According to ESMagazine, the German discounter Aldi is testing digital watermarks on its own-brand product packaging as it seeks to improve the recyclability of packaging materials.

Feasibility testing

The pilot project is part of a study by the HolyGrail 2.0 initiative, launched in 2022, to test the technical feasibility of digital watermarks to promote the sorting of plastic packaging for recycling.

Aldi added that the initiative is now entering the third stage with a proper sorting study.

Alexander Markov, Managing Director of National Supply Chain Management at Aldi Süd, stated:

"To create the conditions for high-quality recycling in the market, as a member of the HolyGrail 2.0 initiative, we strive to sort as much material as possible in the best possible way and thus make a significant contribution to the circular economy."

The lack of standardized infrastructure for collecting, sorting, and recycling plastic packaging has been identified as one of the major challenges in plastic recycling, noted the discounter.

Digital watermarks

Aldi is adding digital watermarks to approximately 18 bottles of kefir and yogurt under the Milsani brand. The first products labeled with the invisible codes are already available in stores, the discounter added.

Digital watermarks contain, among other things, information about the packaging material.

In recycling facilities, special cameras read the relevant data and help sort the packaging materials into individual waste streams for better recycling.

In 2020, Mondelēz International announced plans to test digital watermark technology in partnership with AIM - the European Brands Association - and other European companies and organizations to test the technology.