THE packaging industry’s growth is expected to lag that of gross domestic product (GDP) this year due to high raw material costs, the Asia Packaging Federation said.
“It will be a bit slower … because of the rising costs of packaging materials as the materials are imported,” according to Joseph Ross S. Jocson, president of Asia Packaging Federation, on the sidelines of a ProPak Philippines 2025 briefing on Tuesday.
“We cannot sometimes compete with the volume of China or India, so we have to help the industry,” he added.
He said the Philippine packaging industry will need to scale up to be more competitive.
He said the industry is being challenged by the lack of government support, the need to comply with sustainability rules imposed by Philippine laws and overseas jurisdictions.
“If you go to Bangkok, their durian and pineapple packaging is very nice because their government fully supports their packaging industry, and we hope the same for the Philippines,” he said.
“Our packaging is way behind what South Korea and Thailand have,” he added.
Asked what kind of government support the industry needs, he cited the need to raise the funding of the departments of Science and Technology (DoST) and Trade and Industry (DTI).
“That is the only way that micro, small and medium enterprises (MSMEs) can avail of their services. The multinational corporations have the capacity, but the local, the small, or those in backyard industries need support, and that is where the DoST and the DTI can come in,” he added.
Meanwhile, he said the industry is concerned about the impending tax on single-use plastics and other similar measures.
“If the bills on single-use plastics or other kinds of bans are passed, there will be a radical change. Because there is nothing we can do if it becomes a law, then we have to comply,” he said.
“It could negatively affect the economy and positively affect the environment. But in any case, we have to be balanced, and technology can also help in that,” he added.
He said that the government’s implementation of the Extended Producer Responsibility (EPR) is showing good results but noted the need for it to be expanded to other materials.
“As of now, the implementation of EPR is good. But maybe it is not [enough] because we are only tackling plastics right now with the EPR; we are not yet into paper and tin cans, and there are a lot of other materials,” he added.
Meanwhile, he said that complying with green policies, such as those being imposed by the European Union (EU), is a challenge for MSMEs.
“If you’re exporting now to the EU, you need to comply with their requirements. They need to make a certain percentage of their packaging is recycled; otherwise, they cannot export,” he said.
“The multinational companies are ready for it, but the smaller companies are not,” he added.
On Tuesday, Propak Philippines announced that the fifth edition of the annual international processing and packaging trade event will run from Feb. 12 -14 at the World Trade Center.
The 2025 edition of the trade show is expected to bring in over 250 exhibitors and brands from over 30 countries.
It is also projected to welcome 12,000 trade visitors, buyers, and other stakeholders. — Justine Irish D. Tabile
