Inbound Logistics | June 2024

the dryers run largely on natural gas. Garnica, however, uses mostly biomass, which is a byproduct of its production processes. Biomass is more complex to work with than natural gas and requires a greater capital investment. But this approach enables Garnica to use every part of the log. In addition, biomass is carbon neutral from a C02 accounting perspective, as the carbon released is captured in tree growth. Garnica sells any wood that isn’t used for plywood panels or for producing energy to produce pulp for medium density fiberboard or particle board. Garnica continues to research new uses for its wood, biomass, and other products. As with many research efforts, these often hit dead ends. “You invest a lot of time and resources, but you still might not get a product that’s marketable or scalable,” Crespo notes. Interface, a flooring manufacturer, has recycled post-consumer carpet tile for more than 20 years. In 2023, it collected 5.7 million pounds of recycled carpet through its ReEntry™ Reclamation & Recycling program. Based on the material’s condition and composition, products are diverted to their most sustainable option, such as reuse, recycle, or energy recovery, says Liz Minné, head of global sustainability strategy. Interface also uses recycled and bio- based materials in many parts of its carpet tile, resilient, and rubber products. Today, 51% of the materials used to make Interface products are from recycled or bio-based sources; for carpet tile, the percentage is 66%. Nearly 40% of the materials used to make Interface LVT (luxury vinyl tile) and other resilient flooring are from recycled or bio- based sources, with the use of recycled fillers. The bio-based content includes renewable plant-based material. At the same time, challenges and roadblocks remain when creating a truly circular economy. Interface continually collaborates with its supply chain partners to identify scalable and circular supply chain solutions. “As a part of our updated carbon strategy, we plan to expand our use

“Massive innovation is happening in packaging,” says Hernan Saenz, lead of the circularity practice of Bain & Company. Consider Cabka, which produces pallets and containers made largely with post-consumer and post-industrial waste and scrap (photo above) . About 90% of its parts are made from recycled material, says Jean-Marc Van Maren, chief product officer. Cabka also recycles the pallets and containers that come back from customers. That said, working with recycled materials is “not so easy,” Van Maren notes. For instance, Cabka’s continued efforts to make its units lighter and better, while ensuring they meet stringent specifications, requires substantial engineering and testing. “Each pallet must meet multiple requirements, such as carrying heavy loads, being safe to handle, and withstanding different temperatures and rough handling,” he adds. Cabka invests time upfront to understand the requirements of its customers, and often, its customers’ customers. Next steps include creating designs and making small prototypes and 3D prints, before making the real pieces. These are tested to check that they can be used in different settings, such as with robots and/or AGVs. Another challenge is ensuring a stable supply of recycled product streams. When working with companies to take their recycled material, Cabka has to understand how much of the material will become available. If the materials vary greatly, it can lead to a lot of differentiation in the recycled products, Van Maren says. Tosca provides crates, pallets, and other reusable plastic packaging, typically for food and food ingredients, that can be used between 80 and 150 times. Many of the products also are collapsible, which cuts down on transportation costs and energy use. At the end of their lives, the containers are ground up and used to create new containers, says Karin Witton, global director of sustainability. Compared to a corrugated cardboard box—the typical alternative—Tosca’s products usually emit fewer greenhouse gases. They also use less water, despite the cleaning required before the containers are reused, Witton says. When researching new sources of plastics, Tosca has to ensure the materials it’s considering are food-safe. It can be difficult to determine the source, grading, and other attributes of some ocean plastics, which can limit their usability. “All of that has the potential to be a problem,” Witton notes. PACKAGING PLAYS A PART

June 2024 • Inbound Logistics 31

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