Woolworths’ 20c paper bags to be made in Aus by SA’s Detpak

A South Aussie company has won a contract to supply Woolworths with paper shopping bags as the supermarket giant responds to increasing calls to support local.

A Detpak employee on the production line for new Woolworths 'Made in Aus' 20c paper bags, which will retail at SA and NT stores for now. Picture: Supplied.

South Australian manufacturing giant Detpak will make 20c paper bags for Woolworths’ stores as the supermarket giant responds to increasing calls by customers to support local.

Woolworths said it’s the “first step in a national transition” to onshore 100 per cent production of the bags.

Eighty stores in SA and NT will be the first among Woolworths’ 995-strong network to be supplied by Detpak.

The move has created 12 jobs at Detpak, which is expected to supply bags to other states in future.

A further 13 jobs will be available on the production line once the retailer replaces the range of paper bags - made in Vietnam and China - across all stores over the next 12 months.

South Australian manufacturer Detpak’s employees with the new Woolworths 'Made in Aus' 20c paper bags. Picture: Supplied.

Detpak is part of the SA-headquartered Detmold Group, which was established in 1948 and is one of the world’s largest manufacturers of paper and board products with seven factories in seven countries.

Woolworths’ paper shopping bags were first launched in June 2020 in response to customer demand for a paper carry bag option.

While the fourth carry bag option was welcomed – in addition to its cloth, reusable plastic and foldable fabric bags – customers expressed anger on social media platforms about the business not supporting local manufacturing.

Woolworths began phasing out single-use plastic bags in 2018.

Only 15 per cent of customers now purchase a new bag during a transaction.

The retailer had been in discussions with Detpak for almost a year after finding it challenging to fine a local supplier who would meet its needs at scale.

Woolworths Supermarkets managing director Natalie Davis said unplanned shops still present a challenge from time to time.

“As paper bags become a permanent part of our range, we’re delighted to be supporting new South Australian jobs as we move to a local manufacturer in Detpak.

“We look forward to seeing our contribution to the local industry grow as we roll out Australian-made bags nationally over the next year.”

Detmold Group chief executive Alf Ianniello said he was pleased to be localising the manufacture of Woolworths’ paper bags.

“As a South Australian business with 70 years history of local manufacturing, making these bags right here in Adelaide is something we are immensely proud of.”

The bag is made from 70 per cent recycled paper in conjunction with un-recycled paper to provide a stronger structure that can carry up to 6kg of groceries.