1 Science & Innovation in Packaging Dick Searle Chief Executive The Packaging Federation

2 The “Inconvenient Truths” of Packaging  Packaging only exists because products exist  First & foremost it’s a Delivery System for Products  Its Primary Role is to contain, protect and preserve  But it’s also a Primary Mechanism for Branding  It’s very visible but little understood by consumers  But its environmental impact is much, much less than that of the damage that would arise without it  And…Modern Society couldn’t function without it!!

3 ‘So why is there so much Packaging? ’  Demand for Packaging is created solely by the demand for the products that it contains  Consumers expect to have everything available 24/7 – only possible with modern packaging  Political & Media focus on packaging seems to be driven by what consumers see in their bins  And yet it’s consumer demand only that puts it there – wonderful “disconnect”!  It’s an inevitable and necessary feature of modern living  And yet its existence is consistently attacked

4 So What About The Future?  The World faces an unprecedented challenge to feed itself  Global warming is expected to substantially reduce the availability of land for growing food  Increased productivity and waste prevention at all stages will be absolutely key – and not just in developing countries  Modern packaging and distribution systems will play an inevitable and unavoidable role in this  Current supply chain losses of 40-50% in less developed countries are unacceptable (vs estimated <5% in the UK)  Packaging and the science and innovation that drives its development and existence is ready to meet the challenge

5 The Role of Science & Innovation  Warmly welcome packaging being viewed on the basis of science – not politics and media myths  Could start by addressing contents of Food 2030 – only addresses packaging in the context of reducing it!  And “making more of our essential packaging recyclable” – so what about “meat packaging”?!  One plus from all the UK attention on packaging is that our industry leads the world in packaging innovation  Whilst science is important, its application in innovative products has been the huge driver in the last few decades  Enabled fundamental changes in product offerings and retail methodology

6 Look Back to the Fifties……..  Shopping was a daily exercise  Grocers shops (Liptons, Maypole, H&C)  Almost no supermarkets  Most products sold loose – queues/hygiene  Home deliveries of milk, bread…even ‘pop’  Range was limited and fresh food seasonal  Convenience foods almost unheard of

7 And Now in the “Teenies”…  Consumption has increased dramatically  Supermarkets are everywhere  Shopping is mostly a weekly excursion with intermediate “top-ups”  Range and choice are huge  Products available all year round  Convenience is ‘everything’  And it’s this consumer demand for goods that drives demand for the packaging around it

8 And so….  Packaging is the ‘enabler’ for shopping as we know it today – supermarkets could not exist without it  Product wastage in the supply chain is now minimal  Product presentation and information are key  Brands are mostly defined by their Packaging  Many markets owe their existence to developments in packaging

9 All of these developed since the 50’s  Lightweight one-trip glass bottles  Easy-open lightweight beverage and food cans  Plastic bottles and tubes  PET bottles  Flexible packaging sachets and pouches  Plastic films  Child resistant packaging  Liquid packaging cartons  Aseptic packaging

10 And these!...  Ovenable packaging  Modified atmosphere packaging  Frozen food packaging  Microwaveable packaging  Chilled food packaging  Aerosols for toiletries & household products  Plastics pots for almost everything  Multiple packaging – board and plastics  Shelf ready packaging  Pharmacuetical & medical packaging

11 Let’s just remind ourselves what “masters” packaging has to satisfy PRODUCT Primary packaging Secondary packaging Demands of the product Demands of legislation and ‘environment’ Demands of: Consumer Retailer Marketer Demands of: Production Distribution Storage

12 So what has the Packaging Industry done?  Developed a fantastic range of new products  Enabled a huge change in the way we shop  Facilitated the reduction in food waste in the supply chain to ca. 3%  Lightweighted packaging across the board  Achieved the decoupling of GDP growth from the increase in packaging used  Given consumers product protection, hygiene, convenience and pack information  Provided the platform for product branding and identification

13 And some real facts about it  UK “consumption” is mid-table in EU  3% of landfill and 18% of household waste  Carbon footprint less than 2% - and way less than the damage it saves  Huge progress in recycling in last few years – over 60% now recycled – again mid-table in EU  Good recycling needs a better waste stream  Further progress requires ‘joined-up thinking’  Energy from waste must be taken seriously

14 Consumer Attitudes  Packaging responds to the needs of modern lifestyles and consumer demand – 24/7  Consumer concern about the environment is real but is it well informed?  Are the messages right? – packaging vs global warming  Should all packaging be recyclable?  Do they understand that packaging is “only” the delivery system for the products that they demand?  Do consumers really want a return to the shopping regimes of yesteryear – lack of choice and even rationing  And what about what they say……as opposed to what they actually do!  And what about food waste in the home

15 Consumer “Education”….and ours!  Knowledge of the real facts about packaging is very limited  “Recycling more important than reduced car use”  Whole supply chain (INCLUDING THE FOOD & DRINK INDUSTRY) needs to do much more….starting with their own employees!  Ambassadors for packaging – how much would you sell without it?  “Packaging in Perspective” 

16 The Messages from Government  Totemic issues…..(e.g. plastic bags)  Consumers’ carbon “footprint” – 40%!  What are the real issues e.g. car use  Time for honesty and recognition of the absolute need for modern packaging if the world’s food challenges are to be overcome  Time for the “Appliance of Science” to actions on the real environmental challenges  For instance…..household food waste has at least 15 times more environmental impact than packaging waste

17 And some “reminders” from us  Packaging is <3% of landfill  Global carbon footprint of packaging including disposal is >2% and it saves far more carbon by wastage reduction than it uses  And what would the footprint be without it!  There’s ten times more energy & materials in products than in the packaging around them  The energy content of one day’s packaging is equal to ONE MILE driven in the car !!  AVOIDABLE food waste in the bin has more than FIFTEEN times the impact of packaging waste

18 And so….. In Conclusion  Modern demand needs modern packaging  Without it we’re back to the 50’s – with no supermarkets, restricted choice and vast increases in wastage  And the impact on the food and drink industry and its customers would be dramatic  At a time when the world faces dramatic challenges on the sustainability and development of its food supply, it needs the scientific and innovative skills of the packaging industry to succeed  So please let us get on with the job