4 MIN READ

10-11-2024

Packaging Revolution: How Sustainable Innovations Are Shaping the Beverage Industry

Alex Schulze , CEO/Co-Founder

Packaging Revolution: How Sustainable Innovations Are Shaping the Beverage Industry

"Around the world, one million plastoc bottles are purchased every minute."

In the US alone, plastic bottle production has steadily increased over the last twenty years. In 2023, industry sales for plastic bottle manufacturing reached $16.3 billion, with projections indicating continued growth. Only a tiny fraction of these bottles is recycled each year, and an even smaller portion is fed back into the production cycle.

Fortunately, the demand for sustainable packaging in the beverage industry is also on the rise. The global sustainable packaging market was estimated at $273 billion in 2023 and is only expected to grow.

Current Strategies for Sustainable Beverage Packaging

The beverage packaging industry is gradually moving towards sustainable and eco-friendly practices, aiming to balance convenience and cost with environmental responsibility. On Earth Day this year, leading beverage companies Coca-Cola, Keurig Dr Pepper, and PepsiCo launched the Every Bottle Back initiative to combat plastic pollution and reduce the use of new plastic. In addition to replacing plastic bottles with recycled polyethylene terephthalate (rPET) bottles (which cut total energy consumption by 79% and limit greenhouse gas emissions by 67%), these companies are also investing $100 million to modernize community recycling programs in partnership with Closed Loop Partners and The Recycling Partnership.

Pushing Boundaries: Global Advances in Beverage Packaging

Beyond established practices like using rPET bottles and reducing plastic in bottle manufacturing, companies globally are continually launching innovative sustainability solutions.

Refill concepts for beverages on the go hold promise with their ability to combine the issues of circular economy and climate. In Sweden, Coca-Cola has partnered with GLACIAL bottles for a pilot program that allows consumers to refill GLACIAL bottles or their own containers at Coca-Cola stations. Similarly, in the US, Coca-Cola's DASANI brand has introduced PureFill stations, allowing consumers to refill their own bottles with filtered water, significantly reducing the need for single-use PET plastic bottles. These initiatives aim not only to reduce litter but also to lower the carbon footprint associated with packaging. Coca-Cola is also trialing label-less packaging for its Sprite brand in the UK, using embossed logos and laser-engraved information to simplify recycling and reduce waste.

A similar initiative to discourage single-use cups has been adopted by coffee chains. In the US and Canada, Starbucks encourages customers to bring their own cups, aiming to cut waste by 50% by 2030. Customers who participate receive a discount, and Starbucks Rewards members earn bonus stars, promoting sustainable practices. Additionally, in partnership with Huhtamaki, Starbucks is trialing compostable cups for cold beverages in select US locations, using molded fiber lids and double-walled paperboard cups with a bioplastic liner. In the UK, Costa Coffee and McDonald's have partnered with Roadchef to enhance takeaway cup recycling through the National Cup Recycling Scheme, which has recycled 169 million cups since 2018, cutting carbon emissions per cup by 50%.

The alcoholic beverage sector is also innovating. Carlsberg has introduced the “Snap Pack,” which replaces traditional plastic six-pack rings with a special glue that holds cans together that reduces plastic use by 76%, saving 1,200 tons of plastics annually, and preventing the creation of harmful microplastics while maintaining recyclability.

Lastly, Frugal Bottles provide an innovative paper-based packaging solution with a carbon footprint 84% lower than that of traditional glass bottles. These containers, shaped like a traditional wine bottle, are made of 94% recycled paperboard with a food-grade pouch to contain the liquid, making them fully recyclable. According to the U.K.-based company, Frugal Bottles are also five times lighter than standard glass bottles. This sustainable packaging can be found on wine bottles at retailers like Aldi and Whole Foods. Frugal Bottles demonstrate the potential for localized, low-carbon production models that are easily recyclable, marking a significant step toward decarbonizing the food and beverage industry.

Moving Towards a Greener Future

Through these diverse innovations, the global beverage industry is showing a strong commitment to sustainability, focusing on reducing waste, enhancing recycling, and promoting the reuse of materials. Consumer concerns about waste have led to greater adoption of recyclable and recycled materials, and companies are exploring alternatives like biodegradable plastics, paper-based packaging, and plant-based plastics. Additionally, eco-friendly practices like lightweighting and packaging minimization are helping companies lower materials usage and emissions as consumers increasingly favor brands that prioritize environmental responsibility.