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PepsiCo signs deal to incorporate sustainable plastics in packaging by 2020

PepsiCo Inc. entered into a multiyear supply agreement with a Canada-based manufacturing company for the use of its sustainable polyethylene terephthalate, commonly abbreviated as PET, in PepsiCo products packaging by early 2020.

PET is a form of polyester that is widely used to produce plastic bottles and containers for food, beverages and cosmetics.

The deal will give PepsiCo access production capacity from Loop Industries Inc.'s joint venture facility in the U.S. PepsiCo will implement Loop's technology to package products in 100%-recycled PET plastics.