Combating Plastic Pollution in Asia Pacific: The Role of Extended Producer Responsibility (EPR)

Asia Pacific produced over half of the world’s plastic waste in 2021 at 200 million tonnes

^{Source: Ellen MacArthur Foundation}

Moreover, growing urbanisation and underdeveloped waste management infrastructure domestically, coupled with the region being an importer of plastic waste from developed markets across the world, have resulted in severe ocean plastic pollution.

The lack of recycling infrastructure and a fragmented recycling ecosystem consisting of informal workers have resulted in poor recycling of plastic, especially in emerging markets like the Philippines. Informal workers comprise material pickers (who pick up recyclable materials from the streets) and recycling collectors (those who use bags or small barrows to collect), who rely on recyclables for their livelihood. This is due to the low barriers to entry, the high material value especially for used PET bottles and easy access to recyclables for collection.

While there has been some success notably in recycling PET bottles by informal workers due to the commitments and collaborations with international players, challenges remain for the recovery of flexible plastics, such as sachets. Factors include the low material value of flexible plastics, the difficulty of tracking informal workers’ collection, a lack of recycling infrastructure and a lack of legislation. This means that not all collected waste gets recycled, and instead gets deposited in landfills.

Increasing government regulation being introduced in Asia Pacific to promote plastic circularity

Having said that, increasing government regulation is being implemented in Asia Pacific to promote plastic circularity. This can be seen in the plastic waste bans in China and India, as well as the mandatory labelling in South Korea, which seeks to mandate label-free packaging for drinking bottles from 2026.

Moreover, the establishment of Extended Producer Responsibility (EPR) schemes is being developed in Asia Pacific. EPR intends to hold companies (brand owners, retailers, distributors and importers) financially accountable for the end life management of their products or packaging.Among forms of EPR are deposit return schemes, which are systems where consumers pay a small amount of money upfront to be reimbursed to them when they bring the container to a collection point when they have finished using it. While these schemes are common in Europe and America, they are relatively new in Asia Pacific. One example is in Singapore, which is starting a scheme in April 2025 for prepackaged beverage containers in plastic and metal, with a deposit of SGD0.10 being paid, which will be paid back to the consumer when the plastic bottle is returned. Large supermarkets will be required to set up return points. This scheme will serve to enhance plastic circularity in the country. Beverage companies will pay for and run the collection and recycling of empty beverage containers and pay the scheme operator to collect and recycle empty beverage containers on their behalf.

How successful have EPR schemes been?

International companies are best positioned to implement EPR, as they have the financial resources and have adopted global goals towards sustainability.

In the Philippines, Coca-Cola has partnered with Plastic Bank since 2021 to collect 100 tonnes of ocean-bound plastic, and expanded to include partners like junk shops to collect plastic waste to be processed through its recycling facility

^{Source: Euromonitor International}

However, challenges remain, especially for local companies due to the lack of financial resources. Moreover, other challenges include the lack of investment in capacity building for recycling, readiness for implementation by key stakeholders and the ability to enforce requirements, as well as the large and fragmented informal sector in recycling in Asia Pacific.

For EPR to be a success, enforcement of government regulations is key. This includes enforcing significant monetary penalties for companies that do not comply with EPR, and incentivising companies to enhance collection rates and establish recycling infrastructure.

Collaboration with various stakeholders is also key to develop cost-effective systems and infrastructure. This includes companies working with Producer Responsibility Organisations (PROs) which can run large-scale processing and recycling facilities, as well as enhancing recycling collection rates through partnerships with local governments, waste management operators and informal workers. In emerging markets where informal workers have a key role in recycling, it is important for companies to integrate them into the recycling ecosystem to enhance circularity.

Read our article, Rigid Plastics’ Circularity: Demand for Renewable Packaging Intensifies, for more analysis on the path to circularity, challenges, innovations and opportunities.

Learn more about plastic circularity in Asia Pacific in our report, Plastic Circularity for Beverages in Asia Pacific, to understand consumer trends, regulatory developments and beverage companies’ strategies regarding sustainability in Asia Pacific.