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    Features

    Food Packaging

    Standing out on the shelf is just one element of succeeding in this vibrant vertical.

    Food Packaging
    Image courtesy of Avery Dennison
    Food Packaging
    UPM Raflatac has developed a wide range of sustainable materials that have been optimized for use in the food packaging space.
    Food Packaging
    S-OneLP’s flexible packaging materials are ideally suited for food.
    Food Packaging
    Acucote delivers restaurant labeling solution to Wayne Trademark
    Greg Hrinya, Editor01.26.22
    Food packaging is a vibrant and ever-evolving end-use segment, and one that continues to be impacted by new technologies, sustainability and regulations. All the while, the label and packaging must make an immediate impact with consumers on arguably the most crowded of shelves.

    The shelf is not just dedicated to the big players anymore, either. Newer technologies, from flexible packaging to digital printing, have enabled an influx of smaller, cutting-edge brands to gain market share.

    “We see a total redefinition of the store shelf as we know it, along with what it means to compete at the shelf,” states Tom Hauenstein, vice president of sales, S-One Labels & Packaging. “The traditional shelf is diversifying away from brick and mortar and becoming increasingly digital, with challenger brands and entrepreneurial startups competing on social media and with e-commerce models. This shift is leveling the playing field and chipping away at what was once a vast divide between startups and global CPGs at the store.”

    Many of these “challenger brands” require smaller run sizes. SKU proliferation is still ongoing with larger CPGs as they test products, packaging and marketing campaigns on the shelf. A host of trends in this space have been driven by the public’s desire to live better and healthier lives. Consumers also want to be warned and protected, and food packaging will continue to play a leading role relative to hygiene in the distribution, display, dispensing, storage, and preservation of food and drinks.

    “32% of US consumers want companies to keep them updated on how they keep products sanitary, and 62% of US consumers report that it is more important to protect food hygiene than it is to protect the environment,” states Cindy Collins, senior product manager – Rapid Roll, Avery Dennison Label and Packaging Materials. “Plus, 74% of US consumers prefer to buy products with packaging that will protect the contents from contamination.”

    Collins adds that consumers also want packaging that is more easily recyclable. When asked, “What should food and drink brands do to make packaging more environmentally friendly?” 47% of US respondents answered, “Make it easier to recycle packaging.”

    The food packaging segment is “vigorous and dynamic,” according to Ray Dickinson, VP, Digital Business, Mark Andy. “In all links of label and packaging fulfillment chains, suppliers are constantly called upon to do more,” he says. “This call has resulted in an endless demand for new materials, innovative technologies, and new supply chain solutions. The number of innovations and new technologies being developed and converged at an ever-faster rate for future product and fulfillment solutions is striking. We are now in a state of perpetual redesign as the demand to do more with less – in less time – is omnipresent. As a result, the industry’s fulfillment infrastructure has developed itself into a smarter, more capable and nimble one – and this trend continues.”

    New technology on the horizon could include smart labeling. “Smart packaging is very appealing to the market, especially at a time where it seems like our only real interactions are through a mobile device,” says Renee Schouten, director of marketing for INX International Ink Co. “Smartphones give consumers the opportunity to interact with their packaging choices instead of simply opening it to access their food. This can be a powerful tool for educating customers about your products with a simple click or scan.”

    As consumers become more discerning, they also enjoy getting a window into the product. “Transparent packaging involves food packaging made of transparent materials,” adds Schouten. “As consumers become concerned with the ingredients being used in food products and the process by which they’re made, their desire for more transparency from brands is on the rise.”

    Of course, regulations play a large role in food packaging, especially as consumers are more cognizant than ever about food safety. Regulations and laws ensure that food is being handled properly in every way, which leads to good overall health.

    “When label converters move away from a glass or plastic barrier, they need to consider a printed surface that comes in contact with food,” says Hauenstein. “The glass or plastic is no longer protecting contents from harmful-if-ingested UV particles. UV migration and the chemistry they are applying is something a flexible packaging converter must be cautious about. This also includes the ink, the OPV, or the curing agent. Though it’s not impossible to overcome this learning curve, flexible packaging production needs careful study before jumping in. S-OneLP has flexible packaging experts on-hand to guide converters through this process.”

    “Regulations play heavily into what substances we can use to formulate printing inks on food packaging and packaging in general,” explains Rebecca Lipscomb, director, global regulatory affairs at INX. “For example, the reclassifications of chemical hazards under GHS – which is not consistent around the globe – is putting materials with long historical safe-use records within the scope of exclusions, typically outside of governmental regulations and being driven by brand owners. It’s taking the focus off the risk of exposure and re-directing to a hazard.

    “The concern is that industries are making what we call a ‘regrettable substitution.’ This means the companies substitute the now classified substance with another substance that is not classified,” she continues. “This does not always mean the substance is safer. It may just mean the substance has not been evaluated yet for hazards.

    “Other regulations that are coming into play and may have significant impact on formulations are the GIO (German Ink Ordinance) PFAS, PCBs as a NIAS (Non Intentionally Added Substance), NIAS in general, and US EPA Chemicals classified as SNURS that can all affect how the industry formulates. Individual states are increasing their regulatory requirements in the absence of federal regulations. This poses challenges where we could see multiple states regulating the same substances in completely different ways,” Lipscomb says.

    This is an evolving process, too. One that will continue well into the future. “There have been newly issued food safety regulations for adhesives, plastics and rubber in China in just the last month, which represent just the regulations that affect our products,” explains Collins, adding, “The Chinese government is working on a comprehensive update of its food safety regulations, and more is expected. Meanwhile, Japan issued a complete revamp of its food contact regulations last year that is a dramatic change from its historical program, and ismmuch stricter.”

    The EU is currently studying broad changes to its food contact regulations as part of the EU Green Deal, but Collins believes that we’re probably a few years away from seeing new regulations. “The US FDA is also studying changes to the US food contact regulations, but I expect that it will be more updating and nothing dramatic unless a major incident happens,” she adds.

    Flexible packaging shift
    Both big and small food brands are embracing all the benefits of flexible packaging. Convenient for the on-the-go lifestyle, flexible packaging is seeing an increased presence on store shelves.

    “Brand owners want their products to stand out on the shelf and grab a consumer’s eye in 3-5 seconds,” explains Avery Dennison’s Collins. “Flexible packaging brings not only 360-degree real estate for printing but can be ‘shaped’ to grab attention and provide functionality.  Ease of use with high shelf appeal are key for brand owners.”

    “Flexible packaging’s durable material and construction, plus its numerous design opportunities, make it an ideal packaging solution for many food products,” adds INX’s Schouten. “Not only is it great for product protection, but it also has promotional benefits for a brand. For example, you can offer samples or travel-sized versions of products, attach samples to promotional materials, or hand out them at events. All those options can expose your brand and product to new customers. The range of possible flexible packaging shapes and sizes is incredibly wide.”

    Additionally, flexible packaging is ideally suited for the e-commerce trend, as many consumers digitally place their food orders with a computer or smartphone. Flexible packaging provides a shipping advantage, among other benefits.

    “Brands are realizing material efficiencies, as flexible packaging is lighter and consumes less waste to produce than rigid containers,” says S-OneLP’s Hauenstein. “This lends itself to transportation efficiencies, too. Flexible packaging is lighter weight and easier to ship than rigid containers. And perhaps the most significant benefit for food producers is that flexible packaging can extend the shelf life of foods – particularly fresh produce and meats.”

    In recent years, flexible packaging has emerged as a growth area for label converters, providing them with an opportunity to expand their business. This is especially true in the food packaging segment.

    “At Mark Andy, we always see endless opportunities to augment and enhance value delivery to brands. This belief applies in every label and packaging segment that Mark Andy supports, including flexible packaging,” says Mark Andy’s Dickinson. “The industry has innovated and changed the game for flexible packaging.

    “By developing fast changeover flexographic print technologies that match the quality and the practical print speed of other print technologies, such as gravure, we enable converters to offer their customers high-quality flexible packaging in smaller quantities, more profitably, and in less time,” he adds.

    Covid effects
    The early days of the Covid-19 pandemic saw consumers flocking to grocery stores, buying food items as fast as they could be stocked on the shelves. The ramifications of this behavior – and the continued effects of Covid-19 on everyday life – have impacted the food industry in multiple ways.

    “The food packaging market has not been impacted negatively due to the Covid-19 pandemic. Since it is an essential industry, it has not been shut down like many other businesses,” remarks Mark Hill, senior VP, R&D for INX. “In 2020, food packaging experienced strong growth with high consumer demand for packaged products. This was due to a shift in eating habits; more people dined at home instead of going out for meals. People also spent more money on living essentials than they did on luxury items. Demand remained high in 2021, although the supply side for food packaging, materials and logistics has struggled to keep pace.”

    A year later, with more than three billion people vaccinated globally, 20% of US consumers are still worried about the safety of products they buy, notes Avery Dennison’s Collins.

    The increased demand for food products has led to shipping delays, price increases and product shortages. Initially, label and package printing converters in this space were more profitable than ever. Converters that saw declines in some areas, such as automotive, were able to buoy their businesses on the back of food orders.

    “The Covid-19 pandemic affected this market in a few ways, namely capacity, lead times and supply chain,” explains S-OneLP’s Hauenstein. “The demand for labels and packaging has accelerated in the past two years, putting a lot of pressure on current press capacity for converters that cater to a variety of end-use segments, particularly those serving food, beverage, and pharmaceutical segments. It’s not unheard of to realize 20% year-over-year sales growth for many of our customers.”

    Today, the supply chain challenges present in all areas of production have significantly impacted food packaging. The pandemic has caused issues with a labor shortage, transport delays, clogged ports, and cargo ships sitting in harbors with no workers to offload products.

    The pandemic has also impacted the ways in which consumers are getting their food. “While restaurants are mostly back open for in-person dining, there are still staffing shortages across the country forcing consumers toward takeout or delivery options. Third-party delivery services have seen, and sustained, huge utilization growth due to the pandemic,” explains Scott Conrad, segment manager, Prime Business, Paper Laminates, UPM Raflatac, Americas. “Most delivery services are requiring tamper-evident seals to show the consumer their food has not been touched since it left the restaurant. Additionally, consumers continue to cook at home in larger numbers than ever before.”

    According to Conrad, there has been a noticeable shift in consumption from bulk packaging in restaurants to smaller portions purchased at the grocery store. This has translated into a need for more labels.

    The supply chain challenges have paved the way for digital printing, especially when considering flexible packaging. “As demand for flexible packaging escalated, customers also wanted their packaging jobs sooner,” notes Hauenstein. “An expectation for shorter lead times coincided with an influx of orders, putting further strain on converters and opening the door for digital flexible packaging growth. We watched this trend develop over the past few years, but the pandemic expedited that change. In the immediate wake of the pandemic, digital flexible packaging converters were able to fill orders quickly and get packaging to their customers in record time. For brands, getting their orders turned around in 10 days versus 60 days was a huge dynamic shift that allowed narrow web and digital flexible packaging products to address this spike in demand right when their customers needed it most.”

    “Smaller run sizes lend themselves to digital production,” adds Hauenstein. “This is further evidence that the digital flexible packaging revolution is not only here but here to stay.”

    Sustainable push
    The entire supply chain has placed a greater emphasis on landfill avoidance, and food packaging has the ability to generate significant waste. Therefore, brands and converters alike are promoting the use of more sustainable materials. The concept of  “reduce, reuse, recycle” has never been more evident.

    “The most significant trend we are seeing is a continued spotlight on sustainability within the packaging industry, as brands of all stripes are looking at ways to create packaging that doesn’t end up in landfills,” comments S-OneLP’s Hauenstein. “That continued emphasis is largely driven by consumer demand. Today’s eco-conscious consumers favor brands that prioritize sustainability, and many consumers are willing to spend more on companies that share those values.

    “To move the needle even further, it’s incumbent upon us – the label and packaging supply chain – to find innovations for brands of all sizes and budgets,” he adds.

    “The main trends we have seen in the food space is an increased focus on sustainable packaging. Within their packaging, brand owners are more focused than ever on making sustainable choices,” notes UPM Raflatac’s Conrad. “This includes examples of downgauging materials to reduce carbon footprint and an emphasis on enabling recycling, as well as the use of recycled materials.”

    While much of the discussion surrounding sustainability in food packaging targets material consumption, the food itself is another consideration.

    “Food waste is not at the top of sustainable packaging conversations, but it should be,” states Avery Dennison’s Collins. “Food waste accounts for 30-40% of the food supply in the US. Once it’s in the landfills, this food waste produces methane and other gasses that affect our environment. Flexible packaging brings longer shelf life to many food segments, which can lead to less waste. Food waste takes up the highest percentage of waste in our landfills, while flexible packaging is 3-4%. So, the total carbon footprint to produce and package in flexible packaging is good for the environment as it can further allow our food to last longer – and with less waste.”

    Compostable packaging is also gaining a lot of traction in the market. “As suppliers, we strive to keep both recycling and composting in mind as we develop packaging innovations,” notes Hauenstein. “S-OneLP offers ReTreve recyclable films, a family of store-drop off recycling certified flexible packaging solutions. Our most popular and award-winning ReEarth compostable films are USDA BioPreferred and BPI certified.”



    Acucote delivers restaurant labeling solution to Wayne Trademark
    Wayne Trademark first opened its doors in 1938 in High Point, NC, USA, as a manufacturer of heat seal labels for the local hosiery industry. Wayne Sullivan started the business and ran it for 30 years. Ray Burrow purchased Wayne Trademark in 1969. Today, his son, Gary (seen at right), operates the successful business. In its 80-plus years in operation, Wayne Trademark has continued to open doors into different arenas in the printing business.

    When Wayne Trademark needed an alternative to a wash-off product used in the restaurant industry, the company approached the Acucote Application Development Team for assistance. The label is applied to containers with a date and time stamp for food rotation. The container then goes into an industrial dishwasher, and the label must remove cleanly in this process.

    Gary Burrow notes, “We came to Acucote with this challenge because of Acucote’s ability in the past to find solutions to our problems. We looked at competitive products, but other suppliers offered unacceptable lead times and inconsistent delivery.”

    As the Acucote Application Development Team began the project, initial raw materials came with a large minimum order quantity (MOQ) and price tag. After additional research, Acucote was able to identify an alternative valued supplier with a reduced MOQ.

    Acucote ran successful trials and met Wayne Trademark’s requirements with its dissolvable DS1 adhesive and water-soluble Matte Litho facestock. DS1 is a water-based acrylic emulsion, mid-peel removable adhesive designed to dissolve in water. Specifically designed to be used in conjunction with dissolvable papers or films, it adheres well to metal, HDPE and other LSE plastics.

    This solution was an ideal fit for Wayne Trademark’s requirements. Burrow states, “It prints very well and our operators love the material. Most importantly, our customer is thrilled because our delivery times have now improved. Acucote provided us with shorter lead times and consistent supply on-hand to produce the product needed.”

    This dissolvable solution is, according to Burrow, one more example of Acucote’s benefits to Wayne Trademark. “They provide us with great lead times, innovation and responsiveness to our needs,” he adds.

    The long-term relationship with Acucote has allowed Wayne Trademark to have more customized solutions for their customers. In the future Burrow looks forward to partnering with Acucote to penetrate additional opportunities in household cleaning, piggyback products and food.

    As print has gone digital in the last several years, so has Wayne Trademark. Today, with flexo, offset and digital printing capabilities, Wayne Trademark can provide its customers with a variety of print products to meet their needs. With these broad capabilities, the company is able to focus on food and beverage, clothing, industrial, automotive, cleaning products and dairy label markets.
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