Australia’s Soft Plastic Recycling Scheme: Promoting In-Store Collection at Supermarkets 
On November 12, 2025, the Australian Competition and Consumer Commission (ACCC) granted an eight-year authorisation to Soft Plastic Stewardship Australia (SPSA) to operate an in-store collection and recycling scheme for soft plastics. Since 2011, Australia has undertaken initiatives to increase the collection and recycling of consumer-generated soft plastic packaging, such as shopping bags and food wrappers (including food packaging, plastic bags, wrap film, and bubble wrap). Specifically, this industry-led voluntary initiative provides collection and recycling hubs for soft plastics. Participating companies in the scheme must pay a fee based on the volume of soft plastic packaging they generate annually. Under SPSA, the scheme is expected to expand further, with plans to provide kerbside collections and drop-off facilities.
Background and Timeline
Between 2011 and 2022, an in-store soft plastic collection program called REDcycle was implemented in Australia. This industry-led program partnered with major supermarkets and was carried out at approximately 2,000 stores, including Coles and Woolworths. The program provided collection and recycling hubs to allow consumers to bring used soft plastic packaging to stores. Although the program ended in 2022, the Soft Plastics Taskforce was subsequently launched. The timeline is as follows:
| Timeline | Summary |
|---|---|
| November 2022 | The REDcycle program ended after recycling partners suspended the acceptance and processing of soft plastics. This created challenges regarding environmental risks from future waste generation and the processing of stockpiled soft plastics. To address these issues, supermarkets applied for ACCC authorisation, and the Soft Plastics Taskforce, chaired by the Department of Climate Change, Energy, the Environment and Water (DCCEEW), was established. |
| February 2023 | Supermarkets took over the storage of soft plastic stockpiles. It was subsequently reported that approximately 11,000 tonnes of soft plastics were being stored across more than 44 locations. |
| June 2023 | The ACCC granted a 12-month authorisation allowing supermarkets to collaborate with the Soft Plastics Taskforce to manage stockpiles and resume in-store collections. |
| July 2024 | The ACCC granted a conditional interim authorisation to ensure the uninterrupted continuation of soft plastic processing and collection. Project participants were required to submit quarterly progress reports. |
| January 22, 2025 | Supermarkets submitted a progress report as of this date. The report detailed stockpile volumes in each state and territory:
Furthermore, 45 tonnes of soft plastics were collected by the end of December 2024 through an in-store collection pilot program operating at 107 stores in NSW and Victoria. |
| February 27, 2025 | Regarding the processing of soft plastic stockpiles, the ACCC granted an additional conditional authorisation, which is scheduled to expire on July 31, 2026. |
| August 11, 2025 | The ACCC released a draft proposing to grant an eight-year conditional authorisation. |
| November 8, 2025 | SPSA applied to the ACCC for an exemption from certain competition laws for its soft plastic collection and recycling scheme based on public interest. The ACCC granted this request subject to the following conditions:
SPSA is now permitted to collect and recycle used soft plastic packaging under the voluntary scheme. |
| Next Steps | Under the ACCC authorisation, SPSA intends to take over and expand the in-store collection pilot program previously implemented by the Soft Plastics Taskforce, with plans to also provide kerbside collections and drop-off facilities. |
As described above, Australia’s soft plastic collection and recycling scheme was developed by food industry stakeholders including Woolworths, Coles, ALDI, Nestlé, Mars, and McCormick Foods, but it will be operated by SPSA in the future. While the ACCC is not involved in the design or operation of the scheme, it grants authorisation when it determines there is an overall public benefit. This scheme is separate from the packaging regulation reform initiatives being pursued by the Australian Government, including the DCCEEW.
Related Link
- ACCC news article on this matter (18 November 2025)
https://www.energy.gov.au/news/new-soft-plastics-recycling-scheme-gets-green-light-accc
