Ask the Collective
The questions independent drinks founders ask most — answered. Distilled from years of community knowledge so the good stuff never disappears in the feed again.
Should drinks producers sign up to Circularity Scotland's deposit return scheme, and what are the financial and operational risks?
Members overwhelmingly advise **against** joining Circularity Scotland at present. The scheme poses significant financial and logistical risks that outweigh any benefits for producers. **Key concerns identified:** - **Cross-border arbitrage risk** — Because Scottish-specific barcodes are logistically unmanageable, the scheme cannot prevent English products being brought into Scotland and redeemed for deposits. Members cited realistic scenarios where a producer forecasting 10,000 cans sold in Scotland could face liability for 100,000+ redeemed cans they never sold there, with the cost difference (e.g., £23k on 100,000 cans at 23p per can) unrecoverable from wholesalers who sold to English distributors instead. - **Scottish wholesaler collapse risk** — The price differential caused by the scheme is expected to drive local Scottish wholesalers out of business, while English wholesalers and cross-border traders gain advantage. One member noted this creates perverse incentives for opportunistic collection and resale across the border. - **No consumer demand yet** — Several members reported that retailers (e.g., Waitrose) are asking for producers' positions, but there is no indication that end consumers are driving adoption. Holding fire on enrollment until the deadline (end of February cited) is the consensus approach. - **Enrollment fee and uncertainty** — Members are deferring payment of enrollment fees until the last moment, reflecting low confidence in the scheme's viability and fairness. **Poll result:** 4 members voted "No, not planning to join"; 0 voted "Yes." **Current status:** Some producers have completed mandatory initial filings but are not actively participating. The consensus is to wait and see whether customer demand (beyond retailer inquiries) materialises before committing financially.
What is the current registration process and fee structure for Deposit Return Scheme registration with Circularity Scotland?
Registration with Circularity Scotland for the DRS requires an initial **£365 fee**, though members received communications indicating fee waivers were being introduced. The key details members shared: - **Initial £365 fee** is still payable at registration, despite earlier emails suggesting fee waivers - **Small producers receive the following relief measures:** - Two months credit terms on deposits, producers fees, and retained EAN/barcode fees - Removal of the 'Day One' charge for producers choosing not to introduce Scotland-specific barcodes - Removal of the 'Month One' charge on deposits and producer fees for all product types Members advised holding registration as long as possible to monitor for any further fee changes or clarifications from Circularity Scotland.