The two companies started their partnership in 1985 and have since worked jointly to establish a number of recycling solutions.
Over the next three years, DS Smith will recycle around 300,000t of paper and cardboard a year from Tesco’s UK retail operations.
Part of this will be recycled at the packaging company’s paper mill in Kemsley, Kent.
DS Smith UK recycling managing director Andy Berrisford said: “We are delighted to extend our long-term relationship with Tesco.
“Tesco is a valuable partner for DS Smith’s recycling business, and our wide recycling network always allows us to provide them with high-quality service.
“I look forward to continuing working closely with Tesco to keep evolving our partnership.”
DS Smith uses recycled fibre to create new products at its packaging sites within 14 days of collection through the company’s bespoke closed-loop recycling process.
With Tesco, the company has developed source-separated recycling streams and used delivery vehicles to transport recyclables to Tesco’s recycling service units.
The partners claim to have improved the quality of material for recycling at the same time as reducing carbon emissions.
In 2018, the partnership received a Green Apple Award for its waste management system.
Earlier this month, DS Smith partnered with Bulgarian retail chain Orange Centre Bulgaria to develop e-commerce packaging to fit a range of product sizes.
The packaging is designed with multiple creases and pre-made scores, allowing users to adjust the size to suit their purposes.
In August, DS Smith partnered with Slovenia-based security solution provider DOM-TITAN to develop cardboard packaging as an alternative to styrofoam fillings.
The recyclable fillings have allowed DOM-TITAN to remove 1.7t of styrofoam from its operations, as the company no longer needs to use disposable styrofoam in the packing process.