The upcoming EU Packaging and Packaging Waste Regulation (PPWR) sets ambitious targets for the use of recycled content in packaging, which is expected to significantly increase demand for secondary raw materials. However, due to persistent challenges within the recycling sector, this demand may increasingly be met through imports rather than domestic supply. A key issue is pricing—recycled materials remain more expensive than virgin raw materials, which deters voluntary uptake.
“Our industry has been in a state of crisis over the last few years,” says Szymon Dziak-Czekan, CEO of SPDC and Hans Andersson rPET. “The first shock came with COVID-19 in 2020. There was a brief rebound after the war in Ukraine began, but then virgin material prices collapsed, leading to a sharp drop in demand for recycled plastics that continues today.”
An exception is PET. Under the Single Use Plastics Directive, as of 2024, PET beverage bottles up to 3 liters must contain at least 25% recycled plastic. This figure will rise to 30% by 2029.
“There’s growing demand for rPET, and we’ve long advocated for mandatory recycled content across all materials. That way, demand wouldn’t hinge on virgin plastic prices,” Dziak-Czekan explains. “It’s like buying a car—if a new car is cheaper than a used one, who would buy the used one? Right now, low demand stems from cheap virgin granulates and lower consumption levels across Europe.”
This market dynamic puts serious pressure on recyclers. A Plastics Recyclers Europe report warns that the sector is reaching a breaking point. The EU has seen the slowest increase in recycling capacity in years, worsened by the influx of cheap, substandard imported materials—both virgin and recycled—and a surge in plastic waste exports. Imports of polymers, both virgin and recycled, now account for over 20% of the EU’s polymer consumption, while domestic recycling output for most polymers fell by 5%. Forecasts predict further declines to levels unseen in 25 years, despite growing polymer demand. The organization warns that without protective trade measures such as tariffs or financial incentives, the economic strain will force more recycling plants to shut down.
“This also leaves recyclers without capital to expand or help municipalities meet recycling targets,” says Dziak-Czekan. “Sometimes we can sell everything we produce for months, then suddenly processors switch to virgin materials because they’re cheaper. PET has penalties for not meeting recycled content targets, but in HDPE, PP, and LDPE films—the flexible plastics segment—there are no such mandates yet, so we’re left to compete on market terms alone.”
The PPWR will mandate minimum levels of post-consumer recycled content in packaging starting in 2030. Targets will vary by packaging material, type, and intended use. From 2030, the required recycled content will range from 30–35%, rising to 50–65% by 2040. Sensitive-use packaging made from non-PET plastics will have a lower threshold of 10%, and packaging for medical or pharmaceutical products will be exempt.
“EU law is clearly pushing for greater use of recyclates, but this ambition has weakened slightly in the past two years following the outbreak of war in Ukraine. Environmental concerns tend to take a back seat during wartime. EU policymakers are gradually stepping back from their most ambitious climate goals, but we hope this is temporary,” Dziak-Czekan notes. “Improving geopolitical stability would certainly help reboot both the European and Polish recycling sectors.”
As highlighted in last year’s “Recyclates” report by the Polish Plastics Pact, the upcoming legislative shifts confirm that increasing the use of recycled content in packaging is a key pillar of a circular economy strategy.
“I’ve watched the recyclates market evolve over the last 20 years and have encouraged clients to adopt secondary raw materials. Today, when you walk into a supermarket, most packaging contains some level of recycled content—sometimes even 100%,” Dziak-Czekan explains. “We supply clients across sectors: PET in beverages, polypropylene in construction, and various LDPE films used for garbage bags made from 100% recycled content. The applications are in the hundreds, even thousands.”
The report stresses that increasing access to high-quality recyclates in Poland requires commitment from all players across the value chain—from raw material suppliers and packaging manufacturers to consumers, waste managers, and recyclers. Key tools include the upcoming deposit return system (DRS) and Extended Producer Responsibility (EPR) with eco-modulation to promote eco-design.
These instruments were discussed at the Rekopol conference “Extended Producer Responsibility – Environmental Policy, Dialogue, and Stakeholder Roles.” Industry experts emphasized that implementation of the DRS and EPR is essential to creating a truly circular packaging economy in Poland.
Source: Newseria | Plastics Recyclers Europe | Polish Plastics Pact – Recyclates Report
