Mondi at Packaging Innovations 2022: UK plastic tax prompts paper packaging inquires

15 Jun 2022 --- Mondi is receiving increased inquiries about fiber-based food packaging due to the recently-introduced UK Plastic Packaging Tax. However, plastic packaging remains necessary for high-barrier applications, and the company is also experiencing growing demand for recycled plastic solutions, Paul Wormald, the company’s sales director for UK & Nordic, told PackagingInsights at the recent Packaging Innovations trade show in Birmingham, UK. 

The paper and packaging leader offers a full range of fiber-based and plastic food packaging solutions in line with its “Paper where possible, plastic when useful” strategy.

The UK Plastic Packaging Tax places a £200 (US$242) per metric ton levy on producers or importers failing to comply with the minimum requirement of 30% recycled plastic in new plastic packaging. However, we came to understand at the show that some businesses are choosing to pay the tax rather than rely on scarce and expensive food-grade recyclate.

“We did see an increase in inquiries as the plastic tax approached, and obviously that has continued since the tax was introduced, but there was also a lot of discussion with customers around what they could do with their plastic packaging to help reduce their environmental impact,” says Wormald.

Mondi’s paper-based packaging solutions on display at Packaging Innovations 2022.“The most common product we have spoken about at this show is our paper coated with a very thin layer of PE – we have the technology to go down to 4 g. That layer is there for the seal and moisture vapor barrier – you would never have a true, heat-sealable paper solution from Mondi without some element of plastic in there.”

“But with our EcoSolutions approach, we offer a full range of solutions, which may be plastic-based, paper-based, or a combination of the two. Plastic will always have its place, for example, when we try to limit food waste and ensure packaging is fit-for-purpose.

Navigating the fiber transition
For applications where paper-based packaging is “possible,” Mondi collaborates with an extensive network of partners to develop and test solutions that minimize technical issues and run on existing machinery.

“We work with four industry groups: packaging machine companies, printers and converters (often through our CEFLEX division), brand owners and supermarkets, and packers,” highlights Wormald. “We are ensuring that the packaging we develop with our customers is fit-for-purpose and works on the line without too many technical difficulties through this four-pronged approach.”

“By working with machine manufacturers, we are reducing the chance of a material perhaps not working on a production line or needing some modifications.”

“We also work very closely with the technical team to ensure we have the best barrier for a certain application – in some cases, that may not be paper but other substrates as well. But educating brands and packers about what paper can and can’t do can also be a challenge – we have a team in place to manage this challenge.”Mondi received many inquiries about its PE-coated paper at the show.

Consumers favor paper
The transition to paper-based packaging is also popular with consumers. According to Innova Market Insights, 71% of UK consumers say paper packaging is an environmentally sustainable option. Meanwhile, 35% say single-layer plastics are environmentally sustainable, dropping to 31% for multilayer plastic packaging.

“Paper is the most widely recycled packaging substrate in the UK. People know what it is and how to recycle it,” continues Wormald.

“Changes are coming that will alter the amount of paper that can be used in a packaging solution, moving to 90-10 in January 2023. This change is creating a challenge regarding what a paper-based packaging solution can do.”

“But in terms of recyclability, we are very well positioned with the products that we have to offer a solution now – and in the future – that is recyclable.”

From January 2023, paper recyclers in the UK will accept a paper to non-paper ratio of 90:10, increasing from the current 85:15 standard.

In April, Mondi also showcased its paper-based food packaging solutions at Anuga FoodTec 2022 in Cologne, Germany. We spoke to Falk Paulsen, sales and business development director at Mondi Functional Paper & Films, about how Big European retailers have pledged to reduce their plastic consumption and are now searching for the right solutions to fulfill those pledges without exacerbating food waste.

By Joshua Poole