Ikea has acquired a 15 percent minority stake in Morssinkhof Rymoplast Group, a Dutch plastic recycling company. This is the retail giant’s first purchase under its 1 billion euro ($1.07 billion) budget earmarked for sustainable materials.
In December, Ikea announced the $1 billion investment, which the company said would focus on forestry and companies developing recycling technologies, renewable energy and biomaterials. By investing in these companies, Ikea says it will secure a long-term supply of sustainable materials for its products.
“The transition to a circular economy is very important if we want to keep meeting people’s needs and demands without exhausting our natural world’s resources,” Howard said. “Ikea would like to help speed up this transition through several steps: investments; reuse waste in our own company and enable millions to live a more sustainable life at home.”
Morssinkhof Rymoplast, a Dutch family business with several locations in the Netherlands, has processing capacity of 200,000 metric tons and expects further growth with the Ikea investment, Plastics News reports. The company recycles used plastics from industrial partners and consumers.
Earlier this month, Ikea launched a line of kitchen fronts made from recycled wood and recycled plastic. Working with an Italian supplier, 3B, Ikea developed a new material on the market: a plastic foil made from discarded PET-bottles collected by Japanese municipalities.