WhatPackaging? poll: MSME packaging choice

According to a report by Smithers, the global corrugated board industry will face challenges and notice a shift in market dynamics in the upcoming five years. The Asia-Pacific region is growing at a 5% CAGR.

Multiple opportunities are arising for corrugated materials. Their recyclability  means they are increasingly being favoured by brands and legislators, not just in  transit, but consumer-facing primary packs. This is pushing converters towards  finer, premium flute grades that can compete with folding cartons in sectors  such as cosmetics, confectionery, and consumer electronics.

Meanwhile, according to Sushant Gaur of Adeera Packaging, the paper bag industry is currently 3% the size of the plastic bag industry implying a required compound annual growth rate (CAGR) of 55.01% up until 2030 for the entire industry to replace plastic bags.

Paper bags seem to be a perfect replacement for plastic bags, as seen by industry experts, because of improvements in recycled paper, fibres being sourced from agricultural waste and tree farming. Almost all large corporations have started their switch to paper bags with priority being given to bags made from recycled post-consumer waste paper that is available abundantly in India.

Biodegradable boxes and bagasse-based packaging are increasingly getting popular among MSMEs as noted by WhatPackaging?. Dharaksha, founded in 2019, built a biodegradable packaging material using straw stubble. This material can potentially replace various applications being carried out by the use of thermocol or polystyrene.

The material can potentially replace applications that are currently being carried out by the use of thermocol or polystyrene except for decorative purposes - cushioning in secondary packaging, exact mould shapes for FMCG and consumer goods, white goods industry, glass bottles and glass items and thermal insulation.

Dharaksha’s mycelium-based packaging material prevents breakage during transit. The product is superior in cushioning and can safely transport delicate items. It is primarily suitable for secondary packaging that goes between cardboard boxes and the item that needs to be saved during transit.

Anyway, WhatPackaging?, to understand recyclable plastics and bioplastics, asks industry leaders. Vijay Habbu said, “Brands can promote recycling by making packaging which is less complex. By going from multi-materials to multi-plastic, then from multi-polymer to single polymer, this should be the journey for the packaging material. And, size of  the packaging should always be kept in mind so that it facilitates collection post-use.”

As an EPR obligation, the Government of India has placed a target on Brand Owners and producers of 50% recycling in 2024-25 and of including 30% recycled content in 2025-26. But some companies have already demonstrated the use of 100% recycled PET bottles.