Food and beverage companies are facing mounting hurdles in increasing the use of recycled plastic in packaging, as limited availability of food-grade recycled materials, higher costs and consumer perceptions slow progress toward sustainability goals.
Industry executives speaking at the Packaging Recycling Summit said companies remain committed to incorporating more post-consumer recycled (PCR) content into packaging but are struggling to meet regulatory requirements, particularly those introduced by the US state of New Jersey, which has one of the country’s broadest PCR mandates covering both food and beverage packaging.
Campbell’s Co. said it has shifted from category-specific packaging decisions to a company-wide strategy to meet New Jersey’s aggregate recycled content requirements. The company noted that simply converting select products to 100% recycled plastic would not be sufficient to achieve compliance across its overall packaging portfolio.
Executives from Campbell’s and grocery retailer Ahold Delhaize USA highlighted the limited availability of food-grade recycled plastics, especially for products requiring high-performance packaging such as microwaveable meals and hot-fill containers. Packaging for such products must withstand intense heat and pressure during processing, making it difficult to incorporate recycled materials without compromising product quality.
Industry leaders also pointed to the higher cost of recycled plastics as a key barrier. While corporate interest in sustainable packaging remains strong, enthusiasm has moderated as companies better understand the financial and operational challenges involved. Food-grade recycled plastics continue to command a premium over virgin materials despite consumer expectations that recycled products should be cheaper.
Packaging experts said polyethylene terephthalate (PET), commonly used in beverage bottles, remains the most mature recycled plastics market. However, sourcing high-quality recycled polypropylene and other polyolefins for food packaging remains difficult due to contamination risks and challenges in producing food-safe material.
Companies also warned that changes in packaging colour, odour or product taste resulting from recycled materials could trigger consumer backlash. They stressed that clear communication is essential, as many consumers struggle to distinguish between “recyclable” packaging and packaging made from recycled content.
Industry experts said stronger consumer awareness, improved recycling infrastructure and increased supplies of high-quality food-grade recycled plastics will be critical to helping food companies meet sustainability commitments and comply with evolving packaging regulations.