Navigating the Path to Zero-Waste Packaging in the Plastics Industry

The demand for sustainable materials continues to rise as manufacturers push to meet consumer preferences and increasing regulations. As a result, producers and manufacturers alike are focusing on waste management initiatives that enable a more circular approach to plastics production. Plastics such as PP, PET and HDPE are growing in popularity as an alternative to virgin resin due to their high capture rates (the rate at which material is diverted from landfills and recycled for reuse). But a zero-waste approach to manufacturing is emerging to further reduce waste across the entire product lifecycle. As the zero-waste market grows to a projected $6 billion by 2030, packaging is uniquely positioned to lead the charge toward a more sustainable plastics future.

Producers who embed zero-waste practices into their operations and prioritize sustainable packaging minimize their ecological footprint and position themselves for long-term success in a marketplace that increasingly values environmental responsibility. Read on for proactive strategies to jump start your transition.

Zero-Waste Packaging Solutions

Zero-waste packaging solutions take reusable, compostable and even edible formats. Compostable and biodegradable materials are derived from renewable or plant-based sources such as cornstarch, seaweed or sugarcane. These materials, also known as bioplastics, offer a more sustainable alternative to conventional plastics by breaking down naturally in appropriate conditions. Compostable and biodegradable materials are ideal sustainability solutions for single-use items where reuse is not practical or safe.

For applications requiring greater durability, post-consumer recycled (PCR) content can be used to provide a second life to discarded plastics. PCR material proves waste is more than just a byproduct of plastics production, it is also a valuable feedstock. Using PCR keeps virgin plastics out of landfills and promotes a circular economy in the plastics industry where recyclable plastic is properly sorted and processed into feedstock for reuse.

Beyond material innovation, thoughtful product design is essential to achieving zero-waste goals. Design choices that prioritize reuse enable products to be repurposed or refurbished at the end of their life cycle. Reuse can be as simple as making your packaging a refillable container. Clear labeling that promotes proper recycling or intended reuse applications dramatically improves both consumer engagement and recovery rates, transforming packaging from a single-use item into a long-term asset within a circular system.

Breaking Down Barriers: Challenges in Adopting Sustainable Packaging Solutions

Despite burgeoning interest in sustainable packaging, a significant gap exists between consumer sentiment and action. Although 80% of consumers would like to reduce reliance on single-use packaging, their purchasing habits often fall short of their intentions.

One-third of consumers support increased regulation and believe brand owners are primarily responsible for taking the lead on delivering more sustainable solutions. Ultimately, producers have a responsibility to reevaluate internal processes and adopt more sustainable materials and packaging alternatives; however, they face significant barriers, including:

• Packaging requirements: Packaging must be safe and suitable for its intended purpose. This is especially true for packaging that comes into contact with food. Food packaging must adhere to strict regulations to ensure it will not pose a health risk to consumers by contaminating food or affecting its flavor, smell or quality. Non-food packaging is still required to be safe, comply with local regulations and adequately protect the product. This can be a challenge for recycled or biodegradable packaging solutions.
• Maintaining product integrity: Some products, such as bottles, jars or boxes, require rigid packaging to maintain product integrity. Currently, rigid packaging can be more easily substituted with sustainable alternatives because the existing materials can be designed for recyclability. Products that use flexible packaging such as pouches, bags or wraps are more difficult to redesign because they require alternate materials and more research and development to replace with sustainable alternatives.
• Infrastructure limitations: Existing distribution networks and recycling facilities cannot meet growing sustainability concerns alone. More advanced recycling facilities are needed to meet the growing demand for high-quality PCR materials and substantial reconfiguration will be required to accommodate reusable packaging systems. These limitations pose significant logistical challenges for producers.
• Navigating acceptance and commitment: Many companies find it challenging to fully embrace reusable packaging initiatives. Until consumers’ purchasing habits match their demand for zero-waste alternatives, the investment required to convert products may be seen as too high.
• Perception of product safety: Consumer concerns surrounding hygiene and contamination present significant hurdles to the widespread adoption of reusable packaging solutions.
• Inflationary climate: While consumers and producers deal with cost increases and budget constraints in today’s inflationary climate, converting to more sustainable materials is often harder to prioritize. Brands may put off redesigning products to take advantage of sustainable packaging solutions rather than pass the cost of product updates on to consumers.

Sustainable Packaging in Practice

These hurdles can be tough to overcome, as proven by brands like Colgate-Palmolive and L’Oréal. Both brands missed sustainability goals set for 2025. Though Colgate-Palmolive and L’Oréal were able to increase the amount of recycled plastic in products, both brands fell short on goals to eliminate virgin plastic and make all packaging reusable, recyclable or compostable.

Colgate-Palmolive is still working toward a goal to reduce the amount of new plastics used in its products by one-third compared to 2019. As of May 2024, the company had successfully reduced new plastic packaging by 21.4%. L’Oréal reported that 53% of total material used was recyclable and 11% biobased in 2024 according to Packaging Europe, a long way from its 100% downstream goal.

Unilever, another company with ambitious sustainability goals, is supporting “government intervention” such as Extended Producer Responsibility (EPR) to increase the supply of recycled feedstock. This move will help to improve recycling systems, closing the gap between recyclable packaging and packaging that is actually recycled. Unilever’s support will also create a greater volume of recycled material for manufacturing that the company can then use to meet its goals.

EPR initiatives have passed in countries around the world and by several states in the U.S. to incentivize producers to invest in or directly manage their products’ end-of-life disposal. These initiatives provide a powerful incentive to improve recycling systems and design products that are easier to dispose of or recycle.

Embracing Transitioning Strategies

The long-term benefits of sustainable packaging, including reduced cost of waste disposal and heightened consumer appeal, can outweigh initial investments. The extended life of reusable packaging measured in years ultimately will result in lower cost per use compared to single-use packaging. And the consequences of not converting to sustainable materials could prove to be more substantial. Costs associated with carbon taxes and EPR compliance can add millions to the bottom line.

To navigate challenges and jump-start the transition toward zero-waste solutions, producers should adopt proactive strategies:

• Active participation in regulation: Regulatory measures, such as EPR, provide a framework for supporting sustainability in the plastics industry. By aligning with evolving regulations, producers can seize opportunities for innovation and market differentiation.
• Zero-waste packaging design: Prioritizing waste prevention through innovative product design and distribution systems is paramount. Collaborating with sustainable solution providers can also yield tangible benefits.
• Customer education: Educating consumers about the safety and cleanliness of reusable packaging is essential for building confidence and increasing adoption. Labeling is a key tool in the plastics producer’s toolbox to provide guidance on how and what to recycle to reduce contamination and improve recycling outcomes.
• Encouraging recycling: Improving labeling, advocating for upgraded recycling infrastructure and streamlining recycling processes are essential to promoting sustainable manufacturing and consumption habits.

Seizing Opportunity

In a landscape increasingly shaped by regulatory imperatives and consumer demands, the plastics industry stands at a crossroads. Producers who prioritize sustainability and integrate zero-waste solutions into their operations will not only mitigate their environmental impact but also gain a competitive edge in the evolving marketplace.

M. Holland is committed to increasing sustainable practices in the plastics industry. Connect with our dedicated Sustainability and Packaging groups for advice on reusable packaging material options and tactics to help your company meet its sustainability goals.