Where are we standing on the revision of the EU’s packaging rules?

On 30 November last year, the European Commission published the second part of its Circular Economy package which introduced the proposal for the revision of the Packaging and Packaging Waste Directive (PPWR)among other initiative. This legislation is expected to have a critical effect on numerous branches of the European industry, which makes it important to reflect on where the legislation stands now and on notable reactions it has recently received from key stakeholders.

First adopted in March 2020, the Commission’s new circular economy action plan, is one of the main pillars of the EU Green Deal. Part of it is the review of the Packaging and Packaging Waste Directive to reinforce the essential requirements for packaging and establish EU-level packaging waste prevention measures and targets. As reported by Vulcan in November 2022, A draft of the directive was leaked to in late 2022. It caused a great stir within the industry, leaving many businesses alarmed at the new rules they could be subjected to. The leak, which put forward highly ambitious targets for the packaging industry, is summarised here. 

The legislation was proposed by the Commission shortly after the leak. After the publication, MEP Frédérique Ries (Renew, BE) was appointed rapporteur in the leading ENVI Committee of the European Parliament on 11 January 2023. Besides this, the parliamentary Committees for Industry, Agriculture and the Internal Market appointed their rapporteurs in early 2023. On the side of the Council, the proposal has been discussed at the Working Party on the Environment. A first policy debate took place during the latest Environment Council of 16 March 2023. 

While the negotiating mandates of the two co-legislators are awaited, several stakeholders have voiced their opinion about the draft legislation and its potential impact for the environment, consumers and the industry. Although there is widespread agreement that it is necessary to decrease packaging waste among key players in the food industry, their opinions diverge when it comes to reconciling environmental and socio-economic considerations. Vending companies, for example, request more clarity. Given that the gastronomy sector will be significantly affected by the directive, vending services request clear definitions and request lawmakers to consider the potential health risks of reusable packaging.

Packaging experts and researchers warn of the risk of “under-packing” in relation to saving packaging waste as insufficient packaging puts the product at risk of being damaged, which creates a significantly bigger environmental risk than using more packaging material. The EU farmers’ organisation Copa-Cogeca alongside several industry associations have voiced their concerns about the science behind the environmental benefits of the proposal against the expected socio-economic impact. While they support the harmonisation of packaging in the EU, Copa-Cogeca are concerned that the rules are not socially and economically sustainable. Hence, they demand more clarity over a demonstratable ecological impact. 

The American Chamber of Commerce voiced that requiring recyclability as a criterion for placing packaging on the market is important, but existing packaging formats that are already collected for recycling should not be prohibited under the proposal. In addition to recycling, reuse should be established as another sustainable packaging option with equal importance. Another sector, which could be severely affected by the revision is e-commerce. Their packaging costs would be increased severely by using reusable packaging, rather than cardboard as is the case right now.

Besides these, many further stakeholders have voiced their opinions. This article, hence, only highlights several key positions. Lastly, it is to be pointed out that the legislation at stake is a directive, meaning that it sets out targets to be achieved by member states. Several industry actors, hence, warn of potentially diverging interpretations on the national levels that may create obstacles for companies. In the next steps, Parliament and Council will develop their negotiating mandates to enter interinstitutional negotiations eventually.