What it takes to get sustainable packaging right for a circular future in cleaning and hygiene
As the European Union moves closer to enforcing its new rules on packaging and waste, companies in the cleaning and hygiene sector are under growing pressure to rethink how they design, produce, and recover materials. By 2030, all packaging on the EU market must be recyclable or reusable in a way that works in practice and makes financial sense.
This transition demands a more strategic view of packaging, one that sees it as part of a broader system of accountability and resource efficiency. While many companies remain in the exploratory phase, others like Werner & Mertz have turned ambition into measurable progress. The company behind the Frosch brand has earned recognition for making circular design central to its operations. Producing over one billion bottles from post-consumer household waste offers clear proof that circularity is a viable and scalable business model. It’s a milestone few others in the space have reached, particularly as many manufacturers step back from recycled content due to cost and supply constraints.
Circular ambition needs economic reform
The packaging industry is under pressure to turn circularity from ambition into action. Years of pilots and pledges have signalled intent, but structural change remains elusive. What’s needed now is a system that rewards long-term value over short-term cost-cutting.
Businesses aiming to embed circular principles often step in where suppliers fall short, initiating change at the source to ensure packaging aligns with environmental goals. Yet the current economic system makes unsustainable choices more profitable. Industry experts like Timothy Glaz, Head of Corporate Affairs, Werner & Mertz have stressed that until financial levers shift, the market will favour waste over progress. Virgin plastic, for example, remains less expensive than recycled alternatives due to fossil fuel subsidies and outdated tax frameworks. In Germany, virgin plastic producers receive energy tax breaks, while recyclers pay full rates. This imbalance skews the market and discourages circular investment.
Correcting these distortions requires deliberate policy intervention. Werner & Mertz calls for greater structural change: a tax on virgin plastic, the end of fossil fuel subsidies for polymer production, and targeted financial incentives to reward companies using recycled content. Only with progressive reforms can we accelerate the transition towards a truly circular economy.
Stronger policy is the missing link
Despite growing momentum and clearer economic signals, the system will not shift without consistent regulatory support. The EU's Packaging and Packaging Waste Regulation (PPWR), which aims to harmonise requirements and drive higher reuse and recycling rates, is a move in the right direction. However, uneven rollout across member states is undermining its potential.
Some countries, like Spain and the UK, have introduced plastic taxes. Others, like France, have robust paper rules but limited enforcement. This fragmented environment creates friction for companies operating across markets, adding compliance burdens and slowing the scale-up of sustainable solutions. Extended Producer Responsibility (EPR) illustrates the pitfalls of inconsistency. While the concept that producers must take responsibility for packaging waste is broadly supported, implementation varies. Too often, EPR schemes prioritise cost recovery over incentives for better packaging design, infrastructure, or secondary material markets. And without demand for what’s collected, even strong recycling systems fall short.
Glaz notes that greater legislative expertise on the complexities of circular economy is key to shaping market conditions that support wider adoption of sustainable practices and close the loop. For EPR to have full impact, it must incentivise recyclable packaging, invest in efficient collection and sorting, and ensure recycled materials are turned back into useful products.
Werner & Mertz exemplifies how circular principles can be put into practice. Their mono-material refill pouches and spray heads are built to last through multiple reuses before recycling. Beyond packaging, they have also reformulated products to eliminate the need for hazard labels and replaced palm oil with more sustainable alternatives like linseed or olive oil. However, circularity cannot succeed in isolation; scaling it demands policies that unite market forces around sustainability.
Rethinking standards, digitalisation, and the role of industry
Infrastructure and incentives may enable recycling, but they don’t guarantee a circular system. Businesses need a common framework, shared definitions, and a consistent understanding of what sustainability means in practice. In a market full of green claims, certifications like EMAS or Cradle to Cradle help build trust.
But across the industry, there’s a shift from symbolic validation to operational proof. Labels reinforce progress, but can’t substitute for action in product design, sourcing, and end-of-life planning.
Digitalisation holds significant potential to accelerate circularity, only if built on shared standards. Without this, even advanced tools may cause inefficiencies. Initiatives like the Digital Product Passport (DPP) could revolutionise transparency, offering insights into material flows, recyclability, and reuse. But misaligned definitions of terms like “recyclable,” “circular,” or “waste” undermine the reliability of that information.
While establishing common ground is essential, real momentum comes from leadership. A persistent myth in sustainability is that consumer demand alone drives transformation. In practice, behavioural shifts often follow regulation and innovation. Companies waiting for the market to lead may be left behind. “We invest in change not because it’s demanded, but because it’s necessary, and because leadership builds long-term value,” says Glaz.
What’s next?
Pressure on businesses to deliver results is intensifying. Climate impacts are accelerating, regulations tightening, and scrutiny growing. This, Glaz argues, may create space for smaller businesses agile enough to adapt and authentic enough to earn trust. Regional sourcing, local production, and shorter supply chains are becoming both climate-smart and commercially strategic.
Ultimately, circularity means designing every aspect of your operation, from supply chain and packaging to products and partnerships, around a model that prioritises long-term value. It requires investment, partnerships, and often going first without a roadmap. But it works. A billion recycled bottles and rising market share show that bold moves pay off. As others in the hygiene and cleaning sector still grapple with meeting EU sustainability targets, Werner & Mertz shows that the future belongs to those building smarter, circular systems today.
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