AlgoREP is Building the Data Infrastructure for EPR Compliance

Product Launch Series, Article 1

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Claude
CEO
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Today marks the public launch of AlgoREP v1. This is the first article in a series documenting our journey to transform Extended Producer Responsibility (EPR) compliance through data intelligence.

Our thesis is straightforward: EPR compliance should be a competitive advantage, not an administrative burden. The companies that treat compliance as a data problem rather than a paperwork problem will gain strategic leverage in an increasingly regulated market.

This article explains why we built AlgoREP, what problem we're solving first, and how we approached it technically.

Why: The Structural Inefficiency in EPR Compliance

The Compliance Tax

Every product placed on the European market carries an eco-contribution—a fee funding the collection and recycling of packaging and products at end-of-life. These fees are mandated by Extended Producer Responsibility (EPR) regulations and vary by:

  • Product category (electronics, packaging, textiles, furniture, etc.)
  • Material composition (plastic, cardboard, metal, glass, composite materials)
  • Weight and volume of each material
  • Country of sale (27+ different EPR schemes across Europe)
  • Time period (tariffs update quarterly or annually)
  • Recyclability factors (eco-modulation incentives/penalties)

For a company selling 1,000 products across three countries, this translates to thousands of individual tariff lookups per quarter.

The current solution? Spreadsheets. Consultant fees. Phone calls to Producer Responsibility Organizations (PROs). Manual reconciliation of conflicting tariff documents.

This doesn't scale.

The Hidden Costs

The compliance tax manifests in three ways:

1. Direct operational costs

  • Staff time: 40-80 hours/month for mid-size catalogs
  • Consultant fees: €200-500/hour for EPR specialists
  • Software tools: €500-2,000/month for generic compliance platforms that still require manual tariff lookup

2. Margin erosion

When companies can't calculate eco-contributions accurately before pricing products, they either:

  • Under-price (absorbing unexpected eco-fees)
  • Over-price (losing sales to better-informed competitors)

Industry data suggests 0.5-2% average margin impact from pricing misalignment on eco-contributions.

3. Strategic paralysis

Expansion to new markets requires understanding new EPR schemes. Without reliable data infrastructure, companies either:

  • Delay market entry (opportunity cost)
  • Enter blind (compliance risk)
  • Over-invest in local compliance teams (operational cost)

The Fundamental Problem

The core issue isn't that EPR regulations are complex—it's that the data layer is broken.

Tariff information exists, but it's:

  • Fragmented across 50+ different PRO websites
  • Inconsistent in format (PDFs, Excel files, web portals)
  • Constantly changing without centralized notification
  • Ambiguous in interpretation for edge cases
  • Inaccessible via API (must be manually extracted)

This forces every company to build the same data infrastructure independently—a massive duplication of effort across the industry.

We believe this is solvable.

What: Real-Time Access to EPR Tariff Intelligence

The Core Problem We're Solving

How do you find the correct eco-contribution for a specific product in a specific market at a specific point in time?

Today's process for a typical e-commerce company:

  1. Identify product category — Guess which EPR scheme applies (electronics? furniture? batteries? )
  2. Find the right PRO — Research which PRO manages that scheme in the target country
  3. Locate tariff documentation — Search the PRO website for current tariff grids (often buried in PDF documents)
  4. Interpret classifications — Match your product to the correct tariff category (ambiguous descriptions are common)
  5. Extract material breakdown — Determine weight by material type (requires product specifications)
  6. Calculate contribution — Apply the correct formula (varies by scheme)
  7. Verify accuracy — Cross-reference with other sources or contact the PRO directly
  8. Update periodically — Repeat when tariffs change (typically quarterly)

Time required per product: 1 hour to several days, depending on complexity and whether PRO contact is required.

Time required with AlgoREP: 25-30 seconds.

Our Approach: Build the Missing Data Layer

AlgoREP solves this by constructing what should have existed from the beginning—a centralized, structured, real-time database of EPR tariff intelligence.

What we built:

1. Comprehensive Tariff Database

  • All 20+ EPR schemes in France
  • Direct partnerships with PROs for authoritative data
  • Structured tariff information (not PDFs or spreadsheets)
  • Historical version tracking for audit compliance

2. Real-Time Update System

  • Automated monitoring of PRO announcements
  • Tariff change detection within hours of publication
  • Version control for every tariff modification
  • Notification system for affected products

3. Product Classification Engine

  • Intelligent matching of products to correct EPR categories
  • Material composition analysis
  • Ambiguity detection (flags edge cases for human review)
  • Multi-scheme classification in parallel

4. Instant Calculation API

  • Seconds-fast response time for any product query
  • Support for unlimited products and queries
  • Batch processing for catalog-scale operations

The Technical Challenge

Building this required solving several non-trivial problems:

Data acquisition: EPR tariff data exists in dozens of formats across different languages. We built custom extractors for each PRO's publication format, with validation to ensure accuracy.

Schema normalization: Each PRO uses different product categorizations and calculation methodologies. We created a unified schema that preserves scheme-specific logic while enabling cross-scheme queries.

Change detection: PROs publish updates without consistent notification mechanisms. We built monitoring systems that detect changes within hours and automatically update our database.

Classification accuracy: Mapping a product description to the correct tariff category is ambiguous. We developed algorithms that achieve 97%+ accuracy on automated classification, with confidence scoring to flag uncertain cases.

Performance at scale: Calculating eco-contributions for millions of products requires infrastructure that can handle concurrent queries without degradation. We designed for unlimited scalability from day one.

How: Technical Architecture and Design Principles

Design Principles

We built AlgoREP according to four core principles:

1. Data Accuracy Over Speed

We prioritize correctness. Every tariff in our database is validated against official PRO sources. When in doubt, we flag for human review rather than guess.

2. API-First Architecture

AlgoREP is designed to be embedded in existing workflows, not replace them. Our API is the primary interface, with the web application built on top of the same API our customers use.

3. Transparent Uncertainty

When product classification is ambiguous, we explicitly communicate confidence levels. Businesses need to know when to double-check, not be given false certainty.

4. Continuous Improvement

Every query teaches our system. User feedback on classifications improves our algorithms. Community-validated data increases collective accuracy.

System Architecture

Data Layer

  • PostgreSQL for structured tariff data
  • Time-series storage for historical tariff tracking
  • Graph and Vector databases for product-to-category relationships
  • Full-text search for product description matching

Intelligence Layer

  • Classification algorithms trained on validated product-category mappings
  • Natural language processing for product description analysis
  • Confidence scoring for classification uncertainty
  • Anomaly detection for unusual eco-contribution calculations

API Layer

  • RESTful API with comprehensive documentation
  • Webhook support for tariff change notifications
  • Batch processing endpoints for catalog operations
  • Rate limiting designed for production workloads

Application Layer

  • Web application for human-in-the-loop workflows
  • Collaborative features (team permissions, approval flows)
  • Audit trail for compliance documentation

What v1 Includes

Today's launch includes:

Coverage:

  • France (all EPR schemes: packaging, WEEE, batteries, furniture, textiles, Sports articles, etc.)
  • Expanding to additional European markets starting Q1 2026 (Germany, Spain, and Italy are current priorities, but we remain flexible to prioritize other countries based on early customer demand)

Core Capabilities:

  • Instant eco-contribution calculation for any product
  • Real-time tariff updates
  • Team collaboration and approval workflows
  • API access with comprehensive documentation
  • Audit trail for all calculations

What's Not Yet Included (Coming Soon):

  • Declaration report generation (v1.5 - November 2025)
  • Predictive margin analysis
  • Benchmark reporting
  • Native e-commerce platform integrations
  • Mobile application
  • Additional EU markets

Why This Matters Beyond Compliance

From Cost Center to Competitive Advantage

When eco-contribution data becomes instantly accessible and reliably accurate, several strategic opportunities emerge:

1. Margin Protection

Companies can price products correctly from day one, protecting margins rather than discovering eco-fee surprises post-sale.

2. Market Expansion Velocity

Entering a new European market no longer requires months of compliance research. Calculate eco-contributions for your entire catalog in minutes.

3. Product Development Intelligence

Understanding eco-contributions during product design enables optimization for lower fees through material choices and recyclability improvements.

4. Marketplace Enablement

Platforms can automate vendor compliance at scale, turning EPR from an operational burden into a value-added service.

5. Supply Chain Transparency

Real-time eco-contribution data integrates into procurement decisions, enabling sustainability-informed sourcing.

The Broader Trend

EPR is expanding—both in scope (new product categories) and geography (more countries adopting EPR frameworks). The EU's Circular Economy Action Plan will add several new EPR schemes by 2027.

Companies that build compliance into their data infrastructure today will be positioned as regulations expand. Those still using spreadsheets will face exponentially increasing operational burden.

We're building AlgoREP for that future.

What's Next: Our Product Roadmap

This is the first article in a series. Each major release will be documented here, explaining:

  • What we built and why
  • Technical decisions and tradeoffs
  • Data insights from customer usage
  • Lessons learned from solving hard problems

Upcoming releases will focus on:

Q4 2025:

  • Declaration report generation (v1.5)
  • Predictive tariff change alerts
  • Enhanced classification confidence scoring
  • Expanded material library

Q1 2026 and beyond:

  • Additional European markets (Germany, Spain, Italy prioritized; open to customer-driven priorities)
  • Shopify and WooCommerce integrations
  • White-label solutions for marketplaces
  • Margin impact forecasting
  • Benchmark reporting (compare to industry)
  • AI-powered product classification improvements

We're committed to transparency in our product development. If you have feedback, questions, or feature requests, reach out directly: product@algorep.ai

Try AlgoREP: Extended Launch Offer

We're confident that once you experience instant eco-contribution calculations, you won't want to go back to spreadsheets.

For our launch, we're offering:

90-Day Free Trial (Extended from our standard 30-day trial)

  • Full access to all features
  • 100 free credits
  • No credit card required
  • No automatic billing after trial
  • Full data export at any time

How to Start:

  1. Create your free account at app.algorep.ai/signup
  2. Upload your product catalog (Excel, CSV, API, or manual entry)
  3. Get instant eco-contribution calculations
  4. Get your 2025 declarations reports for free
  5. Decide after 90 days if AlgoREP is right for you

This offer is available for accounts created before November 15, 2025.

Final Thoughts

EPR compliance is not going away. It's expanding.

The question isn't whether your company will invest in compliance infrastructure—it's whether you'll build it yourself or use shared infrastructure that benefits from network effects and continuous improvement.

We believe the future of compliance is:

  • Instant (seconds, not hours)
  • Intelligent (predictive, not reactive)
  • Integrated (embedded in workflows, not bolted on)
  • Collaborative (benefiting from collective data validation)

AlgoREP v1 is the foundation. We're just getting started.

Claude, CEO & Co-founder
AlgoREP

Questions about our technical approach or product roadmap? Email me directly: claude@algorep.ai

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🔧 API Documentation — Technical documentation for developers

🎯 Platform Guide — Comprehensive overview of current features

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