The Road to Fully Recyclable Packaging by 2030: Opportunities and Challenges

Currently, the global packaging industry is under intense scrutiny. According to the Ellen MacArthur Foundation, over 300 million tons of plastic are produced annually, yet only 14% of plastic packaging is collected for recycling, and a mere 2% is effectively recycled into new packaging. This stark reality highlights the inefficiency of current systems and the necessity for change. Furthermore, the World Economic Forum estimates that by 2050, there could be more plastic than fish in the ocean by weight if current trends continue.

Approximately 36% of all plastics produced globally are used in packaging, with a significant portion being single-use products for food and beverage containers.

B2B supply chains too generate vast quantities of packaging waste, which harms ecosystems, contributes to landfill overflows, and releases toxic chemicals into the environment.

Plastic is widely used in the packaging industry due to a combination of characteristics that make them highly versatile and effective. Unfortunately, the same characteristics that make plastics so useful to the packaging industry – durability and resistance to degradation – also makes them a significant threat to the environment.

This is why, in 2022, the European Commission proposed new rules that will require the EU market to have all packaging be fully recyclable by 2030. These rules have recycling targets of 65% by 2025 and 70% by 2024.

According to Virginijus Sinkevičius, Commissioner for Environment, Oceans and Fisheries, “Each day we produce half a kilogram of packaging waste per person. With the new rules we propose crucial steps to make sustainable packaging the norm in the EU. We will create the right conditions for the circular economy principles – reduce, reuse, recycle – to work.”

These objectives are ambitious – and while they’re not impossible to meet, there will be significant challenges along the way, especially in the context of industrial packaging solutions. These include:

Product protection

The main aim of packaging is to protect the product – through transit and till it reaches the end consumer. Sustainable packaging is often recyclable and biodegradable, which means that it could, in some cases, be too fragile, absorb odors, or react poorly with the product materials. It may also not be fully efficient by the time it reaches the final consumer.

Companies who move to sustainable packaging may end up spending more money in direct material cost and product failure in the long run if it doesn’t adequately safeguard their products.

Durability

Sustainable packaging has time constraints considering the material used, and can break down when stored in warehouses or on store shelves for long periods. Especially when promoted as reusable, it can have a negative impact on brand reputation when the packaging is damaged after a few uses.

High costs

Companies often steer clear of sustainable packaging due to the high costs involved. Sustainable packaging is generally more expensive – making a plastic bag costs around one cent while a paper bag costs four cents. This is because it’s a relatively new industry and processes are still a work in progress.

Given these challenges, companies must conduct thorough research – identifying what kind of materials have the lowest impact on the environment while retaining the packaging functionality with no compromise. There are certain ways in which to navigate these potential roadblocks.

Ensuring thorough testing to understand whether the packaging will withstand delivery conditions. It must also focus on how the product interacts with the packaging material. Examples of eco-friendly yet relatively durable materials include bioplastics as well as mushroom-based polystyrene substitutes which are already being tested for packaging a variety of computer and electronic products.

Companies may even consider setting up an internal quality control authority to test new packaging for relevant sustainability and compliance issues.
Wherever possible, opt for materials that have long life cycles. For instance, when handled correctly, glass and metal packaging can be reused multiple times.
When it comes to cost, identify where you can offset the expenses of sustainable materials. Reduce the size of boxes, bags, and containers. Use fewer filler materials. And opt for lightweight materials that can decrease the overall weight of the product. All of these steps can go a long way in bringing down shipping costs.
As far as possible, don’t ship orders individually or dispatch partially filled pallets. Consolidate your shipments to reduce the packaging required for each outgoing load from your site.
Work closely with reliable suppliers and manufacturers to source sustainable materials and establish a consistent supply chain of eco-friendly packaging materials.

Conclusion

The 2022 European Commission rules aim to stem the steady increase in packaging waste. They have recycling targets of 65% by 2025 and 70% by 2030, which should reduce packaging waste by 15% by 2040. This will require companies to offer reusable and refillable packaging, remove unnecessary fillers, and standardize packaging formats – to begin with.

They will also be required to include labels to support proper recycling processes and launch deposit return schemes for packaging made with materials like plastic and aluminum.

Getting there won’t be easy – but anything worth doing never is! The road to fully recyclable packaging can only be traversed successfully with the collaboration of brands, industries, packaging companies, and government bodies.

How HiLe Packaging Solutions can help

As part of our Innovation and Sustainability initiatives, HiLe Packaging Solutions partners with pioneering material innovators to leverage alternative materials that minimize carbon footprint, become part of the circular economy, and help clients achieve sustainability goals.

Read IT multinational moves to 100% sustainable packaging with HiLe’s intervention.

We also work with schools across Singapore to foster awareness around the UN’s sustainable development goals, greenhouse gasses, recycling, and much more.

Check out HiLe’s Innovation and Sustainability initiatives here.