In today's corporate world, sustainability takes centre stage, highlighting the crucial role of packaging in driving positive environmental change.
In recent years, discussions around packaging have intensified as the industry recognises the urgency to rethink unsustainable materials and improve circularity. Research shows that packaging volumes for consumer goods in Europe and the US are projected to surpass population growth by 2025, placing significant pressure on businesses to innovate.
Consumer sentiment and incentives for businesses
Packaging credentials now carry serious reputational and financial risks for businesses in the corporate world. As consumers increasingly prioritise environmentally-friendly packaging choices, with approximately 80 per cent expressing a preference for green options, businesses without sustainable packaging strategies risk losing out. To succeed, packaging innovation strategies must focus on reducing, renewing, recycling, reusing, or regenerating sustainable materials.
Moreover, innovative packaging not only addresses sustainability concerns but also directly enhances the consumer experience. For instance, at H&H Group, we have implemented innovative packaging solutions such as smart zip-locking systems, which promote reusability and reduce food waste. We also prioritise responsible sourcing by using Forest Stewardship Council certified paper for select baby food products, while also eliminating the use of plastic film for ink protection.
We have achieved significant progress, with 98 per cent of our packaging now being recyclable, biodegradable, or compostable and we have reduced our packaging by 18.5 per cent (in tons) compared to 2021.
Preparing for future regulations and guidelines
Industries must prepare for upcoming regulations on packaging. For example, the proposed revision of the European Union legislation on the Packaging and Packaging of Waste Directive aims for all packaging to be reusable or recyclable by 2030. Businesses must proactively make meaningful changes to avoid financial penalties or reputational damage.
Identifying research and development opportunities
Sustainability is now integrated into all aspects of business operations, from research and development to the entire value chain. While internal R&D teams drive innovation, partnerships with external organisations play a pivotal role in catalysing sustainable packaging advancements. For instance, we conducted Life Cycle Assessments on Biostime and Dodie and as a result, we are phasing out PVC from our packaging materials.
Examples like Swisse Asia's participation in the Sustainability Open Innovation Challenge 2022 showcase how open innovation challenges and industry collaborations foster long-term innovation aligned with sustainability goals. Regional leadership is crucial in driving sustainable packaging efforts, inspiring businesses to adopt environmentally responsible practices. Our H&H teams in Europe, China, and Australia lead the way in transitioning to plastic-free, plant-based fibre wipes and reducing vial sizes, driving innovation and cost efficiency.
Seizing the opportunity for change
Recognising packaging as a vital focus area for innovation presents an opportunity to create significant environmental change. Businesses should seize the opportunity to adapt in line with consumer and planetary needs while there is still time to act.