Is the EU packaging regulation in danger of failing?

Werner & Mertz defends itself against political bartering

It sounds like something from a bad film. The EU packaging regulation could fall victim to horse-trading par excellence. According to media reports, the German FDP has offered to block the planned Packaging and Packaging Waste Regulation (PPWR) for Italy in trade for Italy’s blocking of the EU supply chain act.

If this foul bartering deal goes through and the PPWR cannot be passed in this legislative period, the effects on the entire value chain of the circular economy would be fatal. The brand manufacturers which are the largest distributors of packaging would be affected.

This “deal” has been strongly criticized by all participating business groups. According to an article in the Handelsblatt, (Verpackungsverordnung: Industrie kritisiert Ärger um Plastikverpackungen (handelsblatt.com)) warnings about the potential failure of the regulation have come from several large food, cosmetics and detergent manufacturers and associations, including the Dr. Oetker Group, Melitta and the Packaging and Environment Working Group (AGVU), to which industry giants like Nestlé belong.

The Mainz cleaning products manufacturer Werner & Mertz clearly stated in the Handelsblatt article: “Lindner has done the opposite of what would be good for the German business environment,” in a quote from Werner & Mertz owner Reinhard Schneider. The head of the family business has also written a letter directly to the Finance Minister Christian Lindner in efforts to prevent the impending blockade.

The EU packaging regulation, whose passage should be imminent, is the result of years of complex, demanding coordination. It is intended to create a uniform legal framework for the entire EU in which to develop further the high-quality energy-conserving and climate- protecting recyclability of packaging and the use of recyclate. Among other things, the regulation should set requirements for the recyclability of packaging and recyclate use. Werner & Mertz also has participated regularly in consultations in Brussels to contribute the perspective of a medium-sized family business.

“In the compromise made there, we see the foundation for urgently needed planning certainty for investments and innovations. If this long-negotiated compromise is not realized, investments in jobs and employment will be lost as they would have to be given up in a highly competitive environment without planning certainty,” Schneider wrote in his letter to Lindner.

Read the full letter here (in German).