Sustainable packaging design: Reducing food packaging waste by building a circular economy

It’s become increasingly difficult to ignore the impact waste and carbon emissions are having on the climate, from changing weather patterns to rising sea levels. While many countries across the globe have set lofty goals to reduce emissions—including the U.S.’ goal to reach net-zero greenhouse gas (GHG) emissions by 2025, it’s going to take a collective approach to sustainability from all industries to get there.

The food industry is crucial in the fight against climate change, with food production and distribution accounting for up to a third of global man-made GHG emissions. The spotlight is on the food industry’s responsibility to deploy strategies and approaches that enable supporting a more sustainable world.

One significant area is sustainable food packaging. Today, many food service providers are investing in eco-friendly solutions to help achieve their sustainability goals. In fact, 75 percent of packaging purchasers have made commitments to sustainability. This practice directly helps the food value chain combat climate change, reduce food waste and support a circular economy.

Truly sustainable packaging design considers the environmental impact throughout its entire life cycle. It’s more than just designing for recyclability or compostability; it’s about responsible production and logistics, consumer awareness and education and evolving access and end markets.

Demand for sustainable food packaging

Demand for sustainable packaging is higher than ever with increased scrutiny on waste and GHG emissions. Food packaging accounts for 5 percent of food system GHG emissions, which has led to an influx of packaging legislation, such as single-use plastic and expanded polystyrene foam bans. Consumer pressure for more sustainable solutions has fueled this push for packaging laws.

Photo courtesy of Sabert

A 2023 McKinsey & Co. survey found that nearly half of consumers still rank environmental impact as an extremely or very important packaging characteristic when making purchasing decisions. In the same survey, roughly two-thirds of consumers said sustainable packaging is at least somewhat important when making a purchasing decision. At the same time, consumers still prioritize attractive packaging and highly value food safety and shelf life. These preferences highlight a clear demand for food packaging that not only meets sustainability goals but also strikes a thoughtful balance between visual appeal and functional performance, ensuring product freshness and consumer satisfaction.

Addressing food waste through sustainable packaging solutions will be key to achieving overarching environmental priorities, such as slowing climate change and reducing pollution.

Changing regulatory landscape. Regulatory bodies, from the Environmental Protection Agency at the federal level to state and local governments, have imposed a number of regulations in recent years to improve environmental and consumer safety. With states and local municipalities adopting their own practices, the legislative landscape is quickly becoming convoluted and hard to track. However, a few key themes emerge that are driving legislation across the board.

Consumer health and safety have come to the forefront in food packaging, specifically when it comes to per- and poly-fluoroalkyl substances (PFAS). PFAS are used in some food packaging for resistance to grease and oil, but studies have shown that these chemicals can have adverse effects on health and the environment. Recently, the Food and Drug Administration announced it was successful in securing voluntary commitments by manufacturers to discontinue the sale of food-contact substances containing PFAS in the U.S. Today, 13 states have enacted phase-outs of PFAS in food packaging. While certain PFAS are still authorized for limited use in cookware and food processing equipment, there’s a growing need for PFAS-free and eco-friendly solutions with less environmental impact.

Rise of ESG reporting. While the U.S. does not have a federal mandate for ESG (environmental, social and governance) reporting, companies across industries are being more transparent about their environmental impact and sustainability goals. Some initiatives and regulations are pushing this further. For example, public companies are now required by the Securities and Exchange Commission to disclose in their annual reports climate-related risks and how they manage them. For food service providers, this applies to more than just product packaging; it applies to business practices, how food is prepared, how it gets to consumers and what happens at end of life. In addition, as part of the supplier relationship, many consumer packaged goods (CPG) companies require manufacturers to complete third-party sustainability assessments, such as EcoVadis and the Carbon Disclosure Project (CDP), to ensure accountability and progress toward meeting environmental and social responsibility standards.

Recyclability and waste reduction often are associated with ESG goals. Many food manufacturing companies tout their use of the How2Recycle labeling system as part of their ESG commitments. Yet, the U.S. does not have federal labeling standards to determine when packaging can be labeled recyclable, compostable or reusable. (However, the Federal Trade Commission’s Green Guides are designed to help marketers avoid making environmental claims that mislead consumers.) Some states have adopted their own standards, such as California with its “Truth in Recycling” law that established stringent criteria for labeling products as recyclable. In fact, a U.S. Senate bill is being drafted to create federal standards on the use of the “chasing arrows” symbol that would preempt state laws. Food producers and packaging companies will need to monitor changes to legislation closely.

Push for circularity. Circularity, where products and materials are kept circulating through processes like maintenance, reuse, refurbishment, remanufacturing, recycling and composting rather than being disposed of, is another important movement emerging across industries. Building a circular economy in the food industry is now seen as a key way to address climate change, build more efficient food systems and reduce waste.

Food packaging circularity focuses on the extended use and reclamation and reuse of materials to reduce reliance on virgin materials, including reducing overall packaging, making packaging recyclable or compostable, using postconsumer recycled materials and making packaging reusable. A study from the Department of Energy’s Argonne National Laboratory finds that converting postuse plastic into new plastic reduces GHG emissions by about 70 percent compared with virgin production and reduces water usage and solid waste. Circularity is a proven way to help reduce emissions and support sustainability initiatives.

Considerations for sustainable packaging design

It’s clear from these trends that the food industry is in a state of transformation, shifting to more sustainable methods of production that support circularity. Sustainable packaging advancements have a key role to play in this transition. Companies must approach sustainable packaging design as a holistic process that encompasses fitness for use, circularity, manufacturability and life cycle assessment.

As food service providers explore and adopt sustainable packaging strategies, a few critical elements must be considered:

1. Sustainability goals. Every company, no matter the industry, defines sustainability differently. And that means every business and every food packaging manufacturer will have a unique definition of what sustainability means. Companies will want to make sure that the way their packaging partner defines sustainability is aligned with their overall goals. At Sabert, we believe sustainability can be approached from multiple angles, and we offer a broad range of solutions to support different priorities. For example, we focus on incorporating recycled or biologically derived raw materials, as well as designing products that minimize waste and avoid landfill disposal at the end of their use. This flexible approach allows us to provide tailored options that help businesses improve sustainability in the areas that matter most to them.
   
   Packaging manufacturers are hyper-focused on developing new solutions that help food service providers get closer to their sustainability goals. At Sabert, we design “Smart from the Start” with a focus on minimizing environmental impacts at every stage of the packaging life cycle, including raw materials, packaging and distribution and end of life. With a cradle-to-grave approach, packaging companies can help operators make holistic packaging decisions based on sustainability, performance and economic considerations.
   
2. Packaging needs/fitness for use. Customers are not willing to sacrifice performance for sustainability. Sustainable packaging still needs to work for the specific food it holds and how that food will be consumed, regardless of its substrate. Companies must consider the type of food, shelf stability or freshness, temperature, refrigeration needs, heating or cooling needs and the food’s life span. If the solution isn’t the best fit for use for the menu item, it could lead to an increase in food waste, negatively affecting sustainability goals.
   
   Different types of packaging support different sustainability goals. Companies looking to switch to materials offering lower life cycle emissions might want to choose compostable fiber-based packaging that offers high biodegradability or paper products that have the highest material recycling rate. Operators looking to reduce waste and use of virgin materials might want to use plastics that incorporate food-safe recycled content.

   Plenty of calculations must be made, and packaging providers can work with companies to make the best decisions that align with their specific goals and capabilities.

3. Progress through partnerships. Partnering with suppliers designing their products with sustainability in mind means looking beyond the sustainable packaging options they offer. Companies should seek out suppliers designing, developing and manufacturing eco-friendly solutions that seek to minimize impacts at every lifecycle stage and that support circularity.

Some food packaging companies have introduced sustainable processes in areas that include production, transportation and distribution, consumer use and recycling and reuse. By working with top-tier packaging providers, companies can ensure their sustainability goals are reflected in their partners’ green choices and give them another proof point in their sustainability efforts.

Beyond supplier partnerships, it’s increasingly important for companies to partner with industry groups for knowledge sharing, to stay on top of any upcoming legislation and to have a seat at the table in those discussions. Businesses also need to support the development of infrastructure and focus on consumer education and awareness to ensure they know how and when to properly recycle or compost their packaging.

The future of food packaging

Sustainability is no longer a goal for some distant future; it needs to be practiced today, especially with the increasing scrutiny from lawmakers and consumers on the food industry's contributions to GHG emissions and waste. Companies that have started to incorporate sustainable food packaging strategies are going to lead the way both with consumers and the planet.  

Stephny Halstead is vice president of marketing and new product development at Sabert, Sayreville, New Jersey. In this role, she leverages the innovation capabilities within the organization to drive strategic growth initiatives and marketing communications activities.