IFCO Systems (IFCO) and Walmart have announced a multi-year business agreement regarding IFCO’s reusable plastic containers (RPCs).

The agreement expanded Walmart’s use of IFCO RPCs as well as made IFCO the exclusive RPC packaging provider for fresh fruits and vegetables distributed by Walmart in the U.S.  IFCO is currently the world’s largest operator of RPCs for fresh food packaging

“IFCO and Walmart share the goal of an efficient, sustainable fresh food supply chain that helps nourish millions of Americans and billions of consumers worldwide,” said Dan Martin, outgoing President of IFCO North America.

“This agreement is a win for IFCO, a win for Walmart, a win for the environment and a win for millions of grocery shoppers across America.”

IFCO and Walmart began collaborating in 1998 when the two companies decide to combine their effort to introduce reusable packaging in the U.S.  

With the new, seven-year agreement Walmart suppliers will deliver their produce to Walmart locations using IFCO RPCs which, after each use, will be cleaned, washed, sanitized, and wrapped for subsequent usage. This can be repeated up to 100 times before the RPCS are reground into new ones.

“Walmart is committed to providing its shoppers with high quality, safe, nutritious and affordable fresh food produced sustainably,” said Martin Mundo, Walmart senior vice president, produce & GPS about the endeavor.

“Our new agreement with IFCO helps us deliver on that promise by creating a fresh food supply chain that is more efficient and more sustainable from beginning to end.”

In addition to the agreement, IFCOare expects to create U.S.-based  jobs both in manufacturing through the production of new RPCs and at expanded IFCO Service Centers. 

IFCO RPCs will also contribute to Walmart’s Project Gigaton which aims to avoid 1 gigaton of greenhouse gas emissions across its supply chain by 2030 by reducing waste, energy usage, and carbon dioxide emissions among others.