Pulling Product From the Shelf: How to Get a Refund on Deposits and CRFs

In rare circumstances, a beverage producer selling into British Columbia may need to remove products from the market. Whether a refund is available depends on where the containers are in the supply chain and whether deposits and container recycling fees (CRFs) have already been paid to Encorp.

As per the BC Recycling Regulation, a producer is defined as someone who sells, offers for sale or distributes ready-to-drink beverages in sealed containers in British Columbia. A producer may also include a manufacturer’s agent or a person who imports into British Columbia, for sale in British Columbia.

Scenario 1: Product has been sold into the supply chain

If product has been sold to a distributor or retailer and the producer has already sent the related deposits and CRFs to Encorp:

• The producer may apply to Encorp for a refund based on the number of containers removed from the market.

• Alternatively, the value of the deposits and CRFs may be applied as a credit toward future containers reported and sold in BC.

• The container count must be accurate as sales records will need to be adjusted and incorrect counts can affect overall beverage-container recovery-rate reporting

Scenario 2: Product has not been sold and no fees were paid to Encorp

If product is still in a warehouse or elsewhere in the supply chain but has never been sold—and deposits and CRFs have never been paid to Encorp:

• The producer is not eligible for a refund

• Since no deposits or CRFs were remitted, there is nothing to refund

Disposal requirements

In both scenarios, the producer is responsible for proper disposal of the beverage containers and any related packaging.

Do not bring recalled or removed product to a Return-It depot for disposal or to redeem deposits. In Scenario 1, the deposit has already been refunded or credited to the producer; in Scenario 2, no deposit was ever paid. Under scenario 2, the producer would not be eligible for any kind of refund on deposits or CRFs as none was ever paid to Encorp.

There are many organizations which specialize in the destruction and processing of packaging materials, which will ensure your product is properly handled and processed. For large volumes requiring destruction, contact the Brand Registry team at brandregistry@returnit.ca and assistance can be provided in helping with the disposal of product and packaging.