Circular Packaging Insight

The Role of the Circular Economy in Australian Packaging

Sustainable Progress in Australian packaging needs better design, stronger recycling systems and shared action across the whole supply chain.

This article looks at the 2025 National Packaging Targets, APCO’s review and the steps needed to move packaging closer to a circular economy.

Sustainable Progress in Australian packaging and circular economy targets

Sustainable Progress in Australian Packaging

Sustainable Progress in packaging depends on stronger action from businesses, regulators, recyclers and customers.

The Australian Packaging Covenant Organisation, or APCO, reviewed the 2025 National Packaging Targets. The review showed that Australia needs more than good intentions to reach a circular packaging system.

As a result, packaging design, recycling systems and end markets for recycled materials must work together.

Steps Toward Sustainable Progress

APCO’s review points to a simple message. Australia needs coordinated action across the packaging system.

Better design

Packaging must be easier to recover, reuse or recycle.

Business recycling

B2B recycling needs more focus and stronger pathways.

Shared action

Industry, government and recyclers must work together.

End markets

Recovered materials need real demand from product buyers.

What APCO’s Review Revealed

APCO reviewed the 2025 National Packaging Targets and found that Australia is not on track to meet them.

The review recognised that many businesses have made positive changes. However, it also showed that voluntary action alone may not be enough.

You can read more about the wider issue in this article on Australia falling short on packaging targets from Waste Management Review.

The 2025 National Packaging Targets and Sustainable Progress

The 2025 National Packaging Targets aim to help Australia move toward a circular economy for packaging.

These targets encourage businesses to improve packaging design, increase recoverability and use more recycled content.

Learn more about the 2025 National Packaging Targets and why they matter for Australian packaging.

Four Key Findings for Packaging Reform

The review identified several areas that need urgent attention.

1. Targets are behind schedule

The 2025 Targets have driven change, but progress remains too slow.

2. A longer-term vision is needed

Australia needs a roadmap that goes beyond 2025.

3. Collaboration is essential

All parts of the packaging system must work together.

4. Stronger action is required

Some material streams need coordinated support and clearer standards.

Packaging Design Must Improve

Packaging design has a major impact on recycling outcomes. If packaging is hard to sort or recover, it can leave the circular system.

Therefore, businesses need to think about design from the start. They should consider material choice, recoverability and end-of-life pathways.

Better design can reduce waste and help packaging stay useful for longer.

Business-to-Business Recycling Needs More Support

Business-to-business recycling plays a key role in packaging recovery. Warehouses, distributors and suppliers handle large volumes of packaging every day.

However, recycling pathways can be hard to manage without clear systems and strong demand for recycled material.

This is why procurement matters. When businesses choose recycled packaging, they help create a market for recovered materials.

A Whole-of-Packaging System Approach

Packaging reform is bigger than one business or one sector. It needs action from packaging producers, brands, retailers, recyclers, waste managers and government.

When each group works in isolation, progress can slow down. However, when the whole system works together, change becomes easier.

This shared approach can help Australia move from fragmented action to real circular economy progress.

Why a Stronger Co-Regulatory Framework Matters

APCO’s review points to the need for a stronger co-regulatory framework. This type of framework can balance industry action with clear government oversight.

Stronger rules can also improve accountability and discourage businesses from avoiding their responsibilities.

In turn, this can help support better design standards, higher participation and stronger recovery outcomes.

Industry Support for Sustainable Progress

Industry groups have welcomed the review because it creates a clearer path forward.

The Australian Council of Recycling has highlighted the need for stronger collaboration across sectors. It also supports better markets for Australian recycled content.

Read more about Thinkpac joining ACOR and our commitment to recycling in Australia.

Thinkpac’s Role in Circular Packaging Progress

At thinkpac, we believe circular packaging needs both recovery and demand. Recycling works best when businesses buy products made with recycled content.

Our recycled packaging solutions help create that demand. They also give businesses a practical way to support circular economy goals.

Learn more about making an impact with a circular economy.

Learn More About Packaging Circularity

To learn more about packaging action in Australia, visit the Australian Packaging Covenant Organisation.

You can also explore circular economy principles through the Ellen MacArthur Foundation.

Final Thoughts: Sustainable Progress Needs Shared Action

APCO’s review shows that Australia has made progress, but there is still work to do.

Better packaging design, stronger recycling systems and clearer standards can help move the industry forward.

With shared action, Australia can build a packaging system that supports a real circular economy.

Support circular packaging

Choose Recycled Packaging With Thinkpac

Contact the thinkpac team to explore recycled packaging products that support sustainable progress and circular economy goals.

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