The new EU Packaging and Packaging Waste Regulation turns packaging from a purchasing detail into a product, compliance, cost, and traceability issue.
“Packaging is no longer just what protects the product. It is becoming part of the product data companies must understand, manage, and prove.”
For many businesses, packaging has traditionally been treated as a practical afterthought.
It protects the product. It carries a label. It helps goods move through the warehouse and arrive safely at the customer. Purchasing negotiates the price, warehouse teams use it, and finance records the cost.
That approach is no longer enough.
The EU Packaging and Packaging Waste Regulation—known as PPWR—changes how companies must think about packaging. It brings packaging into the center of product compliance, sustainability, supply-chain management, cost control, and reporting.
PPWR entered into force on 11 February 2025 and generally begins to apply from 12 August 2026. It applies to packaging and packaging waste regardless of the material used or where the packaging comes from. European Commission: PPWR overview
For manufacturers, importers, distributors, e-commerce companies, retailers, and logistics providers, this means one important thing:
Packaging data can no longer live only in supplier emails, product drawings, and Excel files.
It must become structured, traceable business data.
What Is PPWR?
PPWR is an EU Regulation designed to reduce packaging waste and make packaging more sustainable, recyclable, reusable, and easier to manage across the European market.
Unlike a Directive, an EU Regulation is directly applicable in Member States. It is intended to create a more harmonized framework across the EU rather than allowing every country to build entirely different packaging rules.
The Regulation covers all types of packaging, including:
- Consumer packaging.
- Sales packaging.
- Grouped packaging.
- Transport packaging.
- E-commerce packaging.
- Reusable packaging.
- Industrial packaging.
- Plastic, paper, cardboard, glass, metal, wood, and composite packaging.
- Packaging for imported products.
The direction of the Regulation is clear. Europe wants packaging to become:
- More recyclable.
- Less wasteful.
- Easier to reuse where appropriate.
- More transparent.
- Better designed for circular use.
- Less dependent on unnecessary material.
The Commission summarizes the broader goals as making all packaging recyclable by 2030, increasing recycled content, reducing unnecessary packaging, and encouraging reusable systems. European Commission: PPWR facts
Why PPWR Matters to Every Manufacturer
A company may think, “We do not manufacture packaging. We manufacture furniture, food, machinery, cosmetics, components, or consumer goods.”
But if your product is placed on the market in packaging, PPWR affects your business.
The business may be responsible for packaging it selects, buys, fills, uses, imports, distributes, or places on the EU market. Even where specialist suppliers provide the packaging, the manufacturer still needs to understand what packaging is used and whether it fits the company’s obligations.
This is especially relevant for companies that:
- Sell products in multiple EU countries.
- Use large volumes of transport packaging.
- Supply retailers with specific packaging requirements.
- Operate e-commerce or direct-to-consumer channels.
- Import goods or packaging from outside the EU.
- Use plastic packaging.
- Use food-contact packaging.
- Sell products with high packaging-to-product ratios.
- Operate warehouses, fulfilment centers, or return processes.
- Work with reusable pallets, crates, containers, or transport materials.
Packaging is part of your product cost, customer experience, logistics process, environmental footprint, and compliance position.
The Most Important Change: Packaging Becomes Product Data
To manage PPWR properly, businesses need to know more than “we use cardboard boxes.”
They need structured information about each packaging item and how it relates to the product.
For example, a manufacturer may need to track:
- Packaging type.
- Packaging level.
- Packaging material.
- Weight.
- Dimensions.
- Supplier.
- Country of origin.
- Recycled content where relevant.
- Recyclability characteristics.
- Reuse status.
- Food-contact status where relevant.
- Hazardous-substance information.
- Material certificates and declarations.
- Product or SKU relationship.
- Packaging used for specific customer orders.
- Packaging used for specific countries or markets.
- Packaging cost.
- Returnable or reusable status.
- Waste and disposal information.
This is not simply a sustainability database.
It is connected to product design, BOMs, purchasing, inventory, warehouse operations, sales, shipping, finance, and compliance.
When packaging data is incomplete, companies cannot confidently calculate cost, prove compliance, manage waste, or respond to customer questions.
Packaging Is Not One Thing
One product may have several layers of packaging.
For example, a furniture item may have:
- Protective wrapping around individual components.
- Foam, cardboard corners, or protective inserts.
- An inner box.
- A transport carton.
- A pallet.
- Stretch film.
- Pallet straps.
- Delivery documentation.
- Return packaging for damaged or returned goods.
A food producer may have:
- Primary food-contact packaging.
- Secondary grouped packaging.
- Transport cartons.
- Display packaging.
- Pallet wrapping.
- Reusable crates.
- Retail labels.
An e-commerce business may have:
- Product packaging.
- Shipping box.
- Void-fill material.
- Return label.
- Tamper seal.
- Protective bag.
- Courier packaging.
Each layer can have a different material, supplier, cost, environmental impact, reuse option, and compliance requirement.
A good ERP structure must understand both the product and the packaging around it.
PPWR and Packaging Design
PPWR will influence product and packaging design decisions.
Companies will need to review whether packaging is necessary, whether it uses more material than required, whether it can be recycled, whether it contains problematic materials, and whether reusable alternatives make sense for the business model.
This affects product designers, purchasing teams, warehouse managers, logistics planners, marketing teams, and finance departments.
The discussion should move from:
“What is the cheapest box we can buy?”
to:
“What packaging protects the product, meets legal requirements, supports customer expectations, reduces waste, and creates the best total cost?”
The lowest unit price is not always the lowest total cost.
A cheaper box may create more product damage. A large package may increase transport cost. A non-compliant material may create future replacement costs. A packaging design that cannot be easily recycled may harm retailer relationships or customer trust.
Food-Contact Packaging Requires Special Attention
Food-contact packaging deserves separate attention because it can affect product safety as well as sustainability requirements.
PPWR includes restrictions related to PFAS in food-contact packaging from its application date. The Commission has published guidance on the implementation of these limits from 12 August 2026. European Commission PPWR guidance
Food producers, restaurants, distributors, retailers, and packaging suppliers should therefore carefully review:
- Packaging material specifications.
- Supplier declarations.
- Food-contact compliance evidence.
- Chemical and material information.
- Product and packaging testing records.
- Packaging changes and substitutions.
- Traceability of packaging batches.
A packaging change should not be treated as a simple purchasing decision when it may affect safety, legal compliance, and customer health.
PPWR and the Warehouse
Warehouses are where packaging becomes real.
A company may have excellent product and supplier information, but if warehouse teams cannot identify which packaging material is being used, where it is stored, what it costs, or whether it is returnable, the data chain is incomplete.
SIX ERP can help businesses manage packaging as a structured inventory and operational element.
Packaging materials can be managed as items with their own:
- SKU or item code.
- Supplier.
- Purchase price.
- Stock level.
- Warehouse location.
- Reorder Point.
- Batch or lot number where required.
- Material specification.
- Product relationship.
- Unit of measure.
- Reuse status.
- Return process.
- Waste or loss record.
For example, a company can track how many pallets, cartons, labels, films, and inserts are consumed for each production order or shipment.
This gives management a more accurate view of packaging cost and consumption.
If you cannot measure packaging use, you cannot manage packaging waste or packaging cost.
PPWR and Product Bills of Materials
Packaging should increasingly be included in the Bill of Materials.
For many manufacturers, the product BOM shows only the components that make up the physical product. Packaging is handled separately, often outside the production or costing process.
That creates a blind spot.
A complete BOM should show the packaging needed to bring the product safely to market. This may include boxes, inserts, labels, film, pallets, straps, and other packaging materials.
When packaging is part of the BOM, the business can:
- Calculate true product cost.
- Plan packaging-material purchases.
- Prevent packaging shortages.
- Track packaging consumption.
- Identify packaging waste.
- Compare packaging alternatives.
- Review the impact of packaging changes.
- Connect product design to logistics requirements.
- Support reporting and compliance evidence.
The finished product is not ready when it leaves production. It is ready when it can be shipped safely, correctly, and compliantly.
Packaging Data and E-Commerce
E-commerce businesses should pay particular attention to PPWR.
Online sales often create additional packaging layers. A product may arrive from the manufacturer in one package, then be placed in another shipping box with fill material, labels, documents, return instructions, and protective packaging.
This can lead to high packaging use, inconsistent materials, increased delivery costs, and unnecessary waste.
A connected ERP can help e-commerce businesses answer questions such as:
- Which packaging is used for each order type?
- Which shipping box fits each product combination?
- Which packages create the most empty space?
- Which packaging suppliers have the best cost and reliability?
- Which packaging materials are reusable or recyclable?
- Which return types create the highest packaging waste?
- How much packaging cost is attached to each order or sales channel?
This allows companies to reduce unnecessary packaging while protecting the product and maintaining a good customer experience.
PPWR and Reusable Packaging
PPWR also increases attention on reusable packaging systems.
For some businesses, reusable pallets, crates, containers, transport boxes, and industrial packaging may become more important over time. Reuse can reduce waste and improve long-term cost control—but only when the system is managed properly.
Reusable packaging needs its own operational process.
The company must know:
- Who owns the packaging asset.
- Where it is located.
- Which customer or carrier currently has it.
- When it must be returned.
- Whether it has been damaged.
- How many reuse cycles it has completed.
- When it requires cleaning, repair, or replacement.
- What deposit, charge, or contract terms apply.
SIX ERP can treat reusable packaging as a traceable operational asset rather than an invisible warehouse expense.
A reusable packaging strategy only works when the business can track the packaging after it leaves the building.
PPWR, Purchasing, and Supplier Management
Packaging compliance depends heavily on suppliers.
Purchasing teams need to move beyond price, delivery time, and minimum order quantity. They also need reliable technical and compliance information from packaging suppliers.
A strong supplier record should include:
- Packaging specifications.
- Material composition.
- Certificates and declarations.
- Food-contact documentation where relevant.
- Recycled-content information where relevant.
- Recyclability information.
- Technical drawings.
- Packaging dimensions and weight.
- Change-control procedures.
- Country of origin.
- Batch or lot traceability where required.
- Supplier quality performance.
- Delivery performance.
- Approved alternative materials.
If a supplier changes the material, thickness, coating, adhesive, printing method, or structure of packaging, the company must understand the effect on product protection, compliance, cost, recycling, and customer requirements.
Uncontrolled supplier substitutions can become compliance problems.
What Companies Should Do Now
PPWR begins to apply from 12 August 2026, but companies do not need to solve every future requirement in one month.
They should begin with a structured review.
Identify Your Most Important Packaging
Start with the packaging that creates the greatest business impact:
- Highest-volume packaging materials.
- Highest-cost packaging materials.
- Food-contact packaging.
- Plastic packaging.
- E-commerce packaging.
- Packaging used for exports.
- Reusable transport packaging.
- Packaging required by major retailers.
- Packaging that generates high return or damage rates.
Create a Packaging Data Model
Define the fields that should exist for every packaging item.
At minimum, include material type, weight, dimensions, supplier, product relationship, packaging level, cost, stock level, and relevant documents.
Connect Packaging to Products and Orders
Link packaging to finished products, BOMs, production orders, shipping processes, and sales orders.
This makes it possible to understand actual consumption and cost.
Review Supplier Documentation
Ask packaging suppliers for current technical specifications, declarations, certifications, and change-control information.
Do not wait until a customer or authority asks for the evidence.
Measure Waste and Loss
Track damaged packaging, unused packaging, excessive use, expired stock, and return loss.
This reveals where money and materials are being wasted.
Prepare for Reuse and Returns
If reusable packaging is relevant to your business, define ownership, return rules, deposits, inspection processes, cleaning, repair, and replacement procedures.
A Practical PPWR Readiness Roadmap
First 30 Days: Understand the Current Situation
- List major packaging types.
- Identify the responsible departments.
- Collect current supplier specifications.
- Review packaging-related product data.
- Identify high-risk or high-cost packaging.
- Check whether packaging is included in product costing.
Days 30–90: Build Structure
- Create packaging items in the ERP.
- Add material, weight, dimensions, supplier, and document fields.
- Connect packaging to relevant products and BOMs.
- Define stock, purchasing, and warehouse processes.
- Establish approval rules for packaging changes.
- Begin measuring packaging consumption and waste.
Months 3–6: Improve Control
- Review packaging alternatives.
- Identify unnecessary packaging.
- Improve packaging selection for transport and e-commerce.
- Track reusable packaging assets.
- Add supplier scorecards.
- Build packaging dashboards for cost, use, waste, and supply risk.
Months 6–12: Turn Compliance into Advantage
- Improve packaging design with product and logistics teams.
- Reduce damaged goods and transport inefficiency.
- Prepare structured data for customer and regulatory requests.
- Support sustainability reporting with real data.
- Use packaging data to improve margins, purchasing negotiations, and warehouse performance.
How SIX ERP Supports PPWR Readiness
SIX ERP can help companies move packaging information from disconnected documents into a connected operational process.
The platform can support:
- Packaging master data.
- Supplier and material documentation.
- Packaging BOMs.
- Product and packaging cost calculation.
- Inventory and warehouse management.
- Reorder planning for packaging materials.
- Production-order consumption tracking.
- Batch and lot traceability where required.
- Packaging approvals and change history.
- Reusable-container and asset tracking.
- Shipping, returns, and damage records.
- Supplier performance monitoring.
- Business-intelligence dashboards and reporting.
The goal is not only to comply with PPWR.
The goal is to create a business that understands its packaging well enough to reduce waste, improve product protection, lower transport costs, avoid shortages, and respond confidently to customers and authorities.
Packaging Is Now a Management Topic
PPWR is a reminder that business data cannot remain divided by department.
Packaging affects product design. Product design affects production. Production affects warehousing. Warehousing affects logistics. Logistics affects cost and customer experience. Every part of the chain affects compliance.
The companies that manage packaging as structured data will be better prepared for regulation, stronger in negotiations, and more efficient in daily operations.
SIX ERP helps businesses connect packaging, products, suppliers, inventory, production, logistics, and finance in one operational environment.
Start with your ten most important packaging materials. Map them to your products. Track their cost, use, supplier, and compliance evidence.
The first step toward PPWR readiness is simple: make packaging visible inside your business.
