In a recent report by consulting firm Gartner, it is predicted that approximately 75% of organizations that voluntarily established sustainable packaging targets will sunset those goals by 2028. Instead, these companies, primarily brands and consumer packaged goods (CPGs) companies, are shifting their strategies to align with emerging legislative guidelines, such as extended producer responsibility laws.
John Blake, senior director analyst in Gartner’s supply chain practice, stated that about 90% of companies’ 2025 sustainable packaging commitments will likely be unmet. This trend is reflected in the fact that many organizations have already dialed back their goals in recent years. As a result, companies are advised to proactively adapt their sustainability strategies to align with legislation to avoid negative consequences, such as the increasing costs of extended producer responsibility.
Gartner’s predictions regarding companies transitioning from voluntary goals to legislative alignment are consistent with previous forecasts. In 2023, the firm projected that by 2026, at least 20% of brands would shift their focus from eliminating or recycling plastic packaging to reducing their packaging’s carbon footprint.
Legislation is playing a significant role in driving change within brands’ and packaging companies’ sustainability strategies. GreenBlue Executive Director Paul Nowak highlighted the impact of extended producer responsibility laws, stating that it is driving the most change he has seen in the packaging sustainability space in 30 years.
Multinational companies are also being influenced by other countries’ extended producer responsibility regulations, particularly in Europe. The Packaging and Packaging Waste Regulation in Europe is having a major impact on companies’ sustainability goals.
While states in the United States are beginning to implement packaging extended producer responsibility programs, companies are still navigating the requirements and implications of these laws. Companies are advised to stay proactive and engage in discussions about legislation to align their longer-term packaging strategies.
In addition to aligning with legislation, Gartner recommends that companies accelerate packaging redesign cycles, adapt supply chains for reusable packaging systems, and explore opportunities for reuse at the consumer level. These initiatives align with the evolving regulatory landscape and can help companies meet their sustainability goals in the long term.
