PRESS PACK October 8th, 2009

Plastic and Flexible Packaging: a Dynamic, Innovative Sector Ready to Bounce Back in 2010 The plastic & flexible packaging industry, a barometer for the economy as a whole, has been through a difficult time. Reflecting the global crisis, the sector’s 320 French companies (40,000 employees - €7 billion turnover in 2008), saw their business slump in late 2008 and early 2009. However, manufacturers are reporting that the market is stirring and some indicators are turning green, giving them cause for optimism for the second half of 2009 and, above all, pointing to a recovery next year. Two out of three firms expect their turnover and volumes to rise in 2010. The dynamic and innovative businesses in the flexible & plastic packaging industry have all the strengths needed to bounce back by providing solutions that meet market needs and expectations. For example, they have long been working to reduce the environmental footprint of their essential products for daily living.

Essential products highlighted on the Web Plastic & flexible packaging plays a role in our daily lives by protecting, carrying, measuring out or keeping safe the products we use. To remind consumers of this obvious but sometimes forgotten fact, ELIPSO is launching a humorous awareness campaign based on two videos put online from October 9th. The videos, available on YouTube, DailyMotion and elipso.org, are a fun, offbeat demonstration of the importance of plastic & flexible packaging in two high-consuming sectors: food and health & beauty.

Innovations serving the environment Since its invention – a major breakthrough in recent centuries, particularly for public health plastic & flexible packaging hasn’t stopped evolving. Thanks to their many innovations, manufacturers respond to changing lifestyles by offering products in line with consumers’ new expectations, especially in terms of protecting the environment. In the past 20 years, producers have cut the weight of plastic & flexible packaging by up to 70%. In addition to that reduction at source, the focus is also on recycling. Manufacturers have committed to increase the recycling rate of their packaging and are aiming for 35% in the medium term. The industry is also moving into new materials. By 2015, films and packaging should be 5-10% made from bioplastics, for instance.

5, rue de Chazelles 75017 Paris - France • Tel. 33 (0)1 46 22 33 66 • Fax 33 (0)1 46 22 02 35 • [email protected] • www.elipso.org SIREN 302 452 768

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Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Contents ELIPSO plastic & flexible packaging observatory p. 3

Plastic & flexible packaging: Market recovery expected in 2010 p. 4

Plastic & flexible packaging: Essential, innovative products p. 12

ELIPSO survey: Protecting the environment thanks to the vitality of plastic & flexible packaging firms p. 16

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Copyright © 2009 ELIPSO • Press pack • October 8 , 2009

Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

ELIPSO Plastic & Flexible Packaging Observatory Economic clout In 2008, the French packaging sector represented: • 320 companies, • 40,000 employees, • €7.03 billion turnover. ELIPSO has 130 member companies representing 75-90% of the plastic & flexible packaging market by turnover, depending on the sector of business.

Packaging: a wide range of products Plastic & flexible packaging comes in many forms: Bags
Barrels
Big bags
Blisters
Bottles
Bowls
Boxes
Buckets
Caps
Capsules
Cases
Closures
Containers
Crates
Cups
Drums
Flow pack films
Foil
Jars
Lids
Multilayer complexes
Multi-material films
Pallet boxes
Pallets
Pouches
Printed complex films
Pumps
Racks
Sachets
Sealing films
Seals
Sleeves
Stand-up pouches
Stays
Stretch and shrink films
Technical parts
Thermoforming sheet
Trays
Tubes
Valves…

A broad spectrum of customers Three-quarters of plastic & flexible packaging industry’s customers are in the food & agriculture business. The personal care/health/beauty and industry/transport sectors each represent almost half of customer firms. Finally, almost one-third of packaging firms’ customers make cleaning products. % d'entreprises 90% % of companies 73% 80% 70% 60% 50% 40% 30% 20% 10% 0% Food & agriculture

Agroalimentaire

49%

46% 32%

personal care/health/beauty

industry/transport

Hygiène/Santé/Beauté Industrie et Transport

cleaning products

Produits d'entretien 3 /22

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Copyright © 2009 ELIPSO • Press pack • October 8 , 2009

Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Plastic and flexible packaging: Market recovery expected in 2010 (Data from an ELIPSO survey conducted by I+C in August and September 2009)

Reflecting the global economic crisis, the plastic & flexible packaging industry experienced difficulties in 2008. In 2009, after a tough first half, ELIPSO expects a slight improvement in the second part of the year, with the upturn truly felt in 2010.

Business optimism over 2010 More than 2/3 of firms forecast growth in business in 2010 Companies have a favourable outlook: 65% expect their business to grow in 2010 vs. 2009, and 67% of them forecast an increase in turnover over the same period. Only 8% are banking on a decrease. Expected business volume trend(1) 80%

% 65%

60% 40%

29%

20% 6% 0% Hausse Up (1)

Stable Stable

Baisse Down

2010 vs. 2009

2008-2009: crisis years for plastic & flexible packaging, reflecting the global economic crisis Packaging: close correlation with the vitality of many industries The packaging market is closely linked to the activity of the food, cosmetic & fragrance, pharmacy, cleaning product, domestic equipment, industrial product and retail sectors. The fall in their output inevitably led to a slowdown in the plastic & flexible packaging business.

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Copyright © 2009 ELIPSO • Press pack • October 8 , 2009

Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Annual average trend 2006 - 2009 in output by manufacturing industry and the food, pharamacy, fragrance, soap and cleaning product sectors Sources: National, INSEE - index-based

15,0

Annual Average, %

10,0 5,0

00 9 al f2 1s th

-5,0

20 08

20 06

20 07

0,0

-10,0 -15,0 Year

Manufacturing output

Food

Pharmaceuticals

Fragrance, soap and cleaning products

For all the sectors represented by ELIPSO, business was buoyant in 2008 until the 3rd quarter. Activity slowed from the 4th quarter. Companies’ turnover continued to slide during the first half of 2009, losing 14% from the first half of 2008. Shipment volumes also decreased by 10% compared with a year earlier. (1)

%%change d'évol.

(1) in turnover EvolutionChange du chiffre d’affaires

0%

-1% -5% -5% -10% -15% 4T08 Q4 2008

-14% 1er semestre 1st half 2009 2009

Année 2008 Full-year 2008 (1) (1) Changedes intonnages shipped tonnage Evolution livrés

% change

% d'évol.

0% -2,5%

-5% -5,5% -10%

-10% -15% 4T08 Q4 2008 (1)

Année Full-year 20082008 st

1er semestre 2009 1st half 2009 st

Q4 ‘08 / Q4 ‘07 and Full-year 2008 / Full-year 2007 and 1 half 2009/ 1 half 2008

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Copyright © 2009 ELIPSO • Press pack • October 8 , 2009

Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Exports account for 30% of turnover Export turnover represents 30% of total sales by plastic & flexible packaging companies. In 2008, export sales decreased 1% over the full year. During the first half of 2009, export turnover evolved in line with total sales, falling 13% compared with the same period in 2008 2008.

Change(1) in export turnover

Share of export turnover in total turnover

% change

% d'évol. 0% -1%

30%

-5%

-10% -13%

-15% Full-year 2008

1st half 2009

Année 2008

1er semestre 2009

Impact on workforce During the first six months of 2009, employee numbers (open-ended, fixed-term and agency contracts) in the sector fell 7% compared with the first half of 2008. More than a quarter of companies set up part-time working during the period. Slightly over one-tenth of firms had to make economic redundancies. Change(1) in employee numbers (base: total open-ended, fixed-term and agency contracts) 1st half 2008 vs. 1st half 2009 0% -2%

% -1%

-4% -6% -8% -10%

-7% Full-year 2008

1st half 2009

Année 2008

(1)

1er semestre 2009 st

st

Change in employee numbers, full-year 2008 vs. full-year 2007 / 1 half 2009 vs. 1 half 2008

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Copyright © 2009 ELIPSO • Press pack • October 8 , 2009

Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Difficult access to finance During the first half of 2009, one-quarter of firms reported difficulties in obtaining shortterm finance from banks and almost one-third for medium-term funding. Three-quarters of businesses experienced a reduction in their credit insurance coverage during the first six months of 2009.

Plastic & flexible packaging affected by fluctuating, rising raw material prices Sharp rise mid-2008 Plastic & flexible packaging manufacturers are hit by the constant instability yet upward trend in raw material costs. In July 2008 , firms experienced a sharp rise in prices just as economic activity began to slow. Change in Plastic Prices, January 2008 - September 2009 1,900

1,500

Crystal PS

1,300

Copolymer PP PET

1,100

LDPE 0,900

Blow-moulding HDPE '0

Se

pt

ly

'0 Ju

ay

9

'0 9

9

9 '0 M

M

ar ch

n

'09

'0 8 Ja

v No

pt

'0

8

'0 8 Se

Ju

ly

'0

8

8 ay M

ar '0 M

n'

08

0,700 Ja

€ /Kg

1,700

Month

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Copyright © 2009 ELIPSO • Press pack • October 8 , 2009

Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Slower yet significant capital expenditure In line with a harsh economic climate, capital expenditure decreased significantly in the first six months of 2009: down 24% compared with the same period in the previous year, as a direct result of financing difficulties. However, the sector’s capital expenditure rate of 5% remains significant. Change(1) in capital expenditure % %change d'évol.

0% -2% -10% -20% -24%

-30% Full-year 2008

Année 2008

1st half 2009

1er semestre 2009

(1) Change between full-year 2009 and full-year 2008

Change in capital expenditure in plastic & flexible packaging M€ 500 450 400 350 300 250 200 150 100 50 0 2006

2007

2008

Forecast 2009

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Copyright © 2009 ELIPSO • Press pack • October 8 , 2009

Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

2009: encouraging indices After a difficult first half 2009, with a sharp slump in the packaging business – turnover down 14%, shipments down 10% - many indicators give manufacturers cause for optimism over the 2nd half.

Difficulties easing off in 2nd half 2009 The sector’s companies have a more optimistic outlook than six months ago. Half of firms expect business to be stable or even improve in both value and volume terms in the second half. One-third predict a return to stability and one-quarter see an upturn.

Expected change(1) in volumes (average)

70%

%

60% 46%

50% 40%

Overall, they are likely to experience a limited decrease in shipments (-2%) total turnover (-3%) and export turnover (-2.5%).

30%

31% 23%

20% 10% 0%

Up Stable Down For 2009 as a whole, the sector should Hausse Stable Baisse post a fall in turnover limited to 9% compared with 2008. Similarly, volumes are likely to decrease, but to a lesser extent (6%).

(1)

nd

nd

Change between 2 half 2009 and 2 half 2008

Stable gross margin for packaging firms For packaging sector companies as a whole, the gross margin averaged 42% in the first half of 2009, on a par with 2008 (Gross margin rate = gross margin/turnover).

Improved cash position in September During September 2009, almost three in five companies were able to keep up a slightly positive cash balance. Almost two-thirds reported an improvement in their cash position compared with the end of 2008.

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Copyright © 2009 ELIPSO • Press pack • October 8 , 2009

Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

CASH POSITION Cash balance, September 2009 60%

%

57%

50% 40% 26%

30% 20%

10%

7%

10% 0% Très positive Very positive

Plutôt Fairlypositive positive

Plutôt négative Fairly negative

Très négative Very negative

Change in cash position vs. 31/12/08 37%

63%

Worsering En dégradation

(1)

Improving En amélioration

st

st

Change in capital expenditure full-year 2008 vs. full-year 2007 and 1 half 2009 and 1 half 2008

Inventories at normal levels in mid-2009 As on June 30th, 2009, almost seven in ten companies judge that their inventories are at normal levels. 22% of them judge that they are slightly higher than normal and 10% say the opposite. This shows that firms have maintained a level of business enabling them to have reasonable inventory so that they can respond to any upturn in demand. 70%

%

68%

60% 50% 40% 30%

22%

20%

10%

10% 0% Higher normal Plusthan élevé

Same as normal Conforme

que la normale

à la normale

Lower than normal Plus faible

que la normale

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Copyright © 2009 ELIPSO • Press pack • October 8 , 2009

Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Stabilising workforce As regards employment trends, almost three-quarters of firms judge that they can keep their workforce on a comparable level in the second half of 2009. Fewer than three companies in ten (28%) expect to have to use part-time working in the second half of 2009.

Expected change(1) in workforce 70%

%

70%

60% 50% 40% 26%

30% 20% 4%

10% 0%

Hausse Increase (1)

nd

Stable Stable

Baisse Decrease

nd

Change from 2 half 2008 to 2 half 2009

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Copyright © 2009 ELIPSO • Press pack • October 8 , 2009

Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Plastic & flexible packaging: Essential, innovative products A viral marketing campaign to remind consumers of packaging’s crucial everyday functions Plastic & flexible packaging has made a major contribution to progress over the past 100 years, on a par with canned food or the refrigerator. It delivers essential features, with first and foremost a public health role by protecting content and avoiding contamination. But packaging has many other functions: • keeping, • dosage, • ensuring safety, • information, • transport, • convenience, etc. • traceability,

ELIPSO generates online buzz ELIPSO has decided to broadcast two short films (51” and 1’17”) to remind consumers how useful and indispensable packaging is in their daily lives. The funny videos take an indirect approach by talking about packaging without showing it. The different sequences prove the essential role of packaging by giving us a glimpse of life without it. One of the videos deals with food packaging and the other with products for personal care and cosmetics. The two films will be released from October 9th, www.elipso.org, YouTube and DailyMotion. Film summaries In the supermarket (1 min. 17”): we follow a man as he does his shopping in a supermarket with no packaging on the shelf. From sneezed-on grated cheese that you have to pick up by hand and carry in your pockets to ham draped over the side of the trolley… Without packaging, the store has more than a few hygiene issues. In a flat (51 sec.): a young woman is getting ready to go to work. She tries to shower, put perfume on and make up her face without the slightest packaging. A succession of “delivery men” bring her the products just as she needs them. Without a bottle, she’s sprayed with shower gel from a water pistol; without a spray, she sprinkles perfume over herself; without a tube, she has to put on lipstick with her fingers, etc. The result of her packaging-free makeup session is surprising, to say the least.

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Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

An innovative sector in tune with consumer expectations With constant innovations in terms of materials, processes and eco-design, plastic & flexible packaging producers can offer relevant responses to consumers’ needs. Plastic & flexible packaging saves time and improves service and efficiency. Moreover, producers innovate to prevent waste while respecting the product, ensuring consumer safety and factoring environmental concerns into every stage of the packaging lifecycle. Whether for the food, fragrance/cosmetics or cleaning product sectors, packaging manufacturers develop a wide range of innovative solutions to meet the needs of consumers or industrial and commercial packaging users.

Service and speed are food industry priorities Packaging adapts to constantly evolving lifestyles to make consumers’ lives easier. Innovations in the food sector deliver many benefits, including: •

Greater speed and convenience: prepared meal trays can now be used to cook and serve. They go from the fridge to the microwave, stay cool when the food is reheated and no longer have to be perforated.

•

More service and reusability: new, reusable cooking bags can be used for healthy steaming and in toasters, microwaves and grills.

•

Easier mobility: 2-in-1 bowls for salads or ready-made dishes with a fork built into the lids

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Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Respect for the product, accurate dosage: Essential features for fragrance/cosmetics Cosmetics and perfumes have special demands. Packaging in these sectors has to prevent waste, keep products intact and hygienic and, increasingly, meet new expectations such as doing away with preservatives. Here are some major innovations that satisfy specific needs. •

No preservatives: tubes with sterile distribution systems do away with the need for preservatives.

•

No need for secondary packaging: tamper-proof capsules for shower gels, making secondary packaging unnecessary.

•

Easier handling, less waste: sprays for hair or body products require less pressure so less effort with the fingers, with a built-in safety button to avoid spillage.

•

Hygiene, respect for the product and eco-design: samples guarantee total hygiene as there is no contact between the product and the spring or automatic closure. Optimum product delivery is guaranteed with every use. Moreover, these packaging solutions contain 50% fewer parts and are entirely made from recyclable materials.

•

Accurate, fast, convenient and fun dosing: roll-ons for around the eyes or twist applicators for the lips or foundation are a fun and convenient solution that delivers the right amount in one go.

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Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Innovative products serving everyone, from manufacturers to consumers Plastic & flexible packaging delivers a solution at every stage in the chain: logistical packaging (pallets, crates, etc.) enables manufacturers to deliver, track and even preserve products through to the point of sale. Moreover, the packaging can be reused and recycling and sometimes even contains recycled material itself. Some innovations by packaging manufacturers, such as those that extend use-by dates, have the dual advantage of benefiting both the consumer and, upstream, the product’s maker. Others, for example thickness reduction, also enable the packed product’s manufacturer to rationalise production, reduce transport and so protect the environment better. In BtoB, packaging types like drums and containers contribute safety, traceability and recyclability. Plastic & flexible packaging is also especially relevant to the catering sector, with solutions in terms of preservation and preparation, for instance for readymade dishes, sauces, etc.

Advantages throughout the logistics chain Packaging is carefully designed to meet the needs of manufacturers and distributors. Recent progress includes: •

Product tracking and keeping, reutilisation of logistics packaging: plastic crates integrated into return management systems (e.g. fruit and vegetable) provide for an 86% fill rate and high performance in terms of folding and unfolding, identification and, above all, product protection, ventilation and preservation.

•

Relevance to the needs of the chain and reuse: reusable pallets are suited to the entire logistics chain from manufacturer to point of sale. They are also ergonomic, strong and easy to repair and recycle.

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Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

ELIPSO survey: Protecting the environment thanks to the vitality of plastic & flexible packaging firms Today’s plastic & flexible packaging sector is a pioneer in the search for solutions for developing a strategy and practical actions in favour of the environment. Manufacturers of essential products for daily life – such as packaging - have long been aware of the need to reduce their environmental impact.

ELIPSO survey: more than 8 out of 10 firms target reduction at source The results of the survey conducted by ELIPSO among its members show that 85% of firms have reduced the weight of their packaging. Annual decreases average around 2-3%, in addition to the very substantial weight cuts achieved in the past 20 years.

750,000 tonnes of CO2 saved in 2008 These efforts enable them to reduce packaging’s environmental footprint by cutting the amount of plastic used. In the past 5 years, this represents 263,000 tonnes of plastic reduced at source, i.e.: •

The equivalent of the annual household waste production of 672,000 inhabitants – more than for a city like Lyon,

•

Savings of approximately 750,000 tonnes of CO2, equivalent to the annual emissions from 360,000 cars.

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Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

A wide range of innovations to protect the environment To act on the reduction of packaging at source, firms use three main levers. Process control: • Optimising production by using new machines. • Improving production equipment settings. Eco-design: • • •

Computer-aided design (CAD) and reduction simulation. Reducing film thickness by up to 20%. Reducing packaging wall thickness: optimised stacking for trays, weigh reduction.

Technical or technological evolution: • Reducing the weight of closures by up to 25% by redesigning head/closure interaction. • Switch from multi- to mono-layer.

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Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Packaging weight reduction: up to 70% cut in 20 years The plastic & flexible packaging industry began working to reduce its products’ weight long before the 1998 French law on eco-design and, more specifically, reduction at source. Packaging weight has been cut substantially to achieve outstanding weight/content ratios. In 20 years, plastic & flexible packaging products have reduced their weight by 30 to 70%. Ratio Weight 20 years ago

Weight today

Reduction at source

Container

Content

Checkout bag

24 g

5.5 g

-77%

5.5 g

10 kg

125g yoghurt carton

5.8 g

3.5 g

-40%

3.5 g

125 g

1.5 L bottle of water

40 g

23 g

-42.2%

23 g

1.5 Kg

Mineral water cap

3.1 g

1.35 g

-56%

Bag for fresh ready-to-use vegetables

20 g

3.5 g

-82%

3.5 g

5 kg

1kg bag for frozen vegetables

12.65 g

7.5 g

-37.5%

7.9 g

1 kg

Cooked dish tray

40 g

23 g

-40%

23 g

300 g

Barrel (20L)

1.2 kg

900 g

-25%

900 g

38 kg

EPS fish crate

100 g

87 g

-13%

87 g

3 kg

Loose grocery bag

15 µ

9µ

-40%

Carbon footprint already assessed by 45% of firms ELIPSO surveyed: • •

15 carbon footprint assessments by member companies (87% with Ademe methodology). 10 or so carbon footprint assessments planned from 2009.

ELIPSO qualified a team of 4 Ademe-approved experts to extend this carbon footprint policy.

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Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

ELIPSO: a 4-point environmental process Wits its manufacturer members, ELIPSO has committed to an environmental process organised along 4 main lines: •

No plastic & flexible packaging sent to landfill so greater recovery,

•

Development of recycling/composting: achieve 35% in medium term (2008 legal obligation: 22.5%),

•

Energy recovery: to be implemented when recycling is technically, environmentally or even economically unsuitable.

•

Eco-design: to reconcile reduction at source and good packaging recyclability.

Eco-design: the future of packaging Eco-design is an integral part of the sustainable development strategy for plastic & flexible packaging companies. It is: • A crucial process (French environmental law). • An innovation approach. • Comprehensive work on weight reduction and planning for end-of-lie recovery (created by CoTREP, the technical committee for plastic packaging recycling). • A contribution to waste reduction. • A way of reducing overall environmental impact, including carbon footprint. • A way of saving resources.

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Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Eco-design: a constant challenge Innovation drives reduction at source by avoiding compromise over functionality, while maintaining packaging performance and user service. Producers are striving for prevention through their Research & Development by acting on: •

Manufacturing process control.

•

Design / work on shapes: optimising packaging in relation to “product” volume. This is joint work by the filler, the packaging maker and the designer.

•

Optimisation is now part of a wider process:  Raw materials  Mould  Mechanisation on filler/customer site  Designer  All packaging: primary – secondary – tertiary  New packaging solutions.

Recycling: 15 years of industrial commitment The industry has developed the recycling of its plastic packaging and films for 15 or so years. Over the past 10 years, the number of jobs created in the recycling industry is estimated at 4,000. Manufacturers are seeking to increase the recycling rate of their packaging with a medium-term target of 35%. In 2001, packaging professionals set up CoTREP, the technical committee for plastic packaging recycling, in partnership with Eco-Emballages and Valorplast. The committee studies the feasibility of packaging recycling and provides all the information needed to market packaging with high recycling performance. How can the recycling rate of household packaging be increased in the current system? • How can citizens be motivated to sort plastic bottles better? 1 in 2 is sorted and recycled (great disparity between types of housing and regions). •

In 2008, ELIPSO announced technical studies on film recycling. These enabled the technical feasibility of their recycling to be stabilised.

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Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

ELIPSO and recycling The actions carried out by packaging manufacturers in favour of recycling not only help to achieve regulatory recycling goals but also make a decisive contribution to: • • • •

Increasing and developing the recycling of plastic packaging to reach 35%. Using fewer oil resources. Continuing the development of a local-based, job-creating recycling industry. Recycling in a closed loop (back to packaging) and/or an open loop (non-packaging applications).

Practical illustrations of recycling

hdPE: high density polyethylene; PET: polyethylene terephtalate Source: Valorplast

60 recycling sites for industrial and commercial packaging In 1992, to ensure their industrial and commercial packaging is recovered or reused, professionals set up several structures: Ecofut, Eco PSE and Recyfilm. These three complementary streams were created to process packaging types according to their specificities (materials, content, resources, etc.). Ecofut organises the recovery of industrial and commercial packaging like buckets, drums, barrels and containers, etc. Recyfilm processes industrial films such as pallet wraps and sacks. Finally, Eco PSE’s mission is to promote and organise recovery streams for expanded polystyrene packaging. A network of approximately 40 sites across France recycles EPS packaging.

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Plastic & flexible packaging: A dynamic, innovative sector ready to bounce back in 2010

Energy recovery Energy recovery mainly concerns small, lightweight soiled packaging for which sorting is technically and/or economically unsuited to recycling. Combustible packaging waste is used to produce energy by direct incineration, with or without other waste but with heat recovery. The recuperated energy can be used for urban heating or electricity production. ELIPSO’s policy: energy recovery should be implemented when recycling is not technically, environmentally or even economically suitable.

Bioplastics: 5-10% of film and packaging by 2015 Diversifying raw material resources to produce tomorrow’s packaging is a goal for plastic and flexible packaging manufacturers. Materials of renewable origin could account for 5 to 10% of packaging and film by 2015. Green chemistry will result in new materials that should meet all the demands for packaging function (hygiene, food safety, keeping, etc.). Plastics from renewable resources are already on the market but entail some constraints: – Low available quantities – Limited technical characteristics – Price Use of bioplastics in packaging will grow as and when available quantities increase and their costs can be controlled. Manufacturers are supporting their development in order to be ready in 2015.

ELIPSO press office: ADOCOM Tel.: +33 (0)1.48.05.19.00 – [email protected] ELIPSO press office: Carole CARPENTIER Tel: +33 (0)1.46.22.02.27 – [email protected]

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