EU Bans Harmful Chemicals in Packaging, Small Businesses Scramble

What has changed?

In an effort to reduce waste and improve public health, new European Union (EU) rules came into force on Wednesday (12/08), banning high levels of PFAS chemicals in food packaging. PFAS are a group of man-made chemicals that are highly stable and do not easily break down in nature, earning them the nickname ‘forever chemicals’.

Under the Packaging and Packaging Waste Regulation (PPWR), all new packaging products entering the market must now meet stricter standards if they are designed to come into contact with food.

PFAS have been linked to an increased risk of certain cancers and various other health conditions. Although the level of exposure from food packaging is usually low, scientists are concerned about the long-term effects.

PFAS are highly persistent chemicals that accumulate in the body and the environment.

PFAS are used to make paper and cardboard packaging resistant to grease and water, and can be found everywhere, from pizza boxes to ready-to-eat frozen meals.

Packaging with lower PFAS content reduces the risk of these chemicals migrating into food or the environment when disposed of.

The new rules complement restrictions on Bisphenol A (BPA) in food contact materials, which came into force across the EU last month.

Under the PPWR, businesses are not required to withdraw or destroy packaging or goods already on the market before this Wednesday.

Although consumers will not notice any difference, businesses have sharply criticised the change, which also requires packaging to meet new sustainability standards.

Are the new packaging rules too complicated?

Many small businesses and online traders consider the additional costs and new bureaucracy to be overly burdensome.

They complain about the obligation to register packaging in several EU countries, which often comes with fees.

‘Instead of making cross-border trade easier, the new rules threaten to make it far more difficult,’ said Händlerbund, a German online retailers’ association.

Händlerbund warned its members: ‘There is no minimum threshold and no exemption for small businesses.’

Member of the European Parliament Elisabeth Dieringer of the far-right Freedom Party of Austria (FPÖ) warned that the PPWR could mean five-figure costs for medium-sized companies.

‘While large companies have their own departments to deal with this, medium-sized businesses have little choice but to “eat or die,”’ she wrote on X.

A number of businesses, from individual traders to medium-sized companies, have said they are stopping shipments to and within the EU due to the new rules.

‘Under these rules, I have to appoint an authorised representative in every EU country I ship to,’ wrote the owner of small online shop Monstaas Workshop on Instagram.

‘It costs around 300 euros (about Rp4.9 million) per country per year… this cost is truly unaffordable.’

Swedish skateboard manufacturer iLabs Electronics announced it would stop taking orders from EU countries through its online shop.

‘The costs and administrative burden of the PPWR are now disproportionate to our direct sales volume,’ iLabs wrote on its website.

A petition on change.org had been signed by almost 45,000 people by Wednesday morning, urging Brussels to ‘stop destroying EU micro-businesses.’

How severe is the EU’s packaging waste problem?

According to the European Commission, EU countries recorded a 20% increase in packaging waste over the past decade.

Without the PPWR, Brussels estimates packaging waste would rise by a further 19% by 2030, driven by the boom in online shopping and ready-to-eat food.

EU data shows that 178 kilograms of packaging waste was generated per person across the bloc in 2023. Of that amount, 35.3 kilograms was plastic packaging, and only 42% was recycled.

At 215 kilograms per capita in 2023, Germany’s packaging waste was well above the EU average.

Every EU citizen generates the equivalent of around half a kilogram of packaging waste every day, according to data from Eurostat, the EU’s statistical agency.

According to Brussels, waste volumes have grown faster than recycling rates over the past decade.

Packaging also accounts for around 40% of plastic consumption in Europe, an EU official told reporters in a briefing on Tuesday (11/08).

What are the EU’s long-term goals on waste?

While PFAS is the main focus of this initial phase of the PPWR, the EU has set binding targets to reduce packaging waste by 5% by 2030 and 15% by 2040.

From 2028, packaging producers will be required to include a standard label clearly indicating the materials used and how to recycle or dispose of them.

Certain types of businesses, especially restaurants and cafés, will be required to offer reusable packaging to customers, often at no additional cost.

Deposit schemes for plastic bottles and drink cans, such as those already operating in Germany and the Netherlands, will be rolled out across the EU by 2029.

From 2030, all packaging entering the EU market, including single-use plastic bottles, must be designed to be recyclable.

Packaging must also be minimised according to product protection needs and function, to reduce excessive packaging used for marketing purposes.

Meanwhile, single-use plastic packaging for fresh produce will be banned from 2030.

EU countries may set their own sanctions for violations, with German authorities allowed to impose fines of up to 200,000 euros for more serious breaches.