In an exclusive interaction with Claus from Food Infotech, Amrut Mhatre, Founder of Acumen Packaging Pvt. Ltd. discusses a range of topics that include the recent trends in packaging that has caught the attention of the F&B Industry, including sharing some details on the various ways in which they have been helping their clients in the Food Industry improve the sustainability of their packaging and a lot more.
Read: August 2023 Issue of Food Infotech Magazine.
Edited Excerpts Below:
• Please start by telling us what’s been trending in the Packaging Industry in 2023?
Sustainable Packaging – Sustainability is a top priority for consumers and businesses like, and the packaging industry is no exception. In 2023, expecting to see more and more companies adopt sustainable packaging solutions, which includes the usage of biodegradable and recyclable materials. Sustainable packaging can help to reduce costs, improve efficiency and boost brand reputation.
At Acumen Packaging, sustainability is in our DNA and we follow core 4R’s of sustainability i.e. Remove unnecessary packaging components, Reduce at designing phase, Replace where possible and use recyclable or recycled materials. Sustainability’s mantra is “Less is More” with a minimalist approach to packaging material consumption.
Smart Packaging – Smart Packaging is another trend that is gaining momentum. Smart packaging uses technology to provide consumers with additional information about the product, such as its freshness, origin or nutritional information. This can help consumers make more informed choices about the products they buy.
With major boost received from Government’s vision for a Digital India, such as using smart phones to communicate with consumer has become a norm for brands and packaging has become the core medium. With a deeper penetration of social media, a brand can engage users for sharing experience with others with a single QR code or link on pack.
AR and VR – AR can be used to allow consumers to interact with the product in a virtual environment and VR can be used to increase sales by allowing consumers to experience the product before they buy it. This can help consumers to make more informed decisions about which products to buy.
Blockchain – Blockchain is a distributed ledger technology that is gaining popularity in a variety of industries, including the packaging industry. Blockchain can be used to track the provenance of products, which can help in ensuring that they are authentic and sustainable.
AI (Artificial Intelligence) – AI can be used to automate tasks, improve efficiency and make better decisions. AI is a versatile technology that can be used to automate a wide variety of tasks in the packaging industry, with some of them being specification management, artwork management, proof reading and a few more.
On-demand Packaging – On-demand Packaging is a trend that is being driven by the growth of e-commerce. On-demand Packaging allows businesses to print and package products as needed, which can help reduce waste.
• Last year, the Indian Government had issued a notification banning the use of single-use plastic items. Post ban, what’s the kind of progress you’ve been able to witness in the industry when it comes to shifting towards alternative modes of packaging?
As the demand for sustainable packaging solutions continues to grow, here are some of the most notable changes that has taken place in the industry since the Indian Government’s ban on single-use plastic items and it has led to a number of positive developments in the packaging industry like –
• The Beverage Industry has switched to paper straws and cartons;
• The Food Industry has switched to compostable food packaging. For eg. McDonald’s India has started using compostable packaging for its Happy Meals;
• The Retail Industry has switched to reusable bags. For example, BigBasket, an online grocery retailer currently offers reusable bags to its customers. E-Com giants such as Flipkart & Amazon have adopted paper mailing bags instead of plastic mailing bags;
• Most of the players in the food industry have increased the use of paper and cardboard. Paper and cardboard are two of the most sustainable alternatives to plastic and their use has increased significantly ever since the ban was implemented. For example, many food delivery companies have switched to paper bags and boxes and some supermarkets are now using paper straws and cutlery;
• Various new materials are being used, such as Bio-based (also known as “plant-based”) plastics, which include starch-based material derived from potatoes or corn, Polylactic Acid (PLA), Polyhydroxyalkanoate (PHA) and innovative new materials like Notpla, a solution made from seaweed.
• Currently, how has Acumen been advising its clients in the packaging industry, when it comes to improving the sustainability of their packaging? Are there any challenges that continue to exist during this period of transit?
Acumen is working with industry partners to develop short term and long-term sustainable packaging strategies. This would help in creating a level playing field for customers and make it easier for them to meet their sustainability goals.
We “Acumen Packaging” have been advising our clients in the packaging industry on improving the sustainability of their packaging in a number of ways, some of them being as under:
– Helping them to understand the environmental impact of their packaging. Acumen Packaging provides customers with data and insights on the environmental impact of different materials and packaging formats;
– Providing them with guidance on how to use sustainable materials. Acumen works with converters to identify sustainable materials that are suitable for their products.
– Helping them in designing more sustainable packaging options by applying the principles of 4R’s – Remove, Reduce, Replace and Recycle. Acumen Packaging works with converters to design packaging that is more efficient, recyclable and compostable. We also help them reduce the weight of their packaging, which can save energy and reduce emissions.
There are a number of challenges that continue to exist during this period of transition to more sustainable packaging, some of them being as under:
– The cost of sustainable packaging. Sustainable packaging can be more expensive than traditional packaging;
– The availability of sustainable materials. The availability of sustainable materials can be limited. This can make it difficult for converters to find the materials they need to meet their sustainability goals;
– The lack of clear standards for sustainable packaging. There is no single, universally accepted standard for sustainable packaging. This can make it difficult for converters to know what constitutes “sustainable” packaging.
• When it comes to packaging, brands have to focus on several aspects, such as minimizing waste, reducing breakages, etc. Hence, please let us know with an example as to how technology can be leveraged by brands for improving operational efficiency, thereby ensuring better services for their customers.
Here are some of the examples by which technology can be leveraged by brands for improving operational efficiency in packaging:
Real-time Tracking and Monitoring
Technology can be used to track and monitor the packaging process in real time, which can help to identify and address any potential problems early on. For example, sensors can be used to track the temperature and humidity of products during transportation, which can help to prevent spoilage. For example, a food company that ships its products all over the world could use real-time tracking and monitoring to track the temperature and humidity of its products during transportation. This would help to prevent spoilage and ensure that the products arrive at their destination in good condition.
Packaging Automation
Automation in packaging can help to reduce the amount of manual labour required, which can lead to increased efficiency, productivity and quality. For example, robots can be used to load and unload packaging machines, which can free up workers to focus on other tasks. A beverage company that uses automated packaging systems could use robots to load and unload packaging machines.
3D Printing
3D printing can be used to create custom packaging that is tailored to the specific needs of a product. This can help to reduce waste and improve the overall fit and protection of the product. For example, 3D printing can be used to create custom packaging for fragile electronics that is designed to absorb shock and prevent damage during shipping. Another example like Nike uses 3D printing to create custom insoles for its shoes. This allows Nike to create insoles that are perfectly fitted to the individual wearer’s foot, which can improve comfort and performance.
• According to you, what’s the need of the hour for the Indian packaging industry?
The Indian packaging industry is one of the fastest-growing industries in the world and is expected to grow at a CAGR of 26.7% during the period 2022-27 and this growth trend is expected to continue in the coming years too. This growth is being driven by a number of factors, which include the growing middle class, growth of the e-commerce sector and the increasing demand for sustainable packaging. However, there are a number of challenges that the industry needs to address in order to remain sustainable and competitive. The use of single-use plastics is a major environmental problem and the government is increasingly taking steps to curb its use. This means that the packaging industry needs to find ways to reduce its reliance on plastics and adopt more sustainable materials.
Another challenge facing the Indian packaging industry is the need for innovation. The industry is becoming increasingly competitive and companies need to find new ways to differentiate their products. This means that the industry needs to invest in research and development in order to develop new and innovative packaging solutions. Innovation in designing, processing and technology would be the key for future growth.
The Indian Packaging Industry needs to improve its manufacturing capabilities as well. The industry is currently dominated by small-scale manufacturers and these manufacturers often lack the resources to invest in new technologies and equipment. This means that the industry needs to find ways to scale up its manufacturing capabilities in order to meet the growing demand for packaging.
• Any suggestions for the Government to help boost the growth of packaging businesses in the country in the coming years?
The Government can play a vital role in helping boost the growth of packaging businesses in the country in the coming years like:
– Invest in research and development for new packaging technologies: This would help to create new and innovative packaging solutions that are more sustainable and efficient;
– Create a regulatory environment that is supportive of packaging businesses: This would include setting clear standards for packaging, providing guidance on recycling and disposal and enforcing environmental regulations;
– Promote the use of recycled materials in packaging: This would help to reduce the demand for virgin materials and create a market for recycled materials;
– Support the development of sustainable packaging education and training programmes and packaging technology: This would help to ensure that packaging businesses have the skills and knowledge that are required to produce sustainable packaging.
– Support the development of new markets for packaging exports: This would help packaging businesses to grow their sales and reach new customers around the world.
– Working with industry associations to promote the packaging industry: This would help in raising awareness of the industry and its importance to the economy.
• Finally, please let us know how do you view the future of packaging industry in the years to come?
The future of the packaging industry is bright, with many exciting trends on the horizon. Here are some of the key trends that I see shaping the industry in the years to come:
– Our respected PM’s vision for “Make in India” is offering a tremendous boost to the Indian Packaging Industry, which is also supported by other factors mentioned earlier, as growing middle class increase domestic demands great potential for exports.
– Sustainability will be a top priority for packaging manufacturers. Consumers are increasingly demanding sustainable packaging options and brands are responding by developing new materials and processes that reduce the environmental impact of packaging;
– Smart packaging will become more common and digital elements like QR based technologies for consumer interaction, information offering, rewards, warranty, Track and trace will penetrate rapidly;
– E-commerce will continue to grow and packaging manufacturers will need to develop new solutions that are safe, efficient and cost-effective for shipping products online;
– Personalization will become more important. Consumers are increasingly demanding personalized packaging that reflects their individual needs and preferences;
– The rise of 3D printing will allow for more customized and personalized packaging;
– The use of blockchain technology will improve the traceability of products and help to ensure food safety;
– The use of augmented reality and virtual reality will create more immersive and interactive packaging experiences;
We believe that these trends will continue to shape the future of the packaging industry in the years to come. The industry will become more sustainable, smart and personalized. Businesses that are able to adapt to these trends will be well-positioned for success in the future.