2023 “Packaging Compass” study identifies key design trends, impact on recycling legislation for CPGs

PMMI, The Association for Packaging and Processing Technologies, and the American Institute for Packaging and the Environment (AMERIPEN) have released 2023 PACKAGING COMPASS: Evaluating Trends in U.S. Packaging Design Over the Next Decade and Implications for the Future of a Circular Packaging System, a new study and accompanying infographic identifying key trends in packaging design and materials and the implications of these trends on legislation and the recovery systems for consumer-packaged goods (CPG) companies.

The PACKAGING COMPASS, based on extensive research and analysis conducted by AMERIPEN and PMMI, highlights the growing importance of sustainability in the packaging industry, as consumers become increasingly aware of the environmental impact of packaging materials and manufacturers strive to reduce waste and emissions. This research strives to close the gap between design needs and recovery needs by beginning a conversation on trends, presenting forecasts for the coming decade, and recognizing the role of multiple stakeholders in advancing a circular packaging system.

As the infographic illustrates, metal beverage cans, PET bottles, and flexible-plastic wrap lead the overall compound annual growth rate (CAGR) in packaging materials, which has shown some fluctuation since 2021, but is projected to decrease to 1.3% CAGR by 2025. Based on the report findings, this slight slowdown reflects the movement within omnichannel commerce to design primary packaging for shipping, eliminating the need for secondary and, in some cases tertiary packaging, along with the return to retail as consumers head back to stores after COVID-19.

Looking at overall material usage, survey respondents indicate that 75% of CPG companies continue to use plastic, more than those who use paper, and significantly more than those who use metal or glass. When asked about shifts in packaging materials usage over the next 10 years, the report indicates that CPGs are increasingly looking to sustainable materials such as compostable, certified SBS paperboard, certified kraft paperboard, bio-based bioplastics, and post-consumer-recycled content (PCR). 

Based on materials changes proposed by the CPG community, the report forecasts growth in lightweight materials like flexible film pouches and food wrappers that are not yet widely recoverable. Compostables are currently viewed by CPGs as seeing a significant increase, although like flexible films, they currently lack a significant recovery system to ensure they are composted after use. Lastly, recycled content in packaging is expected to grow with many CPG firms identifying plans to increase PCR content in existing packaging.