FMN_JUNE19, 2023

Global Consumer Packaging Waste Set To Accelerate Countries across the world are set to see an ac- celeration in packaging waste, despite a push for more sustainable practices among businesses and consumers, according to research from NG Bank’s economics team. The question of how to make packaging more sustainable and the methods to deal with packag- ing waste are growing global issues. ING’s research shows how the challenge is set to grow in the years to come with total packaging volume for consumer goods in the United States growing at 1.5 percent per year on average until 2025, outstripping popu- lation growth. In Europe, packaging waste per cap- ita is set to rise by 1.5 percent per year on average until 2025 with plastics accounting for 30.2 percent of overall packaging waste by 2040, up from 22.7 percent in 2018. While Europe and the United States are set to ex- perience a rise in packaging consumption, Africa, Asia, and Latin America are also expected to see increases in usage. The consumer packaging sustainability challenge is most acutely felt in the food and beverage indus- try where growing demand for convenience prod-

ucts, on-the-go consumption, and home delivery are leading to the increasing use of packaging material. Food and beverage packaging now represents 40 percent of all plastic packaging in Europe. Packag- ing remains one of the most carbon-intensive ele- ments in the value chain for beverage producers as well as an important source of carbon emissions for food producers. As the average household reduces in size, more packaging material per kilogram will be produced as smaller households favor smaller pack sizes of items. This is most acutely felt in developed mar- kets where more waste per capita is produced than in developing nations and household sizes are smaller. The research explores the growing need for sus- tainable packaging in the food and beverage sector, the trade-offs for companies, and why major invest- ments are needed to shift packaging production to a more sustainable future. Changes to packaging can meaningfully reduce the environmental impact for beverage brands with plastic (PET) and return- able glass beer bottles having a carbon footprint per liter, which is around three times lower than an aluminum can and five times lower than a one-way glass bottle.

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