EU packaging rules: Why small firms are sounding the alarm

Starting on Wednesday, new European Union regulations come into force, limiting the presence of PFAS chemicals, also known as forever chemicals, in packaging. These rules are part of the Packaging and Packaging Waste Regulation (PPWR), which aims to enhance public health and diminish waste. PFAS are found in numerous products, from pizza boxes to TV dinners.

The EU is implementing stricter standards, demanding packaging to be in contact with food meet new sustainability criteria. While the impact on consumers will be minimal, small businesses and online traders are voicing significant concerns. Many complain about the additional costs and bureaucratic hurdles, such as registration in multiple EU states, which they find onerous.

Händlerbund, a German online retailers' association, emphasized that there are no exemptions for small businesses, potentially leading to substantial financial burdens. EU lawmakers have highlighted that these new rules could result in costs exceeding 5 figures for medium-sized firms. Some companies have already ceased operations within the EU due to these challenges.

Small business owners have expressed their inability to afford the associated fees, with some even pausing deliveries to the EU. A petition initiated on change.org has gathered over 45,000 signatures, urging Brussels to prevent the erosion of micro-businesses. The European Commission, the executive body of the EU, has noted a 20% rise in packaging waste over the past decade, primarily due to the surge in e-commerce and convenient food options.

The current waste generation per person is 178 kg annually, with only 42% of plastic packaging being recycled. The EU aims to reduce packaging waste by 5% by 2030 and 15% by 2040, alongside mandatory standardized recycling labels for packaging manufacturers. Other measures include the adoption of reusable packaging options and a ban on single-use plastic packaging for fresh produce by 2030.