Impact of Law 07/2022 on The Manufacture of Kraft Drums

In our commitment to sustainability and process optimisation, we have recently obtained ISO 15343 certification, a standard that guarantees the traceability and recycled content of the plastics we use in our products.

This certification has allowed us to validate that 95% of the polypropylene (PP) we use in our kraft drums comes from recycled material.

Considering that certification agencies consider it impossible to achieve 100% recyclability due to the need to incorporate certain additives and excipients during the manufacturing process, this is great news for our company.

Implications of law 07/2022

Law 07/2022, in its regulation on the taxation of plastic containers, establishes the application of a tax based on the weight of the non-recycled material. This directly affects our cardboard drums, whose lid is made of polypropylene.

This means that we must apply a 5% tax on the weight of the lid on our customers’ invoices, in compliance with current regulations.

Some key points of this regulation include:

  • Mandatory nature of the tax: It is applied to plastic containers that do not meet the criteria for full recyclability.
  • Percentage affected: In our case, the tax is calculated on 5% of the weight of the polypropylene cap.
  • Impact on turnover: The corresponding tax is reflected in the final invoice to guarantee transparency and regulatory compliance.

Exemptions for certain sectors

It is important to point out that not all sectors are subject to this tax. Our clients in the pharmaceutical sector can benefit from the exemptions set out in article 75 of law 07/2022.

This article specifies that packaging intended to contain, protect and distribute the following is exempt from the tax:

  • Medicines and healthcare products.
  • Food for special medical purposes.
  • Infant formula for hospital use.
  • Hazardous healthcare waste.

Likewise, manufacturers and importers of active pharmaceutical ingredients (APIs) can also benefit from this exemption, according to the resolution published by the Tax Agency in the binding consultation V0996-23.23.

Procedure for the application of the exemption

To guarantee correct compliance with the regulations, at Joaquín Alberto we will only apply the exemption to those customers who take responsibility by presenting a certificate that accredits their right to the exemption.

This document must be signed and validated by the requesting company to avoid any regulatory non-compliance.

With this approach, we remain committed to transparency and regulatory compliance, ensuring that our products meet the most demanding standards of sustainability and quality.

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