SEE Launches Compostable Protein Packaging Tray at IPPE 2024

Rhea-AI Summary

SEE (NYSE: SEE) has developed a biobased, industrial compostable tray for protein packaging to replace EPS trays traditionally used for fresh poultry and red meat. The tray is USDA-certified as having 54% biobased content derived from renewable wood cellulose and is designed to break down into organic material without leaving toxic residue. It will be introduced at the International Product & Processing Expo (IPPE) and has undergone extensive testing to ensure performance and stability equivalent to EPS trays. The tray is certified as industrial compostable and soil and marine biodegradable, aligning with SEE's broader commitment to sustainability.

Positive

• The biobased tray offers a sustainable alternative to traditional EPS trays for protein packaging.
• It is USDA-certified as having 54% biobased content derived from renewable wood cellulose.
• The tray is designed to break down into organic material without leaving toxic residue.
• It has undergone extensive testing to ensure performance and stability equivalent to EPS trays.
• The tray is certified as industrial compostable and soil and marine biodegradable.
• SEE has a broader commitment to sustainability, including designing recyclable or reusable packaging solutions and collaborating on recycling technology and infrastructure.

Negative

• None.

Insights

Environmental Sustainability Expert

SEE's introduction of the CRYOVAC® brand compostable overwrap tray represents a significant step towards sustainability in the packaging industry. This innovation addresses two critical environmental issues: the reduction of non-biodegradable waste and the need for packaging solutions that align with the increasing demand for sustainability from both consumers and regulatory bodies.

Traditional EPS foam trays are widely criticized for their environmental footprint, as they do not break down in landfills and are difficult to recycle. SEE's tray, being biobased and compostable, offers a solution that can significantly reduce the environmental impact of food packaging. The tray's ability to integrate into existing food processing equipment without requiring additional adjustments is crucial for adoption, as it minimizes the barrier to entry for food processors looking to switch to more sustainable packaging options.

Furthermore, the certification by TÜV Austria for soil and marine biodegradability indicates that the tray, if it were to end up in natural environments, would not contribute to the growing problem of plastic pollution in these ecosystems. This could appeal to environmentally conscious consumers and companies aiming to bolster their sustainability credentials.

Market Research Analyst

The market for sustainable packaging is experiencing rapid growth, driven by consumer awareness, regulatory pressures and corporate sustainability targets. SEE's launch of a compostable tray is a strategic move to capture market share in this expanding field. By introducing the product at the International Product & Processing Expo, SEE is targeting industry stakeholders directly, showcasing their commitment to innovation and sustainability.

Given the increasing scrutiny on corporate environmental practices, SEE's sustainability commitments could be a strong differentiating factor in the competitive landscape of packaging solutions. The company's focus on recyclable and reusable packaging, along with their efforts to incorporate recycled or renewable content, positions them favorably in the eyes of investors who are increasingly considering environmental, social and governance (ESG) factors in their investment decisions.

It is also worth noting that SEE's sustainability efforts, as detailed in their Impact Report, could lead to operational cost savings in the long term through reductions in energy, water intensity and greenhouse gas emissions, which may positively affect their financial performance.

Supply Chain Analyst

From a supply chain perspective, the adoption of SEE's compostable trays could lead to changes in the way food processors and retailers manage their packaging disposal. The potential shift from traditional waste management to industrial composting facilities would require collaboration with waste management companies to ensure the infrastructure is in place to handle these materials appropriately.

Moreover, the transition to compostable packaging may influence the entire supply chain, from sourcing of biobased materials to distribution. The use of renewable wood cellulose suggests a shift towards more sustainable raw material sourcing, which could impact the forestry industry and associated markets. However, it is essential to ensure that the sourcing of these materials does not lead to unintended environmental consequences, such as deforestation or habitat destruction.

The resilience of the trays in extreme temperatures and demanding shipping environments also indicates that SEE has considered the logistical aspects of supply chain management, ensuring that the new materials do not compromise the integrity of the packaged goods during transportation and storage.

Sustainable Retail Packaging Solution Replaces EPS On Processor Production Lines

CHARLOTTE, N.C., Jan. 29, 2024 /PRNewswire/ -- In its continuing pursuit to develop packaging materials that meet the sustainability goals of its customers, global packaging solutions provider SEE (NYSE: SEE) has developed the first biobased, industrial compostable tray for protein packaging that has been successfully tested to meet the demands of existing food processing equipment.

SEE's new CRYOVAC^® brand compostable overwrap tray is made from biobased, food-contact grade resin, which is USDA-certified as having 54% biobased content chemically derived from renewable wood cellulose. The tray, which will break down into organic material without leaving toxic residue, was created as an alternative to those made from expanded polystyrene (EPS), which are traditionally used to package fresh poultry and red meat for consumer purchase but are not biodegradable or recyclable.

Setting a new sustainability standard, SEE will introduce the CRYOVAC^® brand compostable overwrap tray at the International Product & Processing Expo (IPPE) January 30 – February 1 at booth C31141. IPPE, the world's largest poultry and egg, meat, and animal food industry event, is held each year in Atlanta.

Proven Strength and Certified Compostable 

Developed to offer the same performance and stability as EPS foam trays, SEE's lightweight tray underwent extensive trials across the food value chain where it survived rigorous manufacturing systems, extreme temperatures, and demanding shipping and distribution environments without breaking, cracking, or leaking.

The tray has been tested (without added components such as the overwrap film, pad, label, or sticker) and  certified by BPI to be industrial compostable, meaning it can be broken down by biological treatment at a large-scale industrial composting facility where available. The resin used to make the tray has been certified by TÜV Austria as soil and marine biodegradable, which means it is degraded by microorganisms existing naturally in the environment.

"SEE is proud to bring to market the first compostable packaging tray designed to run on existing processor production lines," said Tobias Grasso, SEE's President of the Americas Region. "The CRYOVAC^® brand compostable overwrap tray is a breakthrough innovation that is better for the environment than traditional trays and helps our customers meet their sustainability goals."

Commitment to Sustainability

The CRYOVAC^® brand compostable overwrap tray is part of SEE's broader commitment to sustainability. The company has pledged to design and advance all its packaging solutions to be recyclable or reusable, to eliminate waste by incorporating an average of 50% recycled or renewable content into packaging solutions, and to collaborate on recycling technology and infrastructure.

SEE's Impact Report for FY22 details the company's sustainability commitments, industry leadership, innovative solutions, and global strategic partnerships. The report highlights SEE's progress toward its sustainability goals including diverting waste from landfills and operational reductions in greenhouse gas emissions, energy, water intensity.

About SEE
SEE (NYSE: SEE) is in business to protect, to solve critical packaging challenges, and to make our world better than we find it. Our automated packaging solutions promote a safer, more resilient, and less wasteful global food, fluids and liquids supply chain, enable e-commerce, and protect goods in transit from damage.

The company, under its former trade name, Sealed Air, announced its new SEE corporate brand and logo in May 2023.

Our globally recognized solution brands include CRYOVAC^® food packaging, LIQUIBOX^® fluids and liquids systems, SEALED AIR^® protective packaging, AUTOBAG^® automated packaging systems, BUBBLE WRAP^® packaging, SEE Automation^™ and prismiq^™ digital packaging and printing.

Our partnership with customers creates value through sustainable, automated, and digital packaging solutions, leveraging our industry-leading expertise in materials, automation systems, engineering, and technology. 

Our SEE Net Positive Circular Ecosystem is leading the packaging industry in creating a more environmentally, socially, and economically sustainable future. We have pledged to design or advance 100% of our packaging materials to be recyclable or reusable by 2025, with a bolder goal to reach net-zero carbon emissions in our global operations by 2040.

Our SEE Impact Report highlights how we are shaping the future of the packaging industry. We are committed to a diverse workforce and a caring, inclusive culture through our 2025 Diversity, Equity and Inclusion pledge. 

SEE generated $5.6 billion in sales in 2022 and has approximately 17,300 employees who serve customers in 120 countries/territories. To learn more, visit sealedair.com.

Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 concerning our business, consolidated financial condition, results of operations and cash flows. Forward-looking statements are subject to risks and uncertainties, many of which are outside our control, which could cause actual results to differ materially from these statements. Therefore, you should not rely on any of these forward-looking statements. Forward-looking statements can be identified by such words as "anticipate," "believe," "plan," "assume," "could," "should," "estimate," "expect," "intend," "potential," "seek," "predict," "may," "will" and similar references to future periods. All statements other than statements of historical facts included in this press release regarding our strategies, prospects, financial condition, operations, costs, plans and objectives are forward-looking statements.

Examples of forward-looking statements include, among others, statements we make regarding expected future operating results, expectations regarding the results of restructuring and other programs, expectations regarding future impacts resulting from the Liquibox acquisition, anticipated levels of capital expenditures and expectations of the effect on our financial condition of claims, litigation, environmental costs, contingent liabilities and governmental and regulatory investigations and proceedings. 

The following are important factors that we believe could cause actual results to differ materially from those in our forward-looking statements: global economic and political conditions, including recessionary and inflationary pressures, currency translation and devaluation effects, changes in raw material pricing and availability, competitive conditions, the success of new product offerings, failure to realize synergies and other financial benefits from the acquisition of Liquibox within the expected time frames, greater than expected costs or difficulties related to the integration of Liquibox, consumer preferences, the effects of animal and food-related health issues, the effects of epidemics or pandemics, including the Coronavirus Disease 2019, negative impacts related to the ongoing conflicts between Russia and Ukraine and related sanctions, export restrictions and other counteractions thereto, changes in energy costs, environmental matters, the success of our restructuring activities, the success of our merger, acquisition and equity investment strategies, the success of our financial growth, profitability, cash generation and manufacturing strategies and our cost reduction and productivity efforts, changes in our credit ratings, the tax benefit associated with the Settlement agreement (as defined in our 2022 Annual Report on Form 10-K), regulatory actions and legal matters and the other information referenced in the "Risk Factors" section appearing in our most recent Annual Report on Form 10-K, as filed with the Securities and Exchange Commission, and as revised and updated by our Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Any forward-looking statement made by us is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statements, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

Contacts 

Media
Pam Davis
pam.davis@sealedair.com
980.833.4084

Investors
Brian Sullivan
brian.c.sullivan@sealedair.com
704.503.8841

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SOURCE SEE

FAQ

What is the new sustainable packaging solution developed by SEE?

SEE has developed a biobased, industrial compostable tray for protein packaging to replace EPS trays traditionally used for fresh poultry and red meat.

What is the biobased content of the tray?

The tray is USDA-certified as having 54% biobased content derived from renewable wood cellulose.

What certifications does the tray have?

The tray is certified as industrial compostable and soil and marine biodegradable.

Where will the tray be introduced?

The tray will be introduced at the International Product & Processing Expo (IPPE).

What is the broader commitment of SEE to sustainability?

SEE has a broader commitment to sustainability, including designing recyclable or reusable packaging solutions and collaborating on recycling technology and infrastructure.