing Landfill Waste  S etting objectives and targets to address these elements of environmental sustainability is the key for successful implementation.

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Environmental Sustainability  Conforming to local, state and federal regulatory requirements 3. Comply with Environmental Sustainability Measures  A void procuring forest products from countries with high incidences of illegal logging  P erform life cycle analysis to understand the environmental impact of a given product  U se sustainability scorecards and checklists to ensure compliance Seek legal counsel to ensure regulatory compliance  E nsure post-consumer products recycled content in paperboard

Best Practices in Sustainable Paperboard Procurement

a) Three Focus Areas in Sustainable Paperboard Procurement 1. 2. Long-term Supplier Engagement Joint Process Improvement Better Product Understanding Better Price Negotiation Cross Country Engagement Volume Concentration Product Specification Improvement Streamlining the Specifications Used Light Weighting Reduce or Eliminate Excess Packaging

 R educe energy consumption and switch to renewable energy sources

Source: http://fsc.org, www.ence.es, strathconapaper.com

Copyright Beroe Inc, 2011. All Rights Reserved

b) Sustainable Practices in Board Specifications

Sustainability in Recycled Paperboard Wastewater measures the amount of process water that is treated and released to a mills receiving waters. 0% recycled paper uses 234,537,650 gallons  50% recycled paper would use 139,755,360 gallons, i.e. 40.41% less.  100% recycled paper would use 44,973,070 gallons, i.e. 80.82% less.

Greenhouse gases, including carbon dioxide (CO2) from burning fossil fuels and methane from paper decomposing in landfills, contribute to climate change by trapping energy from the sun in the earths atmosphere. The unit of measure is CO2 equivalents. 0% recycled paper uses 71,374,220 lbs. CO2e.  50% recycled paper would use 54,353,500 lbs. CO2e, i.e. 23.84% less CO2e  100% recycled paper would use 37,332,780 lbs. CO2e. i.e. 47.69% less CO2e

Sustainable Practices in Board Specifications

 P ost-Consumer Waste (PCW): PCW is increasingly being used in paperboard manufacturing. The post-consumer waste content recommended by EPA in recycled folding cartonboard in1995 was 35%, and in 2003, it increased to 40-80%. Currently, the recommendation states that boards can contain PCR content between 35% and 85%.  Use of Eucalyptus: Eucalyptus is being increasingly used for paperboard packaging as the availability of eucalyptus is high in most of the emerging countries of paper and board production. Usage of eucalyptus satisfies both the cost and sustainability parameters. Eucalyptus can be grown cost effectively in low cost countries, such as Brazil, and it also has a short rotation period. It also allows achieving greater strength with lower density per caliper, thereby resulting in higher yield.  Recycled Content: Solid bleached sulfate (SBS) paperboard, with significantly higher economic and environmental costs, now has the option of an SBS with recycled content in the inner layer.  New Technologies: Paper recyclers are developing new technologies designed to handle, identify, and separate paper grades for recycling. One enhancement technology allows segregation of paper fibers during the recycling process according to fiber length, coarseness, and stiffness through a sequential centrifuging and screening process.  Aqueous Coatings: Aqueous coatings tend to be the most environmentally friendly. Most of the formulations use nonpolluting water as a solvent.  S oya Inks: Soya ink can reduce carbon emission causing air pollution making it a more environmentally friendly choice than traditional inks.  Alcohol-free Printing: Safety, governmental concerns, and environmental pressures have caused printers to convert to alcohol-free printing. This offers improved quality, lower costs, a safer pressroom, and improved color reproduction. Alcohol substitutes have been developed to replace the alcohol as a solution making it safer to use.

Wastewater volume indicates both the amount of fresh water needed in production and the potential impact of wastewater discharges on the receiving waters. Solid Waste includes sludge and other wastes generated during pulp and paper manufacturing, and used paper disposed of in landfills and incinerators. 0% recycled paper uses 22,581,630 pounds.  50% recycled paper would use 18,265,465 pounds, i.e. 19.11% less.  100% recycled paper would use 13,949,300 pounds, i.e. 38.22% less.

Wood use measures the amount of wood required to produce a given amount of paper.  0% recycled paper uses 40,040 tons, the equivalent of about 280,280 trees  50% recycled paper I would use 20,020 tons less , the equivalent of about 140,140 fewer trees  100% recycled paper II would use 40,040 tons less, the equivalent of about 280,280 fewer trees

The number of typical trees assumes a mix of hardwoods and softwoods 6-8 in diameter and 40 tall. An energy credit for energy that is created by burning paper or the methane that decomposing paper creates at the end of its life. The Net Energy takes the total amount of energy required to make the paper over its life cycle, and subtracts this energy credit. 0% recycled paper uses 324,106 million BTUs.  50% recycled paper I would use 263,698 million BTUs, i.e. 18.63% less BTU.  100% recycled paper II would use2 03,290 million BTUs, i.e. 37.27% less BTU.

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Sustainable practices in paperboard packaging involve three factors, such as business sustainability, environmental sustainability, and social responsibility. Sustainable paperboard packaging practices are increasingly being used due to consumer & retailer pressure, government regulations, environmental concerns, and technological advancements. Long-term supplier engagements, improvement of product specification, and environmental considerations have to be taken to ensure successful implementation of sustainability measures.

 Article published by paper info, an agency based in Europe, working in the field of International Trade. http://www.edf.org  Article published in Environmental Leader is the leading daily for information based on energy, environmental and sustainability news.  Data and information from Environmental Defense Fund and ENCE.  Article published by Paperboard Packaging Council, the leading industry association serving suppliers and converters of all forms of paperboard packaging.  Report published by Paperboard Packaging Alliance, they provide the paperboard packaging industry with ongoing analysis of evolving packaging requirements and promotes the benefits of paperboard packaging and products.

Author: Raghunanda E Rao | Research Analyst

Disclaimer: Strictly no photocopying or redistribution is allowed without prior written consent from Beroe Inc. The information contained in this publication was derived from carefully selected sources. Any opinions expressed reflect the current judgment of the author and are subject to change without notice. Beroe Inc accepts no responsibility for any liability arising from use of this document or its contents.

For more information, please contact info@beroe-inc.com.

Copyright Beroe Inc, 2011. All Rights Reserved