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Line operations in a state of flux amid secondary packaging changes

PMMI survey: From downsizing and changing of materials to upgrading of break-apart display packs, transport packaging is in a cycle of transition.

Pw 5530 Figure1sp

The need for robust secondary packaging seemingly flies in the face of the call to sustainability and green initiatives. Mass retailers want shipping cases that can do double duty as displays at retail. Products manufactured in Asia must withstand the 5,000-mile journey to the U.S. shores. Increasing Internet sales mean more goods are being shipped directly to consumers’ homes. Retailer-mandated pallet patterns require stronger stacking strength. Yet, consumer packaged goods (CPG) companies, as well as retailers, are demanding lighter-weight materials to save on shipping costs, smaller packages to maximize cube utilization, and higher recycled-content corrugated—all to meet sustainability initiatives.

A research survey commissioned by the Packaging Machinery Manufacturers Institute (PMMI, www.pmmi.org), published in late 2008, addresses the conundrum of conflicting goals for secondary packaging. At contract packaging plants around the country, secondary packaging operations are commonplace. Sixty-seven companies participated in the study; 54% were CPG companies and the remainder were contract packagers and material suppliers.

Sustainability’s role

Sustainability has emerged as a true driving force in packaging change, according to PMMI’s study. Overall cost saving is a primary component of that change, through materials weight downgauging and package size reduction. Yet nearly half of the survey respondents—18% of all the survey participants were contract packagers—say they need improved product protection and increased package strength.

In addition, 55% of companies participating in the study say that changing approaches to secondary packaging and the search to implement cost-effective strategies would require modifications to their packaging equipment, which they are considering. These responses are detailed in Figure 1. Respondents also listed changes they want to make in their secondary packaging, and these are prioritized in Figure 2.

So, how can companies involved with secondary packaging have the best of both worlds? Some CPG companies and contract packagers shared their perspectives with Contract Packaging on where trends in secondary packaging might be heading.

Good price…at what cost?

Ira Smith, president and CEO at ActionPak (www.actionpakinc.com), a contract packager in Bristol, PA, explains:

“For almost two years, we saw large demand and price increases in all types of commodities. As the cost of paper and plastic increased, we have seen some major brands cut costs by downsizing the gauge and strength of secondary packaging. If done correctly, this is a win-win for all, including the consumer and the environment. However, the process must be thought out and tested. If not, it can lead to a disaster in the real world. Commodities are now falling in price, but I feel the days of robust packaging will not return. Price is king in this economic environment, but at what cost?”

Recycled content

Overall, 70% of the survey respondents point to an increasing use of recycled content in packaging, especially corrugated, although they cite problems arising with adhesion and bonding, dust clogging the packaging machinery, and compromised board strength.

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