Case study · Circular procurement in pictures

The Udder Way: a café swaps single-use milk bottles for reusable kegs

CIBI Café, Melbourne, and The Udder Way. Prepared by Rawtec for Green Industries SA, as part of a series of case studies on changing procurement practices.

Summary published

In August 2022, CIBI Café in Melbourne stopped buying milk in 2-litre single-use plastic bottles and switched to 18-litre reusable kegs supplied by The Udder Way.

Eighteen months later the café had avoided about 4,300 bottles, roughly 215 kilograms of plastic. Every keg used in place of bottles saves around 450 grams of plastic, which is the weight of nine crushed 2-litre bottles.

A keg lasts eight to ten years, or 800 to 1,000 uses, before it leaves the system.

4,300

single-use bottles avoided in 18 months

215 kg

of plastic kept out of the bin

450 g

plastic saved per keg used

800–1,000

uses from a single keg

How the switch worked

The keg replaces the bottle, not the supplier.

CIBI kept buying from its dairy. What changed was the container: 18-litre reusable kegs in place of 2-litre single-use bottles, with the kegs returned, cleaned and refilled rather than recycled or landfilled.

The dairy passed on a cleaning cost.

CIBI’s dairy charged an additional 15 cents per litre to cover cleaning the kegs between fills. That is the operating cost of the system, and the case study reports it plainly rather than netting it off against the plastic avoided.

The volume is what makes it work.

One keg holds the equivalent of nine bottles. A café going through enough milk to empty a keg before it turns is the business this suits; a low-volume site is not.

What it cost to set up

The figures below are the transition costs reported in the case study, excluding GST.

CAFÉ AND DELI KIT
$1,890 excluding GST, for the kit that lets a venue dispense from kegs.
REFRIGERATION UNIT

From $350 excluding GST.

ONGOING
15 cents per litre added by the dairy to cover keg cleaning.

The full document is available as a PDF.

Changing how your organisation buys?

This is one of a series of case studies we prepared for Green Industries SA on practical changes to procurement. If you are looking at reusable systems in your own supply chain, we are happy to talk.