With the upcoming packaging regulations in both California and the United States on the horizon in 2032, many industry members are revamping their packaging programs and renewing their commitments to sustainability and recycling in preparation for what is coming down the pipeline. With this in mind, I spoke with our friend, Julia Willsie, Senior Sales Executive, Mill Rock Packaging, to get a bead on what this means for fresh produce and what challenges and conversations members may find themselves navigating in the near future and beyond.
Julia’s has been in packaging for 18 years and her passion is helping to develop and manufacture eco-friendly packaging solutions. Mill Rock Packaging has teams of engineers and designers to assist with creative ideas, prototyping, and production and, so, is one of those companies on the front lines of the upcoming changes.
Julia Willsie, Senior Sales Executive, Mill Rock Packaging: All stakeholders will be asked to improve the process to create a better and more sustainable solution to get products to consumers. The first action is to understand the life cycle of your product and packaging from the fields to the final disposal.
Governments are pushing the onus of responsibility on the producers to manage their material selection and labeling in packaging design. All stakeholders will need to consider end-of-life of products and packaging which may include reuse, take-back, recycling, composting, or landfill. And labels on packaging may need to be reviewed to communicate accurate steps for final disposal.
JW: The goal of the regulations will be to incentivize innovations to reduce waste, finance recycling, and encourage a circular economy. These requirements will be regionally based.
For example, California’s SB 54 Act aims to reduce plastic packaging. By 2032 California is targeting a 25 percent reduction in plastic packaging, 65 percent recyclability of all single-use plastic packaging, and 100 percent of total packaging to be recyclable or compostable.
Another example is Oregon’s SB 582 act which helps increase access to recycling for everyone in the state and charges producer fees for non-recyclable products.
The E.U. is ahead of the U.S. in terms of regulations. They’ve enacted a compliance process in which the producer registers their product and packaging design and reports on the amount of product and packaging placed on the market. The labels and recycling claims are under requirements to be factual and easy to follow.
JW: To create action, governments are putting the responsibility to manage end-of-life disposal on the producers. There may be regulations that ask producers to bear the cost and make changes prior to going to market.
The EPR regulations will be regionally based. Globally we’ve seen plastic bags and single-use plastics highly targeted for changes. Some places like the E.U. will have additional fees for non-recyclable packaging.
JW: Now is the time to begin testing and modeling different options. If current packaging includes plastics and labels, then there may be opportunities to reduce process steps and even save costs. Products can be in a printed box or tray to allow for consumer information and marketing without adding labels. Multiple options can be tested to ensure produce quality while changing the packaging to be cost-effective and sustainable.
Having an eco-friendly box does not necessarily mean a cost increase. There are many creative options to explore for each product. This is a time for innovation and change in the industry to create new eco-friendly, cost-effective packaging on the shelves.
JW: Non-recyclable or hard-to-recycle packaging will be most impacted. This will include plastic bags, plastic clamshells, single-use plastics, and multi-layer packaging. Companies will need to create their own environmental targets and decide how best to manage their packaging. This may be a combination of reduction of packaging, eliminating labels, including take-back programs or innovations of new materials and designs.
As you may have seen, new ideas are on the shelf exploring options to stand out from competitors and get away from non-recyclable packaging.
JW: Packaging is becoming a crucial factor in consumer purchasing decisions. For example, a McKinsey and Company report found that 60–70 percent of consumers are willing to pay more for sustainable packaging. Many companies are able to charge a premium for their products and reap rewards for a smart, sustainable design.
Researchers at Accenture also found a change in buying patterns towards both sustainable products and packaging.
To quote Jessica Long, a managing director in Accenture Strategy, “The shift in consumer buying, with more consumers willing to pay extra for environmentally friendly products, reinforces the need for companies to increase their commitments to responsible business practices.”
The researchers further found that paper products are perceived to be the most environmentally friendly. It’s an exciting time to see how creative brands are having fun with eco-friendly packaging and developing new solutions.
"The recycling supply chain will be continually improved. And consumer demand and government regulations will drive change."
Julia Willsie, Senior Sales Executive, Mill Rock Packaging
JW: It all depends on what type of plastic we are talking about to determine if it’s a plastic or a recycling issue. I recently traveled to multiple recycling centers, MRFs (Material Recovery Facilities), and landfills in three states to understand the processes and challenges of recycling.
The core recycling problem is that the process must remain profitable for a recycling facility. The recycled materials are resold to various buyers who are looking for consistency and quality. Plastics are especially difficult to maintain consistency and, according to the EPA, less than 9 percent of plastics are recycled.
Plastics like water bottles or milk jugs are widely recycled in high volumes and are profitable enough to sell. However, single-use take-out containers and plastic clamshells are not a consistent type of plastic and are not desirable to resell.
Mixing plastics makes it difficult to recycle, melt down, or reuse. Some of the newer PLA plastics are partially made from a more renewable source, such as cornstarch or sugarcane that cannot be curbside recycled as they contaminate the plastic recycling stream. Plastic bags are not recyclable and cause additional problems on the recycling line as they get caught in the sorting equipment and can jam the machinery.
New cutting-edge processes are making plastics more sustainable while being easy to recycle. For example, Bio-derived plastics use bio-mass as the raw material, and still can be recycled as a #1 PET or PETE. Other materials such as metals, glass, or paper have better recycling supply chains. Metals and glass may be recycled infinitely depending on the consistency. And paper can be recycled up to seven times. According to the American Forest and Paper Association, paper has a recycling rate of nearly 68 percent, and more than 93 percent for cardboard. Also, 94 percent of Americans have access to curbside paper recycling.
The recycling supply chain will be continually improved. And consumer demand and government regulations will drive change. Suppliers, manufacturers, and retailers can get ahead of these changes by designing and testing new packaging for their products.
Now is an exciting time to be innovative with new ideas and design, prototype, and test eco-friendly packaging. Together we can save the world, one box at a time.
Julia’s ultimate career goal is to walk into a grocery store and see that she helped influence the circular economy of packaging. From her deep understanding of the issues at hand and her desire to have a part in helping suppliers attain cost-effective goals, I think we may see Julia there—sooner rather than later.