Background: The Fast-Moving Consumer Goods (FMCG) sector in Sweden is under increasing pressure to reduce its environmental footprint, especially concerning packaging waste. While the country leads in sustainability efforts, gaps remain in effectively managing packaging waste through reverse logistics. Regulations such as Extended Producer Responsibility (EPR) require companies to take full responsibility for their product lifecycle involving packaging and waste, yet many firms face financial, operational, and technological challenges in doing so.

Purpose: The purpose of this thesis is to examine the capacity of the FMCG supply chain to enhance reverse logistics. In particular, handling packaging waste in Sweden's FMCG industry.

Method: This thesis utilized a qualitative methodology within an interpretivist framework, employing a self-administered online questionnaire to collect data from 20 professionals working in Swedish FMCG companies. Thematic analysis was performed to identify key insights related to sustainability goals, regulatory compliance, technological integration, and operational challenges in reverse logistics.

Conclusion: Results indicate that Swedish FMCG companies are integrating reverse logistics (RL) into their sustainability strategies by setting measurable goals, adhering to regulations, and forming partnerships throughout the supply chain. Digital technologies such as the Internet of Things and barcoding enhance waste tracking and RL efficiency, necessitating that companies assume full responsibility for their product lifecycle, including packaging and waste. However, many firms face financial, operational, and technological challenges in improving their RL. Despite obstacles like high costs and infrastructure gaps, companies are making progress by optimising RL processes, collaborating with stakeholders, and preparing for forthcoming regulatory and technological changes. These efforts significantly contribute to advancing Sweden's environmental protection goals and the circular economy.