DEPOSIT RETURN SCHEMES: SYSTEM SPOTLIGHT
Deposit return scheme in Germany: the world’s highest-performing drink container recycling system
Germany this year celebrates the 20th anniversary of its world-leading deposit return scheme for collecting and recycling single-use drink containers. Germany has the world’s largest and highest-performing deposit return scheme, achieving a record 98% return rate on eligible single-use drink containers, owing to the system’s meaningful deposit value and convenient network of return locations.
I want to commend German retail for its invaluable role in turning this system into a practical everyday reality for consumers across the country, as well as the strong governance and professional stewardship of DPG, which has ensured stakeholder alignment, supported innovation and upheld the high standards of performance and system integrity that define the system today.
He further added, "I am also proud that TOMRA has played a role in this journey, working closely with German retail and passionately supporting the market with responsible innovation throughout this entire period. As a reliable strategic partner, we look forward to continuing this success together in the years to come."
Germany has the world’s largest and highest-performing deposit return system (DRS, also known as a deposit return scheme) or Pfandsystem, as the program is known locally. The country achieves a record 98% return rate on eligible single-use drink containers, owing to the system’s meaningful deposit value and convenient and dense network of return locations.
As well as driving the collection and recycling of single-use packaging, the German Packaging Law also encourages the use of reusable containers (43% of all beverages are filled in reusable containers in Germany). Germany expanded and modernized its single-use deposit return system in January 2022 and again in 2024, with the addition of milk-based drinks in single-use plastic bottles.
Germany’s single-use container deposit return scheme snapshot:
- Country population: 84 million (May 2026)
- Container deposit: €0.25,
- Eligible containers: PET, metal cans (aluminum and tinplate) and glass, 100ml – 3 liters
- Container return rate: 98%
In addition, the container deposit value is €0.08-€0.50 for reusable containers, and €0.75 or €1.50 for half/split crates or full crates.
Designing the deposit return scheme
In the early 1990s, the idea of a deposit return system for single-use containers in Germany was introduced when an ordinance on packaging was passed, setting a quota that at least 72% of all beverages (measured in liters) should be packaged in reusable containers. If this quota was not met, a mandatory deposit would apply for single-use beverage containers. In a few years, the market share of reusable containers fell below this quota, and so a DRS for single-use containers was established.
Germany’s deposit return system was revised in 2006 to make it more consumer-friendly and efficient, and it has since gone from strength to strength.
The German DRS includes PET plastic, metal cans (aluminum and tinplate) and glass containers, with a volume of 100ml to 3 liters. Germany has one of the world’s highest container deposit values, at €0.25 flat for each single-use container. In fact, producers are allowed to set a higher value if desired, but have not needed to since return rates are so high. This high deposit value was set to avoid single-use containers overtaking reusable ones.
Germany’s deposit return system follows a “return-to-retail” model, with around 135,000 return locations across the country, which include reverse vending machines (RVMs) and/or manual returns. Stores 200m² or more in size are obligated to at least accept returns of the drink container materials they sell, and smaller stores must at least accept the container materials for the brands they sell.
Germany also has one of the world’s most successful systems for reusable beverage containers, also achieving a 98% return rate. While these containers are exempt from DRS law, they carry voluntary deposits of between €0.08-€0.50 (depending on the type of packaging) and €0.75-€1.50 for a crate (split or full crate).
The DRS for single-use beverage containers in Germany is overseen by Deutsche Pfandsystem GmbH (DPG), which is owned jointly by the German Trade Association and the Association of the German Food and Beverage Industry.
Producers and importers – or “first distributors” – of beverages must register with DPG, and each container within the DRS must display a compliant barcode and a visual deposit logo, containing a security feature. Each first distributor pays an annual fee according to the size of its operations. DPG maintains a database of information for each container, based on input by the first distributors. Stores selling the beverages must pay the first distributors a deposit for the containers, which the stores then recoup by charging consumers a deposit when they purchase the beverage. The first distributors refund the deposits to retailers once consumers return their containers to the stores.
TOMRA and Germany’s deposit return scheme
TOMRA was established in Germany even before the single-use DRS came into effect, since the country had a deposit system for reusable containers since the 1950s. “TOMRA was established in Germany in the 1980s, and was active there throughout the 1980s and 1990s. However, growth really accelerated with the implementation of the DRS for single-use containers, when new agreed improvements to the system were implemented,” explains Michael Löwe.
Until 2006, consumers could only return containers to the store/chains where they had been purchased. In some instances, when returning eligible DRS containers, consumers had to bring the shopping receipt from the original purchase of the drink together with the container to receive their deposit back.
When the system was further optimized, with the ability to return eligible DRS containers to any store nationwide, there was a big boost in demand for automated returns.
From 2005 to 2006, TOMRA delivered approximately 9,000 new reverse vending machines to Germany. That accounted for around three times the total TOMRA sales volume worldwide in a normal year at the time, and Germany has been a key market for the company ever since. Today, Germany is TOMRA Collection’s biggest market.
Over the years, TOMRA has become attuned to the requirements of the deposit return system in Germany, even creating equipment customized to the German market. These solutions were then deployed globally for all kinds of customers. This includes the TOMRA Expert Line, E1, which processes a high volume of containers with accuracy, security and integrity. An early solution developed specifically for the German market was a reading unit for all reverse vending machines to recognize container security marks.
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TOMRA Expert Line, E1, installation for a customer
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TOMRA T100 reverse vending machine in Germany
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Two TOMRA T100 RVMs and TOMRA R2 RVM in German store
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Two TOMRA T9 RVMs and TOMRA R2 RVM in German store
Results and the future for the Germany deposit return scheme
Twenty years after the launch of the country’s deposit return scheme for single-use drink containers, the popularity of container recycling in Germany, with a 98% return rate, makes it the world’s highest-performing system. Germans remain strongly supportive of deposit return.
And the German deposit system continues to evolve. In January 2022, eligible containers were expanded to include alcoholic drinks, juices and nectars in single-use plastic bottles and cans, as well as milk-based mixed drinks in cans. An update in January 2024 expanded eligible containers to include plastic bottles containing milk, mixed milk drinks and all drinkable milk products. “These updates reduced confusion for consumers, since previously these beverages were excluded from the DRS,” explains Michael Löwe.
As well as driving single-use returns, Germany remains committed to increasing reusable container use. Stores will be required to clearly show consumers the difference between single-use and reusable containers through better labeling in store, and manufacturers have committed to clearer container labeling.
Germany has also shown its enthusiasm to embrace new technology to enable deposit return schemes. The country now hosts more than 100 multi-feed reverse vending machines from TOMRA (where consumers pour out entire bags of containers into the RVM, instead of inserting them one by one), and was the first country in which TOMRA launched its new TOMRA T100, the latest innovation in single-feed RVMs.
“Germany’s deposit return system is a fascinating example of a high-performing system, generating impressive return rates,” says Michael Löwe. “With its meaningful deposit value, straightforward and sophisticated return-to-retail model, expanded variety of eligible containers and commitment to promoting reusable containers, it is a truly unique system."
There’s no doubt that the country will continue to be one of the world’s leading recycling nations, and at TOMRA we look forward to continuing to play our part.
More deposit return schemes in Europe
Lithuania exceeds container return rate expectations
Norway’s deposit return scheme is world’s recycling role model
Slovakia exceeds return-rate targets for beverage containers
