Global Packaging Trends Mayuree Paklamjeak Advisor, The Thai Packaging Association The Thai Printing Association Plastic Institute of Thailand Singapore Packaging Conference 24 June 2015, Marina Mandarin Hotel, Singapore
Topics 1. Global Packaging Trends 2. Sustainable Packaging 3. Innovation and Technology 4. Food Safety and Regulation 5. Summary
Global Packaging Trends
Global Packaging Value in 2010 and 2016 2010 2016 Value 670 Billion USD Value 820 Billion USD Source : World packaging organization/smithers Pira
Global Consumer Packaging Consumption 2012 Metal 8% 5% 11% 2013 Glass 8% 47% 21%
2013 Packaging Type for Food & Beverage Packaging Type % Flexible packaging 55 Rigid plastics 14 Folding carton 7 Glass bottle 3 Metal can 4 Aseptic carton 4 Others 13 Packaging Consumption 2013 Global packaged f & b value USD 3,555 billion 2017 will be +25 %, becomes USD 4,362 billion
What s Driving Packaging Growth 4-7%? Population growth, packaging growth comes from the middle class people 54% of Global population is Middle Class China leads all countries in packaging growth, followed by India, Brazil, Indonesia and Russia 2012 world population approx 7 B China 1.35 B + India 1.250 B = 2.6 B 2050 world population approx 9.3 B
Global Megatrends (ref: Interpack 2014 press release) Innovation Drivers Resource efficiency: through innovative processes, consumption-optimized components, packaging weight reduction, use recycle material Quality and safety: through technology,hygienically designed plant and equipment, systematic QC/QA, traceability Variety and flexibility: consumer lifestyle change, large variety of product, short product life cycles, responsive, adaptable technologies
Global Packaging Trends 1. Barrier means shelf life: higher barrier to extend product shelf life and keep freshness 2. Convenience required by every product: UD, easy to open/dose/portion/re-close/microwave/dispose, on-the-go 3. Sustainable packaging: lighter weight, bioplastic/biodegradable 4. Aesthetics for sale enhancement: best on shelf 5. Production and logistic efficiency : ultrasonic sealer, high eff palletization & warehousing system, Shelf Ready Packaging
Save my world Sustainable Packaging
Global food waster per year Packaging waste is only 30 % of total waste..but it creates negative perception
Social Standard of Living Education Community Equal Opportunity Socio Economic Job Creation Skills Enhancement Local Economic Impacts Social Investments Business Ethics Socio-Environmental Environmental Regulations Natural Resources Stewardship Environmental Justice Economic Innovation Capital efficiency Profit improvement Growth enhancement Eco-Efficiency Resource Efficiency Energy Efficiency Environmental Clean Air, Water & Land Pollution prevention Zero Waste, Releases & Spills Environmental Management Balance the resource management of society, economy and environmentto ensure current and future generations will have the resources we need to survive and thrive.
Innovation and Technology
Better protection and longer shelf life Health and safety Higher education Personalization Consumer convenience Packaging for sustainability Brand enhancement Clear information Outstanding on-shelf Growing modern trade, high competition Global Drivers & Packaging Trends Supply chain efficiency Logistics efficiency Reduce energy cost More urbanity Small family Growing aging population Food preservation Minimize food wastage
Visibility Approx 30,000-40,000 products in an average supermarket and hypermarket. Consumers have only 8-10 seconds to identify a product.
Convenience Easy to Tear with Straight Cut 1. LN Cut Appropriate film structure e.g. easy tear PET, LDPE films 2. Micro notch 3. Micro laser technology Half cut at outer film layer
Shaped Stand up Pouch Aesthetics & Convenience Oneglass -single serve (100 ml) wine Firstly launched in Japan, now in Italy
SUP with Baby Clip Barrier & Convenience
On-the-Go Packaging Convenience Water in bottle with on-the go cap
Portion Pack and Easily Open Convenience Rice in portion pack with half-cut line, easily open, rice is released when pushing from the back
Microwave-able with Hot Air Release Convenience
Longer Shelf Life Convenience Sustainability Corned beef can was replaced by high barrier plastic cup (Oxygard) for good keeping quality with easy peel lid, microwave-ale and easy to dispose, 3 years shelf life at RT
Light Weight & BPA Free Metal Can Safety & Sustainability Metal cans(tfs and Al) coated with PET film at both surfaces, formed by dry process, lighter weight, less water & less energy consumption and less CO2 emission in the process. Birdy Robusta Ice Coffee in Thailand changed 3 pcs can to 2 pcs Al can 30 % material saving, lighter weight, less transport energy and 17% less CO2 emission
Air Hold Pouch - Stand-ability improved by Inserting a vertical pocket of air in the side - Easy to hold and pour - Lighter weight, 50-60% less than bottles Convenience Sustainability 900 ml 1 year shelf life at RT 250 ml
BioplasticsMarket Europe 25% Asia Pacific 1% USA 74% Europe 37% USA 33% Asia Pacific 29% Europe 25% S.America 29% Unspecified 7% USA 30% Asia Pacific 19% 2003 0.1 million tons 2007 0.36 million tons CAGR = 37.74% 2020 3.45 million tons (estimated) CAGR = 189.9% Source: Biowerkstoff-Report, Edition 7, April 2010
Bio Plastic (Green Plastic) sugar cane based PE
Bio Plastic Label DIN CERTCO VINÇOTTE
International & National Certification Biodegradable /Compostable Material Biodegradable Product Institute ASTM 6400, ASTM 6868 DIN CERTCO ASTM 6400, DIN EN 13432 AIB Vincotte EN 13432:2000 Biodegradable Plastic Society OECD301C JIS K 6950 (ISO 14851), JIS K 6951 (ISO 14852), JIS K 6953 (ISO 14855) Thai Bioplastics Industry Association TIS 17088
International Certification Needed
Food Safety& Regulation
Rising Health & Safety Awareness Started with hygienic designed plant & equipment Manufacture Plant Standards GMP minimum basic standard HACCP for food and cosmetic ASEAN GAP for agricultural product BRC (British Retail Consortium) for food safety FSSC (Food Safety System Certificate) 22000 Food packaging safety FCM (Food Contact Materials) Regulation
Nutrition Communication-Easily Understood Guideline Daily Amounts (GDA) Label Amount of key concerned component (energy, sugar, fat,sodium) per package in % of maximum consumption allowed per day >>Nutritional Facts on back/side panel Nutritional information per one serving
Rising Health & Safety Awareness Singapore People look for the Healthy choice mark Packaging that indicates low fat, no preservative, low cholesterol are preferred choices Other marks for food packaging safety
Use paper to promote recycle Is that paper complied with FCM regulation? Food cartons: paperboard is approved by Australia/EU/USA FDA with free of optical brightening and fluorescent agents
Food Contact Materials (FCM) Regulation Indicator of food packaging safety Major concern is migrationaffected by structure of materials, physico-chemical property of substances, concentration of substances, food type, use condition, contact surface to volume ratio
US FCM Regulation US FDA (Title 21 CFR Part 174-177) Guidance for Industry (FDA 2007) Source: www.cfsan.fda.gov/guidance.html
EU FCM Regulation New Regulation: EU No 10/2011 Cancellation of all previous Directives Covers all plastic packaging-monolayer, multilayer, printed and coated Monomer and additives shall be in Union List (Positive List) Adding migration spec of heavy metal, primary aromatic amine (PAA) and nano-particle Change simulant, compliance test method and OML spec
EU FCM Regulation Some FCM are not specified in EU regulation, recommend to follow national regulation Paper and board: follow Germany regulation Printing ink: follow Germany or Switzerland regulation Coating: follow Netherland regulation Rubber: follow France regulation
Japan FCM Regulation Food Sanitary Law, latest issue 5 June 2009 Ministry of Health, Notification No 370 (JETRO 2011) Related Association Standards e.g. - Japan Hygienic of Olefin and Styrene Plastics Association - Japan Hygienic of PVC Association - Japan Paper Association
ASEANFCM Regulation Regulation varied by country member AEC Regulation under preparation by Prepared Foodstuff Product Working Group of ASEAN Consultative Committee on Standard and Quality (ACCSQ)
Summary
Packaging Competitiveness for Brand Owners Need collaboration among value chain Polymers, Adhesive Material Ink Suppliers suppliers Packing Filling Warehousing Distribution Brand Converter Converter Brand Owners owners Retailer Consumption Storage Disposal Consumer Papers Polymers Films Adhesive Coating Printing Ink Converting processes Forming machine Laminate machine Printing machine Warehousing Shelf displaying Waste Management
Summary Packaging growth is promising. Food & Beverage the highest packaging consumption and the highest growth Major packaging trends 1. Barrier 2. Convenience 3. Sustainability 4. Aesthetics 5. Efficiency Sustainable packaging requires optimization of packaging design & meet market criteria for sale-able and effective communication FCM Regulation varied by country, closed watch and compliance are essential
Q&A How to look slim?