World – Coca-Cola and Pepsi shake up recycling strategies

Coca-Cola and PepsiCo are stepping up efforts to recycle plastic containers amid a growing backlash against the sale of bottled water in the US and the UK.



MSBN reports that authorities including San Francisco‘‘s city government and the UK‘‘s Department for the Environment, Food and Rural Affairs, have recently raised concerns over the amount of plastic and energy wasted on a liquid that can be had from a tap.



A widespread consumer and government attack on bottled water would hit a multibillion dollar industry and deprive Coca-Cola, Pepsi, Nestlé and others of a significant source of profits in a market that has grown rapidly because of consumers‘‘ preference for non-fizzy, healthier drinks.



US sales of bottled water have more than doubled in the past decade, reaching $10.8bn last year, according to the Beverage Marketing Corporation.



Last week, Neville Isdell, Coca-Cola‘‘s chief executive, said the company could achieve its goal of recycling all its plastic bottles within five years.



Meanwhile, Indra Nooyi, his counterpart at Pepsi, which owns the Aquafina water brand, has said the drinks and snacks group would "do more" to recycle plastic containers.



However, unlike Coca-Cola, which owns six recycling plants across the world, Ms Nooyi said it did not make sense for Pepsi – the world‘‘s biggest producer of bottled water after Nestlé – to build its own facilities.



San Francisco has banned city departments from buying bottled water dispensers, and wants them to get rid of large bottled water dispensers by the end of the year. It is encouraging other Californian cities to follow its lead. In the UK, Liverpool City Council, Defra and the Food Standards Agency serve tap water.