The Co-op and digital labelling experts Polytag claim they have “cracked the code” that will enable the rollout of a digital deposit return system across the UK.
The retailer has joined forces with Wales-based Polytag to apply ‘unique every time’ QR codes and UV tags on its own-label PET two-litre spring water bottles, as a pre-cursor to allowing DDRS to track the products in the recycling system.
They claim the trial shows a return system that allows consumers to scan the unique QR code on used product packaging via their smartphones will give governments a viable alternative to the reverse vending machine-based DRS system. That system is due to be launched in Scotland in August and the rest of the UK from October 2025.
DRS has become embroiled in a huge industry row, with five leading supermarkets last week urging new Scottish first minister Humza Yousaf to shelve plans for the first scheme.
In an unprecedented attack by senior retail figures on the plans, Sainsbury’s, Morrisons and Waitrose have spoken out about the scheme, following criticism by Tesco and Asda.
The Co-op and Polytag claim the trial is the biggest breakthrough yet in DDRS technology.
in November, Polytag partnered with online retailer Ocado in a three-month trial that saw 1.6 million of the retailer’s fully recyclable milk bottles feature unique every time QR codes, which can be scanned with smartphones to receive detailed recycling information.
It came after ministers on both sides of the border were warned by retailers that it would be virtually impossible to come up with a solution to online recovery using traditional DRS.
However, as well as adding hidden UV labels to the process, the latest trial is also significant because the labelling will be applied at the bottling line, rather than the retailer manufacturing line. This meant it would not add extra time to the distribution process, Polytag and the Co-op said.
For the trial the QR codes, which are GS1 compliant, will take consumers to a Co-op landing page detailing information about both the retailer’s sustainability and charitable commitments. Within the unique every time QR code, there is a serial number that can be used to handle fraud-proof rewards, assign loyalty points and secure deposit redemptions.
A UV tag layer invisible to the human eye will then be applied across the label. It will enable barcode level information to be captured in the recycling centre and uploaded to a cloud-based analytics dashboard, providing the Co-op with with real-time insights on whether packaging is actually recycled, and in what volumes.
The companies said the new technology paved the way for a “cost-effective” DDRS rollout.
“The combination of consumer-facing QR codes and UV tags is the future of creating and maintaining a circular economy from the millions of pieces of packaging that enter the market every year,” said Polytag CEO Alice Rackley.
“The technology will allow legislators to measure business liabilities and enforce legislation by identifying ownership of plastic packaging: Local authorities and recycling centres can capture real-time data on packaging composition and breakdown of bales, to help inform recycling strategy, investment in sorting and recovery equipment, and onward tracking of materials.
“Furthermore, with Extended Producer Responsibility (EPR) on the horizon, brands classed as obligated packaging producers may be required to benchmark their progress.
“The onus is now firmly on the industry to take responsibility for the packaging they produce.”
Co-op packaging manager Rob Thompson added: “At Co-op we champion initiatives that enable a circular recycling economy for all packaging materials. The duality of the UV tag and QR code on our water bottles will enable Co-op to gain a greater understanding on a product’s journey in the recycling chain and provide valuable insight to shape guidance and measurement for future initiatives to encourage more people to recycle.”
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