The packaging consultancy says global consumption of PET packaging will grow to almost 19.1 million tonnes by 2017. Driven mainly by increasing demand in emerging and transitional economies, the market will grow 5.2% per annum with a focus on Asia Pacific, South & Central America, Central & Eastern Europe and the Middle East and Africa. Barrier PET bottles and jars for juices, milk, teas, beer, wine and food, are forecast to register strong growth over the period 2012-17.
The Future of Global PET Packaging to 2017 report says the developing countries of Asia Pacific, South America and Central & Eastern Europe will show higher growth for PET packaging as a result of growing real incomes and the replacement of traditional pack formats by PET bottles.

Asia Pacific overtook both North America and Western Europe during the period 2007-12 to become the largest regional market for PET packaging. Asia Pacific accounts for a projected 29.4% of world PET packaging consumption in 2012, followed by North America with 24.1% and Western Europe with 19.7%.

PET recycling is another key issue for players along the PET supply chain due to growing consumer concern for the impact of PET bottles on the environment.

While the use of rPET is on the rise, there is still some uncertainty whether the uptake of rPET for bottle production will become widespread. The uptake of rPET for bottle content will depend very much on whether rPET costs less than virgin material.

In addition, while there is strong demand for recycled PET, there remains a problem with raw material supply and an infrastructure that is not expanding quickly enough to collect the material the industry needs. There are also some concerns that the quality of supply can have a negative impact on the rPET sector.

Whilst many consumers are less keen on PET the continuing growth of the material seems inevitable. In the UK Dairy Crest has said it is to close two glass and polybottle dairies due to customers increasingly opting for milk in plastic bottles. One of the key challenges for brands trying to gain consumer acceptance of PET is to improve the image of the material so that it is on a par with metal and glass packaging.

Packaging News reported that Monosol, manufacturer of water soluble polymer films, and Dr David Edwards with his team at Harvard’s Wyss Institute say that they will soon start marketing edible packaging.

Both say that the market has yet to be tapped. It will help reduce dependency on plastic as well as the overall amount of food waste.The Indiana-based-company Monosol is closer to marketing their new product, but it cannot be used with wet goods or drinks. It said that their product is at least a year or two away from appearing on shelves.

Known for products like dishwasher detergent pods, Monosol is working on edible packaging for items like hot chocolate, drink sticks and oatmeal.

The Harvard Wyss Institute for Biologically Inspired Engineering, created edible packaging called WikiCells, and studied water-storing fruits like grapes.

Described on the Harvard website, WikiCells is a “natural food membrane held together by electrostatic forces and containing a liquid, emulsion, foam, or solid food substance possibly within an edible or biodegradable shell.”

Whilst this seems like a great idea for reducing packaging waste, getting consumer to eat the packet as well as the contents is going to be a big challenge.

Its latest Household Economic Activity Tracker (HEAT) results confirm March’s interim findings; consumer confidence is not only on its way to recovery but sustaining its momentum up to a score of 98 from 93 in February.

Figure 1: UK HEAT Index
Source: YouGov Household Economic Activity Tracker, March 2012
Note: Based on interviews of 6,772 UK residents conducted from 1st – 31st March 2012.

Index score is derived from consumer sentiment on four metrics (home prices, job security, family financial situation, and business activity) measured retrospectively and prospectively.

March’s results indicate that Britons have not seen an improvement in their own financial situation but are starting to feel increasingly positive about the UK economy in general – the surge in scores seen in mid-March maintained their impetus throughout a month which included the announcement of the Budget.

Job security and business activity levels have seen gains with prospective job security among Brits at 105 (up from February’s 102 and a low in December of 96), and prospective business activity levels increasing to 123.

Whilst this is good news the situation is far from clear. Other polls are suggesting a fall in consumer confidence. Consumer confidence will not truly recover until we see sustained economic growth.

According to a report on ClickGreen the company has released the results of the biggest flexible working initiative of its kind, which shows a big saving for the environment and a significant boost in productivity.
In February O2 asked the entire workforce in its head office to work away from the office for the day.

Employees based at O2’s Slough HQ – a quarter of its 12,000-strong workforce – participated in the pilot, operating remotely for the day as the doors were shut and lights turned off at the business’ 200,000 sq ft office.

More than 2,500 people successfully worked away from the office, with only 125 mission-critical staff left in the building. Thanks to newly strengthened networks and upgraded collaboration technology, everyone who needed to get online and communicate was able to do so.

Some 88% of staff said that they were at least as productive as on a normal day at the office, with 36% claiming to have been more productive. 16% of people slept a bit longer than usual and 14% spent additional time with their families. In line with the company’s ambitious three year sustainability plan, the experiment also benefitted the environment, with approximately 12.2t of CO2eq saved.

O2 says it believes the initiative sends a clear signal to its employees, business customers and other UK organisations on the advantages of working flexibly.

What surprised O2 was just how much the staff embraced the idea and concept. And as an additional bonus, the lifestyles of the workforce benefited too.

• O2 employees saved 2,000 hours of commuting time
• The majority (52%) of saved commuting time was spent working
• 14% was spent on family time
• 16% on extra sleeping
• 12% on relaxation (sport, reading, personal emails etc)
• 6% on commuting elsewhere
• 88% of people that took part in the flexible working pilot thought that they were at least as productive as normal
• Over a third (36%) claimed to have been more productive
• Only 125 people needed to work from the office that day – only 109 cars entered the car park (against 1,100 on an average day),
• Only 1 person in the whole of O2 HQ didn’t know anything about the flexible working pilot and consequently arrived for work.

Whilst this is an interesting one-off experiment it does demonstrate key environment benefits. What is needed is a change in work culture if the long-term benefits of flexible working are to be realised.

The trade association is inviting members to its next Directors Forum on May 16th 2012 at House of Commons to meet David Rutley MP for Macclesfield and the co-chairman of the All Party Parliamentary Committee for Mountaineering and the vice chair of the APPG on National Parks.
The event will introduce the OIA success to date in lobbying and interacting with government and discuss the role of outdoor and mountaineering in government policy.
Interested members can book places at the event via the OIA website.

Recent research by YouGov SixthSense, carried out amongst UK drivers, has found that just 25% of drivers agree with the statement ‘electric cars are the only real future alternative’. The online research found that the majority of drivers (69%) think electric cars offer only a limited alternative compared with 12% that disagree.
Other fuel and power sources offer a better longer-term alternative. Just under half of car drivers (46%) agree that other types of fuel and power sources offer a better longer-term alternative for cars than electricity.

• Half of all car drivers (50%) regard hydrogen as offering a better, longer-term alternative to electricity as a source of fuel for cars
• A further 41% believe that more efficient petrol and diesel engines also offer a better longer-term alternative

Of those respondents who own an alternative fuel car including fully electric, hybrid and other alternative fuels, 75% also own a standard fuel (petrol or diesel) vehicle with 35% owning two or more.

The main reason for purchasing an alternative fuel vehicle among nearly two-thirds of owners (64%) is a belief that it would be more cost-effective than owning a standard fuel car.
An outright concern for the environment and therefore wanting to switch to an alternative fuel vehicle was the main reason for purchase for only 37% of owners.

Despite the obvious long-term need to move away from oil powered transport, there’s clearly a long way to go before we see our roads buzzing with electric vehicles.

The conservation organisation has created a team of ‘Super Rangers’ at National Trust properties around the country who will teach children how to climb a tree, make a den and skim stones in an effort to get them to enjoy the outdoors with confidence.
The Daily Telegraph reported that the latest study by Play England showed a third of parents will not let children do ‘risky activities’ like climbing trees.

As a consequence children are growing up with little experience of the outdoors and are afraid to go for a walk in the woods or search for bugs.

In an effort to give both parents and children more confidence the Trust have created a list of ’50 things to do before you are 11 ¾’.

This is a fantastic campaign and one that should be endorsed by the whole industry as today’s outdoor kids are tomorrow’s active adults – our core customers.

A case in point is ‘Pastygate’. The owners of Greggs must have been cursing the Chancellor for unilaterally increasing their prices by 20% and scaring off their customers.

However, it might be the case that the bakery chain could benefit from Mr Osborne’s price hike.
A YouGov poll for the Sunday Times revealed that 69% of the public opposed the planned changes to the VAT levy. In terms of big names, the brand most often mentioned in relationship to ‘Pastygate’ has been Greggs.

But according to YouGov, the public, far from thinking badly of Greggs are sympathetic, blaming the Chancellor for the price rises and feeling positive towards Greggs.

A key question for Greggs will be how long this positive impact lasts, and where perception heads once the VAT becomes a reality and pasty prices rise for real in the autumn.

The Greggs PR team should be working overtime to use the spike in positive awareness to build customer loyalty and off-set the perception of imminent price rises.

10 things you need to know…and what they mean

Some interesting new insights into the foodservice market in the latest market report from foodservice research experts Horizons.

1. The market has been depressed but is getting better

• The total eating out market has been broadly static for the last three years with total food and beverage sales currently valued at £42.8bn (Source:: Horizons Market Structure and Trends 2011)

2.  Eating out in the UK has become habit

• Despite the recessionary effect, 72% of adults over 18 years old still eat out, and this frequency has not been adversely impacted over the last three years. (Source: QuickBite 2012).

3. Whilst the frequency of eating out is down, spending is up

• Through the recession consumers have become more discerning – still eating out, but doing so less frequently – from 3.3 to 2.1 times in a 2 week period (Source: QuickBite 2012)
• Spending per meal is up, and by more than inflation
• Consumers are going out for treats.

4. The old favourites still top the bill. The top 10 dishes that appear most frequently on menus are:

• Beefburger
• Pizza
• Fish & chips
• Chicken burger
• Rump steak
• Chicken curry
• Sirloin steak
• Grilled chicken
• Roast chicken
• Beef lasagne / sausage & mash.

5. Despite this, consumers are still looking for innovation on menus

• Even though the same dishes re-occur, consumers are still looking for new, exotic dishes they may not have access to at home
• They want to be presented with a choice – whether in a full service, quick service, or pub restaurant.

6. UK consumers are accustomed to trying new formats, with adventurous taste buds

• 125 new formats emerging in the UK (Source: Ones To Watch 2012)

- New regional foods, e.g. Polish, Jamaican, Brazilian and Vietnamese
- Street food
- Healthy food
- Gourmet burgers.

7. But consumers are hunting for deals

• With ever easier access to offers through apps, coupon websites the fight for covers has never been greater

8. Consumers are still looking for quality

• When choosing where to eat out consumers cite quality most often
• Price is also key
• But eating out is still an occasion, so cleanliness, service and ambience are all still important.

9. There’s lots of competition moving in for your business

• Competition is growing as the fight for the customer increase

- More pub restaurants, as food takes the lead over wet sales
- In-store restaurants, as they offer the convenience of a “one stop shop”
- Shopping centres and garden centres, as eating out becomes a part of the whole shopping day out experience
- Coffee shops, as they increase their food offer
- Retailers, with “dine in” deals
- Home delivery, as their coverage expands (Source: MST)

10. Consumers have lots to look forward to

• May Bank Holiday
• The Jubilee weekend
• The Olympics
• Summer!

For a full version of the research visit: www.hrzns.com.

The ‘Review of kerbside recycling collection schemes in the UK in 2010/11‘, from consultancy WYG, says councils which collect recyclate commingled tend to achieve greater yields.
According to a report on Letsrecycle.com, 20 of the 30 top performing councils in Britain for dry recycling collections operate a fully commingled service that includes glass.

WYG is hoping the findings will provide ‘useful evidence’ for Defra, which has been consulting on changes to the Waste (England and Wales) Regulations.

The department is proposing to make it a requirement for councils to introduce ‘separate’ collections of paper, glass, metal and plastic by 2015 where practical or necessary to ensure quality. If separate collections are not practical or necessary, commingled collections will be allowed.

Whatever the outcome of the consultation, the debate will continue and it is unlikely the different camps will ever reach agreement.