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Packaging companies are increasingly adopting AI technologies to drive innovation and sustainability in packaging design and materials.
Overall, key AI applications include optimizing design, improving sustainability and recyclability, supply chain transparency through smart packaging, and gathering data to inform circularity efforts across packaging lifecycles. However, consumer education on using smart packaging remains a challenge.
Extended producer responsibility (EPR) laws are gaining momentum in the United States as a strategy to reduce plastic waste and increase recycling rates. Four states - California, Colorado, Maine, and Oregon - have already enacted EPR laws for packaging, which require companies to fund the recovery and recycling of their packaging materials. Industry groups predict additional states will follow suit, with Washington and New York potentially being next.
EPR is expected to accelerate the transition to a circular economy by providing sustainable funding for recycling infrastructure and motivating companies to use more recyclable packaging. However, its impact on emerging chemical recycling technologies is still being scrutinized, as some laws allow it to count toward recycling requirements while others do not. Overall, EPR has bipartisan support from state lawmakers and environmental groups as a policy solution to the plastic waste crisis, but business interests have raised concerns about potential cost increases
There are several promising innovations in barrier coatings and materials that can help make packaging more sustainable, recyclable, biodegradable or compostable
Overall, the research indicates that a combination of barrier coatings using bio-based polymers from renewable agricultural sources along with innovative bio-based and compostable materials can provide more sustainable alternatives to traditional plastic packaging. However, work remains to make these solutions cost-competitive and available at scale
Consumers do think paper packaging is more sustainable than plastic packaging, according to multiple surveys and reports.
However, consumer perceptions don't always match reality. A 2023 Bain & Company report showed that while 70% of consumers think glass packaging has a lower carbon footprint than plastic, only 12% correctly identified plastic as the more sustainable choice. This indicates significant consumer confusion around sustainability impacts of different packaging types. Brands have an opportunity to educate consumers, as a McKinsey survey found consumers lack clarity on which packaging is most sustainable. To appeal to environmentally conscious shoppers, brands need to align packaging solutions to consumer values through a tailored, incremental strategy based on purchasing behaviors and product usage.
The latest innovations in specialty paper include:
Overall, recent specialty paper and packaging innovations are driven by sustainability goals to reduce reliance on forests, utilize waste streams, and decrease environmental impacts across the life cycle. Companies are commercializing these technologies, but work remains to convince brands to adopt them at scale
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