Aldi and Arla Trial UV Tags to Track Milk Bottle Recycling

The eight-week UK pilot tests wrap-around UV labels at Arla's Oakthorpe site, as Europe moves toward harder proof of what packaging actually gets recycled

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Source: Aldi UK

Aldi UK and the UK arm of dairy cooperative Arla have started an eight-week operational trial with recycling technology provider Polytag. The goal: to trace how milk bottles move through the UK recycling system using invisible UV markings.

For the trial, labels are printed with a specially developed fluorescent ink. Compared to the first joint trial in 2023, the technology has moved on. Back then, the companies used individual, pressure-sensitive labels. Now they're using a different format: wrap-around labels that cover the whole bottle. This is meant to make them more durable and prevent damage during transport.

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Did you know? According to UK environmental charity WRAP, milk bottle recycling rates in Britain now stand at around 80% – up from roughly 5% for plastic bottles overall in 2002.

Once tagged bottles pass through a sorting facility, detection units installed there by Polytag read the UV codes and transmit the data in real time, down to the level of the individual container. Through a dashboard, Aldi and Arla then get insights into exactly how much of their packaging is actually being recycled – and by what route.

Why traceability matters now

The timing is no coincidence: the UK is tightening its Extended Producer Responsibility (EPR) rules. Under EPR, producers and retailers have to cover the recycling costs of their own packaging. On top of that, a Deposit Return Scheme is being introduced. Together, these changes mean companies will need to show in far more detail what materials are actually being recycled. The EU is moving in a similar direction with its own Packaging and Packaging Waste Regulation (PPWR), which makes this UK pilot a useful signal for retailers and producers across Europe watching how traceability requirements are likely to evolve.

For Aldi and Arla, the trial is a way to base future packaging decisions on verified data rather than estimates. The fact that Polytag is now on board for the third time could be a sign that the technology is moving from pilot project to repeatable process.

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