PAKOMAK DOO Skopje Company for packaging and packaging waste management

Plitvice, May 2014

Basic Data

Founded: 03.12.2010Address: blv. Partizanski Odredi, Porta Vlae Blok 4

1000 Skopje, R. Macedonia

Founders:1. Pivara Skopje AD - Skopje2. Prilepska Pivarnica AD - Prilep3. Vitaminka AD - Prilep4. Pelisterka DOO - Skopje5. Magroni DOO - Skopje6. Koding Dooel - Kavadarci7. Kozuvcanka DOO - Kavadarci8. Vivaks Dooel - Skopje9. Blagoj Gjorev AD - Veles10. VV Tikves AD - Kavadarci11. VV Stobi AD - Rosoman

Population: 2,1 million

Total Packaging Waste 2013:106.000 tons annual

License granted by the Ministry: 10.01.2011

Basic Data

Estimated fractions of packaging waste in Macedonia:

Paper 35-40% of the total volumePlastic 32-35%Glass 17-20%Metal 4-6%Composites 4-6%Wood 8-10%

EUROSTAT data for 2008 shows that in EU the average packaging waste per capita is in the range of 40-233 kg/person/year.Average for EU in 2008 was 164 kg packaging waste /capita.

In Macedonia the average is 50 kg packaging waste/capita.

The total waste (all types) per capita in Macedonia is estimated at cc.300-330 kg/year.

Goals of PAKOMAK Fulfil the National Goals for packaging waste, meaning that by 2020, 60% of total packaging waste (plastic, paper, metal cans, glass, wood) in Macedonia must be recycled or energy recovered!

To achieve the goals, PAKOMAK and municipalities has to:

Increase the capacity of communal infrastructure for “primary separate collection” of packaging waste, apart from so called “wet” communal waste (bins, containers, trucks..)

Increase the capacity for “secondary selection” of primary collected packaging waste (sorting plants)

Increase the public awareness for the need of the separate selection and global and local eco-benefits of recycling

Five Principles of PAKOMAKFulfilment of the Packaging Ordinance with greatest possible ecological benefit and minimum economic effort

Fee calculation for clients WITHOUT PROFIT; no distribution of unintentional surplus to owners

Transparent and auditable operation

Equal treatment of clients

Acting in goodwill partnership with the state ministries and the local communities

PAKOMAK estimates that by 2020 the municipalities together with packaging waste management companies, have to distribute min. 10.000 containers for “primary” separate collection of the packaging waste.

It is 1.300 containers per year by 2020!

Additionally, at least 3 regional sorting plants in the country has to be installed, to “secondary“ separate paper, plastic, metal and glass.

Government institutions and municipalities has to plan these investments in infrastructure in their budgets.

PAKOMAK, as an industry representative, always do so!

Operational activities

2011 2012 2013

Licensed PW

42.090 40.557 40.100

Collected PW

6.198 7.595 9.225

(%) of collection 14,7 18,7 24,2

Operational activities

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1000000120000014000001600000

Number of citizens covered by PAKOMAK collecting scheme 2011-2013

Operational activities

Sales and Marketing activities

By 31.12.2013, PAKOMAK has over 680 clients/companies!

Slogans: THE PACKAGING THAT HAS A PAST, MAY ALSO HAVE A FUTURE!

Be IN, use RECYCLE BIN!

Rest of industry86%

PAKOMAK founders

14%

PAKOMAK Shareholders Market Share v.sTotal Packaging Waste Market in Macedonia

The structure of the PAKOMAK’s Licensed Quantities in 2013 is as follows:

1.Plastic 33%2.Paper and Cardboard 30%3.Glass 23%4.Metal 4%5.Composites 5%6.Wood 5%

Note: Share of glass is slightly bigger because of the structure of businesses of our founders and clients.

Sales and Marketing activities

Print 1

“One ton of recycled paper saves 17 trees”

Best business solution for managing your packaging waste

Print 2

“100.000 tonspackaging waste in Macedonia”

Best business solution for managing your packaging waste

Print 3

“One ton ofrecycled plastic saves 900 lit. oil”

Best business solution for managing your packaging waste

Trash-for-Artcontest

133 artistic statues, 1.000 EUR first reward

Excellent PR

Sales and Marketing activities

A computer game GreenТеам has been designed, for children under age of 12, stimulating them to virtually collect separately packaging waste and put it in the appropriate bin!

Sales and Marketing activities

Educational classes for pupils in Primary school.

Sales and Marketing activities

Activities for cleaning of the environment

Sales and Marketing activities

Fashion weekend – “Are you recyclINg”

Sales and Marketing activities

Contest “We are painting in Green”

Sales and Marketing activities

ECO concert of popular bands– bring 3 PET bottles and get free entrance

Sales and Marketing activities

Summer beach activities – bring 3 PET bottles get one drink for free

Sales and Marketing activities

Picture-book for children in kinder gardens

Competition

Since April 2012, there are 3 competitors:

1.EKO EURO-PAK (founded by retailer, recycler and 2 producers)Market share: 10.500 tons or 10%

2. EKO PAK-HIT (founded by 3 small producers)Market share: 3.200 tons or 3%

3. EKO CYCLE (founded by 2 small producers)Market share: 1.300 tons or 1%

Pakomak with 38% market share is the largest, but FREE RIDERS are the biggest portion of the market (48%!)

Contracts with municipalities for collection and services

Collection and transport of the waste to the sorting plants

Sorting of the waste to be prepared for recycling

Transport to the recycling plant

Sale of the waste

Fee from the industry

Movement of the waste Income Taking part into the activities

Organization of managing packaging waste

Thank you!