It's been a long strange Packaging trip!

It's been a long time since I wrote anything about packaging! The reason for this is last July, I was hired to work for the number 1 spirits company in the world: Diageo NA. My title is Graphics Commercialization Manager for New-to-World (NTW) Innovation. Originally, I was brought in as a consultant and later on was hired full time.

So far, I've been working on some premuim packaging for recent entries into the spirits world such as Rökk Vodka, Moon Mountain Vodka, Godiva Vodka and others. The experience with Diageo has been great so far as the company is filled with very bright people working towards a common goal: to be the best. I recommend if you are looking to work for a world class CPG Beverage/Spirits company, go to the Diageo Careers website and search for a position that suit your experience or just set up a profile.

The reason that I haven't been blogging is that I am worried that I will get flooded with requests. I just don't have the bandwidth nor am I a specifier of packaging components. If you are doing something really innovative in the packaging field though, send me a note. Please drink responsibly!!

US District Judge lifts Block on NY bottle deposit law

On August 13th Judge Deborah Batts (Southern District of New York) modified the preliminary injunction order granted on May 29th to the International Bottled Water Association and other plaintiffs that has been preventing the state of NY from implementing all provisions of the recently enacted bottle bill amendments. (NY BIll S59 & A159)

The expanded bottle bill would have required a nickel deposit on other beverages including bottled water, beer and would require beverage companies to forfeit 80% of unclaimed deposits according to the statement issued by NY Attorney General Andrew Coumo.

The bill was supposed to take effect on June 1, but was pushed back to April 2010 by U.S. District Judge Thomas Griesa.

However, Judge Batts ruled on Thursday August 13th that most provisions could take effect immediately which means that soda and beer companies will have to begin returning the bulk of unclaimed deposits to NY State. How much money are we talking about? According to Cuomo, the sum will be over $100 million in new revenue for the cash-strapped state.

Water companies, will have until October 22 to comply. Consumption of bottled water has risen to roughly 3.2 billion bottles according to Laura Haight, senior environmental associate for the New York Public Interest Research Group, the organization that has been fighting for this law.

The bigger issue and major sticking point for the law has been the labeling rule that would require NYS specific UPC codes for bottles sold locally in NY. Having to do so would effectively require distributors to have multiple inventories of beverages, those sold in NY and those sold in the other 49 states. The packaging and warehousing nightmare to comply with this law is staggering (to me) and when you add that many of the beverages sold in eastern NY Come from distribution centers in CT or even western Mass, the complication is enormous.

Each beverage would have to have a New York variety. So this would effectively double the packaging used for each flavor; labels, 4 or 6 packs, cans, 12 packs, variety packs, cases, etc. This includes costs to design, prepare, produce and ship packaging. Not only that, if you had a production run you would have to predict case sales by market and break down the line twice to change the packaging. (NY - Non-NY) then warehouse it.

I suggest a simpler solution where the UPC remains the same and the deposit language changes on the affected packaging. I would also suggest that first year, NY forgives the packaging changeover by letting beverage companies keep a percentage of the collected deposit money to recover costs. What do you think?

The latest on Bisphenol A

I've been following the BPA debate for awhile now and it looks like California is not going to place BPA on their list of hazardous substances. They are also not going to be warning consumers: (those without internet, I guess) Health Canada, however is studying the effects of BPA on babies focusing on the coatings used on metal lids used for glass baby food containers. According to the study the levels found were quite low, like an average level of .18 ng/gram. By the way, a nanogram is one billionth (10^-9) of a gram. France is looking to completely ban the chemical in consumer packaging. (There is a login to read the article)

The Boston Globe last Tuesday published a story warning parents to avoid bottles with BPA as posing a danger for children.

Meanwhile, just when you thought you were safe, BPA Free labels may not be true according to this story. I guess you can't believe anything that you read.

The FDA maintains that the chemical is safe. Studies are starting to vet out that food and beverage containers made of polycarbonate do not pose a health risk to humans.

Banning the chemical based on current studies would be a hardship for the packaging & food industries that use the chemical. Whole Foods Market has a BPA policy and is working towards limiting and removing the chemical where they are able.

So the debate continues and so does the confusion. Consumers are going to have to avoid buying processed & prepackaged food; It is nearly impossible to avoid this chemical in the market place.