Brexit is approaching and the plastics debate rages. Waqas Qureshi spoke to Aegg MD, Jamie Gorman about the state of the industry, the frustrations of uncertainty and the opportunities for 2019

Describe your business in three words.

Jamie Gorman, managing director, Aegg Creative Packaging: Creative. Leaders. Quality.

How was trading in 2018?

Gorman: 2018 has been an interesting year for food packaging businesses, with the Brexit and plastics debates causing confusion and uncertainty within the industry. However, going forward we are remaining fleet of foot, taking control of things that fall within our control and seeking opportunities in arenas further afield and not touched by Brexit.

What’s your strategy for 2019? Capital expenditure, new staff, expansion, etc? And is now a good time to invest?

Gorman: We will be accelerating our ‘mindful plastic’ strategy. Product innovation is critical and we are vigilant over changing attitudes to packaging (some deem glass to be more environmentally damaging than plastic). Overall we are bullish: we are in the midst of increasing staffing levels and UK production and warehousing facilities.

We are nearing crunch-time for Brexit. As it draws closer have your views changed on how business might be affected?

Gorman: We feel that all businesses, not only those involved in plastics, will have to deal with the uncertainty of Brexit for a lot longer yet. It is possible that importing products from the rest of Europe may be harder after Brexit. Therefore, we are in the midst of increasing our UK manufacturing and warehousing options.

What are your customers currently demanding? Are there any particular trends that you’re seeing?

Gorman: Due to the ‘Blue Planet Effect’, there is more demand for recyclable products, including PET and PP. The overall customer and consumer trend we would summarise as ‘confusion’. As a result there is an emergent fragmentation in attitudes to the environmental characteristics of different materials. Demand for our glass products has really grown in the last few months.

What is the biggest challenge facing the rigid plastics market this year?

Gorman: It is difficult to identify the biggest challenge. Brexit, although still with its significant uncertainty, has the potential of providing considerable upsides. On the other hand, where the consumer attitudes towards packaging (of any type) ends up, is more uncertain. Forthcoming government legislation will affect this. So overall, this is our biggest challenge.

Amidst the single-use plastic debate, how do you feel the rigid plastics packaging sector has responded?

Gorman: As there is so much potentially at stake, the industry has responded very well. We must make the right balanced decisions for the physical planet, for businesses, for consumers and for general populations. We have to see through the knee-jerk reactions and vested interest. The British Plastic Federation (BPF) has been doing a great job in corralling debate with government to ensure the right legislation come into force.

Have you launched any new pack formats?And what are the most popular with brands?

Gorman: We have launched new ranges in thin walled recyclable PP and PET food pots and bowls. These formats mean that less material is used, with environmental and cost benefits. PP, in the UK in particular, is proving to be very popular. Brands are still looking for on-shelf presence and so embossed and etched packaging are popular.

Was there a project that you were particularly proud of in the last 12 months?

Gorman: We reacted very quickly to the changing sentiment towards plastic. As a result we are now as big a glass company as we are a rigid plastic company. Amongst all the confusion, including over Brexit, our customers want some ‘solid ground’. Using the strength of our partnerships, we have been able to give this to them.

If you had one message to your industry peers, what would it be?

Gorman: Hold onto your hats. We haven’t seen anything yet!

This month’s industry experts

Jamie Gorman is managing director of Aegg Creative Packaging, manufacturers, designers and ‘total solution partners’ to food and drink companies looking for recyclable rigid plastic packaging. Customers range from Greencore, Noble Foods and Andros to independents.