Tackling Global Environmental Challenges: Sustainable Plastics on the Road

　　The nature of the CPG industry involves the use of a large amount of packaging materials. Coca-Cola's environmental footprint, especially the impact of plastics, has also sparked controversy over "greenwashing." 
　　At the 27th Conference of the Parties (COP27) to the United Nations Framework Convention on Climate Change, the world once again engaged in difficult negotiations to advance common sustainability issues. 
　　In addition to the heated discussions at COP27, the event also sparked considerable public opinion outside the venue. At the end of September last year, the United Nations announced that Coca-Cola would sponsor COP27. Many environmental activists accused the company, one of the world's largest consumer packaged goods companies, of using the event for "greenwashing." 
　　Coca-Cola has always played a leading role in various global climate change and sustainable development initiatives, and the company's ESG performance has been widely recognized. However, the nature of the CPG industry involves the use of a large amount of packaging materials. Coca-Cola's environmental footprint, especially the impact of plastics, has also sparked controversy over "greenwashing." 
　　Similarly, Nestlé, the world's highest-grossing CPG company last year, is frequently challenged by public opinion. Recently, at a forum hosted by an investment company, a former government official from a Balkan country told Nestlé's CEO that the company should be responsible for building recycling centers in its sales areas to reduce the environmental impact of plastics. 
　　These two companies are not entirely inactive in sustainable packaging materials. In fact, Coca-Cola launched its "World Without Waste" global sustainable packaging strategy in 2018, aiming to achieve 100% equivalent recycling and regeneration of all beverage packaging by 2030. Nestlé, the Swiss multinational company, has also pledged to use less virgin plastic and more recycled materials in its packaging to address the plastic crisis. 
　　On the other hand, the first meeting of the INC-1, the global plastic pollution governance negotiations led by UNEP, has concluded. Different countries and stakeholders have different concerns, making it difficult to reach a consensus—just like the previous COP27. 
　　Now that the meeting is over, has meaningful progress been made, or has it shown a disappointing situation? Where did the problem lie? What is the relationship between the plastic crisis and these consumer packaged goods giants? Can ESG investment provide new opportunities for solving existing plastic problems? Let's try to clear up the fog and answer these questions. 
　　How does the consumer packaged goods industry practice sustainable packaging? 
　　Plastic is a polymer material derived from petrochemicals. Due to its low price and excellent performance, it is widely used as a packaging material worldwide. The environmental impact of plastic is mainly reflected in several aspects. First, virgin plastic is a product of the refining and processing of fossil fuel oil; therefore, the carbon footprint of plastic includes high carbon emissions from upstream. The production and refining of oil also have an undeniable environmental impact. Second, polymer plastics derived from oil cannot be self-degraded in the natural environment. Large pieces of plastic waste, after being weathered, gradually age and break down into microplastics, which can harm ecosystems and human health. 
　　Consumer packaged goods companies use a large amount of plastic packaging, including rigid plastic containers such as beverage bottles and mineral water bottles (mainly PET), chemical and daily necessities containers (mainly HDPE), and food containers (PP, PS). In addition, flexible plastic packaging bags, cling film, and plastic films (mainly LDPE and PP) are also widely used. 
　　To address the global environmental challenges posed by plastics, these consumer packaged goods companies have an obligation to promote the implementation of relevant "plastic reduction" actions within their own operations. In view of the current situation of plastic use and the development of alternative technologies, most companies have proposed their sustainable packaging initiatives in the following areas: 
　　Reduce the use of virgin plastics. Measures such as lightweight packaging, the use of alternative materials such as paper, and reducing packaging quantities can directly reduce plastic use. In addition, using recycled plastics and bio-based biodegradable materials (such as PLA and PHA) to replace fossil fuel virgin plastics is also a way to reduce the use of virgin plastics. 
　　Increase the proportion of recycled plastics. Used plastics, after being recycled and processed, become recycled plastics (post-consumer recycled, or PCR), which can directly replace virgin plastics in packaging. From the perspectives of performance and cost, manufacturers are still not using recycled plastics on a large scale. 
　　Improve the recyclability, reusability, and compostability of packaging materials (recyclable, reusable, compostable, or RRC). Simplifying packaging and using single materials can improve recyclability. Modifying packaging designs to allow for reuse and using more compostable materials are also feasible approaches.