CORE (Collect and Recycle) is the first multi-stakeholder packaging alliance in Pakistan, which envisions creating a circular economy, according to a letter issued by the organisation to the government. It was established by leading like-minded industry players, non-governmental organisations, packaging companies and recyclers to eliminate packaging waste through collective action.
Modern life shaped by advancements in technology, healthcare, food security, and global Connectivity has been made possible in large part through the development of plastics, including packaging, the letter said.
However, this progress has also led to significant amounts of plastic waste, much of which ultimately enters the environment, causing a wide range of environmental, health, and social challenges.
Addressing this issue and moving toward a circular economy requires substantial public investment in formal waste collection and recycling systems. In this regard, the government plays a critical role in establishing an effective policy framework and creating an enabling environment that supports sustainable and innovative waste management practices.
The annual budget 2026-27 is an opportunity to introduce financial measures to move towards a resilient circular economy and the creation of green jobs. In this regard, the CoRe Alliance requests access to green financing to promote waste collection and recycling. Other recommendations include a five-year tax holiday for new and existing collection and recycling projects across Pakistan, CoRe also encourages the introduction of tax rebates and financial incentives for companies that achieve specific recycling targets or produce packaging made from recycled materials, and the exemption of sales tax, customs duty, and a zero-tariff regime for the import of equipment for recycling projects.
Among its recommendations are exempting GST on waste sorting, collection, and recycling services to formalise the informal sector, and abolishing the duty on reverse vending machines for the collection of plastic packaging waste. Lastly, it encourages the incentivisation of the plastic to fuel industry/infrastructure.
Such measures will contribute to Pakistan’s climate reform agenda.