Recent announcements of a winter recession are causing mounting concerns for businesses across the country, with official figures showing the UK economy shrunk by 0.1% in the three months to June.
With data soon to be released on the state of the labour market, the Bank of England expects that economic output will have stagnated, culminating in a full-on recession landing on our doorstep by October.
Nevertheless, packaging has proven to be a resilient industry, having experienced significant growth during the COVID-19 pandemic’s most trying periods. And with demand for sustainable materials remaining high, there’s cause for optimism for suppliers and manufacturers alike.
The FMCG packaging market trends
Consumer demand for non-plastic beverage cans is experiencing exponential growth, with brewer Heineken recently announcing a net profit of €1.265 billion – up 22.3% year on year. This surge is linked to post-Covid recovery across all regions and pricing increases caused by inflationary pressures and potential scarcities in natural gas across Europe.
But with market fluctuations and uncertainty around petroleum availability creating shortfalls in supply chains, many businesses are seeking sustainable packing systems, to quell a reliance on virgin plastic fibre and safeguard fulfillment operations against packaging shortages.
Greener, more efficient solutions for businesses
It may seem obvious that switching from plastic packaging to a paper-based alternative is a quick way to increase your operation’s sustainability, but changing to greener packing alternatives might also be a cost-effective choice.
By swapping conventional cartons for returnable, resealable alternatives, your business can reduce its spend on ancillary items like tape and sealers whilst increasing productivity and optimising workflows for packers. Better still, your reliance on products with a high plastic content can be cut significantly.
Here are some simple trades to consider:
- Cut out polystyrene packing peanuts for recycled and recyclable bio-fill
- Integrate paper air pillows into your packing setup, as opposed to their plastic counterparts
- Consider streamlined options like book wraps when packing – to reduce consignment volumes and eliminate the need for added filler
- Turn off the electronic dispenser and pick up a 100% plastic-free box-fill, cutting energy costs, increasing packing flexibility and trimming your plastic use
- Swap all-plastic stretch film and tape for alternatives containing at least 30% recycled content
A process-driven approach to saving
When packaging choices alone aren’t offsetting mounting costs, consider a review of your current processes and a switch to more efficient systems. By addressing staff workflows and material-handling practices, significant savings can be found – both in waste volumes and order downtimes.
Where demand is growing and volumes are building to meet increasing orders, automation may well be the right choice. By handing tasks over to automated systems, consistency can be maximised, allowing for more accurate material measurements, to inform your packaging purchases.
Call on your supplier to house your packaging products and deliver on a just-in-time basis, allowing your warehouse space to be freed up.
In need of a packing review? Visit allpack.uk.com, phone Allpack on 01543 396700, or email sales@allpack.uk.com to find out how we can identify money-saving opportunities within your business using our expert consulting services.
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