The arrangement commenced from December 1 and runs alongside other environmental initiatives jointly promoted by both firms.
Asda claims that it stores in Horwich and Bootle are now diverting 99% of their waste away from landfill through a series of strategic process changes. If successful, Asda is looking to roll out this process to all of its stores and depots across the UK over the next 18 months.
Asda packaging buyer Shane Monkman said: “Over the last 10 years we’ve developed a successful relationship with Veolia as part of our waste strategy, and we look forward to this continuing. With their strong understanding of the business and their appreciation for the complex global environment in which we operate, there’s no doubt that Veolia will add tremendous value in helping us to recycle even more of the UK’s cardboard.”
Monkman told MRW last month that it had no problem shifting its cardboard to end markets amid the sharp drop in material prices (See MRW story). He said that Asda had an incumbent supplier with a secure contract but he said operations were commercially difficult.
Veolia commercial services director David Lusher said: “Achieving these contract milestones provides a great example of how huge progress can be made when partners work together to meet and improve on their already challenging targets. As global players in our industry, both
Asda and Veolia Environmental Services have been capable of leveraging expertise and know-how from a wide body of knowledge. This differentiation can be vital in achieving results, especially in these difficult market conditions.”