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In the U.S., California has long been a bellwether for environmental policy—and its latest move is poised to transform the packaging industry nationwide. With new legislation requiring all single-use packaging to be compostable or recyclable by 2032, businesses across the foodservice supply chain are reevaluating their materials, sourcing, and sustainability commitments.
Signed into law under SB 54, this mandate is part of California’s broader push to curb plastic waste and reduce landfill overflow. By 2032:
All single-use packaging sold or distributed in California must be compostable or recyclable.
A minimum of 25% plastic waste reduction must be achieved by 2032, with incremental goals beginning as early as 2025.
Producers are required to fund $5 billion over 10 years toward plastic pollution cleanup and mitigation.
Though California-specific, this legislation has national ripple effects—especially for manufacturers and distributors operating across state lines.
Shifts in Material Demand
Packaging made from bagasse, PLA-lined paper, moulded fiber, and other certified compostable materials is seeing a spike in demand.
Polystyrene, PVC, and mixed-plastic packaging options are being phased out due to non-compliance risks.
Supply Chain Adjustments
Businesses are exploring domestic production partnerships to avoid delays from overseas suppliers who lack compliant materials.
Lead times, certifications (such as ASTM D6400 and BPI), and regional sourcing are now critical decision factors.
Increased Focus on Labelling & Transparency
Clear end-of-life labeling (e.g., "commercially compostable") is necessary to avoid greenwashing.
Brands are leveraging custom branded compostable packaging to showcase sustainability leadership.
Even if you’re not based in California, if your products are sold there—or might be in the future—you’ll be expected to comply. Major national retailers and food delivery apps are already tightening packaging requirements in anticipation of the mandate.
By adopting compostable packaging solutions now, businesses can:
Stay ahead of compliance deadlines
Increase appeal with eco-conscious consumers
Strengthen relationships with California-based partners
At This Element, we help foodservice establishments and suppliers navigate the evolving regulatory landscape with:
Certified compostable takeaway packaging made from renewable resources
Custom branding options using water-based inks and compostable substrates
Bulk ordering discounts for businesses of all sizes
From moulded fiber bowls to PLA-lined soup containers, our catalogue is designed to support compliance and sustainability, without compromising on performance or design.
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