Unlocking opportunities in East Africa's packaging & plastics industry

With Africa experiencing a staggering 150 per cent surge in plastics use over the past six years, the plastic and packaging industry in East Africa is at a pivotal point. Angela Kinyua, Portfolio Director at Montgomery Group, sheds light on the challenges and opportunities shaping the sector's future. The industry is gearing up to meet the growing demand for plastic and packaging products, driven by the shift towards recyclable materials like cardboard, PET, and HDPE plastics. However, the transition to eco-conscious manufacturing practices is not without its hurdles. Companies are facing challenges such as limited green financing, lack of collaboration with financial institutions on circular economy initiatives, and the absence of standardized metrics for sustainability. Despite these obstacles, efforts are being made to promote sustainability in the industry. Rigid plastic packaging and 3D printing are emerging as sustainable and cost-effective solutions. Companies are also adopting innovative practices like printing directly on bottles to reduce waste. Initiatives like standardizing bottle cap sizes and promoting the use of sachets for detergents aim to enhance recycling and minimize environmental impact. The push towards traceability underscores the industry's commitment to promoting a circular economy. While importing plastic products remains a common practice, manufacturing plastic on the continent, particularly using materials like PET and HDPE, is gaining traction. However, significant financial investment is needed to ramp up local production and improve competitiveness. The availability of green funds and sustainability initiatives is crucial in supporting plastic producers and packaging manufacturers. Collaborations with Producer Responsibility Organizations (PROs) are helping drive sustainability efforts within the industry. Despite the challenges, some companies in East Africa are spearheading sustainability initiatives. Bio Foods, for instance, has implemented solar energy solutions and innovative packaging for their products. Coca-Cola and Procter & Gamble are also making strides towards reducing their environmental footprint by adopting sustainable packaging practices. These trailblazing companies are setting an example for the industry and paving the way for a more sustainable future. As the industry navigates the transition towards greater sustainability, phased approaches and heightened consumer awareness will be key in driving lasting change.