Plastic pollution has reached unprecedented levels, surpassing 400 million tons across the globe; 75% of all plastic ever produced has become waste, much of which pollutes the land and waters that sustain life. While plastics are relied on across a wide range of industries—including construction, textiles, and toys—plastic packaging is a unique segment because of packaging’s short lifespan. As major drivers of plastic packaging, the food and beverage sectors face added sustainability challenges when it comes to recycling, specifically when films are contaminated with food residues.
As these industries began to recognize the challenges posed by traditional plastic packaging, many brands committed to do better, setting targets to reduce waste and improve the sustainability of their packaging by 2025. As a result, the packaging industry has made significant progress in the past decade, and now businesses across the globe are recommitting to 2030 to continue to build on this momentum.
This widespread push to eliminate waste and lean into recyclable, compostable, or reusable packaging sparked many new technologies and innovations. As we kickstart 2026, the focus is shifting from meeting those 2025 sustainability targets to scaling the innovations that have emerged. Similarly, we expect new segments will enter the conversation to leverage these evolving technologies and improve their own impact. As compostable packaging continues to make waves, here are three predictions on how compostable innovations will impact the year ahead:
Small Format Sachets for Powdered Beverages, Condiments, and Vitamins Will Embrace Compostability
As consumer lifestyles become faster-paced, convenience in consumer-packaged goods is critical. Whether at work, at the gym, or on the way to pick up the kids from daycare, compact, single-serve goods are preferred by consumers because it gives them the freedom to slip the product into their bag and head off to their next adventure. Primarily used for foods, powdered beverages, vitamins, supplements, and condiments, sachet packaging has grown to keep up with this demand.
While these easy-to-use sachets offer unmatched convenience and portability for consumers, their small format typically prevents them from entering the recycling stream. The size of sachets makes them difficult for recycling machinery to detect, and they’re often contaminated with food residue that is difficult to remove before disposal—especially when used on the go.
Even though single-portion sachets align seamlessly with the always-on lifestyles consumers are used to, consumers also don’t want companies compromising on the sustainability of their packaging. For this reason, in 2026 we expect to see more sachets go compostable. Eco-conscious brands like Kencko and Broc Shot have already taken the necessary steps to ensure their customers can enjoy the lifestyle they desire while still remaining faithful to their care for the environment.
High-Barrier, Paper-Based Packaging Moves Toward Compostability
In 2025, the industry saw the “paperization” of packaging throughout the food sector as a method to help reduce plastic use. As a renewable source, many consumers view paper-based packaging as a natural and sustainable alternative to plastics, but the shift to paper-based formats is still challenging for many product types. Without plastic layers, purely paper-based pouches lack the barrier qualities necessary to maintain a long shelf life for food items; and once those composites are added to a paper-based package, the pouch becomes unfit for the paper recycling stream.
This puts many food brands in a tricky situation where they want to answer consumer demand by offering paper-based formats, but in doing so, they are actually losing out on important sustainability opportunities. For companies that want to keep up with consumers’ perceived environmental friendliness of paper while also adopting a fully circular solution fit for organic recycling, paper-based pouches with high-barrier compostable films are a viable option. In fact, this solution meets all the functional needs of a food pouch without compromising on circularity. As this approach to the paper paradox continues to gain traction, we theorize that more brands will jump aboard the paper bandwagon, switching from plastic laminates to paper laminates that combine paper and compostable materials.
Retailers Will be Encouraged to Adopt Compostable Pre-Checkout Bags
When the consumer enters a grocery store, they encounter a great deal of the plastic packaging that eventually adds to waste statistics we see across the globe. Not only from the containment of processed goods that can be found in the center aisles, but also along the perimeter of a grocery store, where fresh, whole foods are typically displayed. In the produce section, produce bags are used to group together and weigh fruits and vegetables before checkout. Bags are also offered in bakeries or delis to protect freshly made goods, and even meat counters utilize bags to wrap and weigh cuts of meat.
While some of these pre-checkout bags can be made from paper, certain applications require the transparency, durability, and sometimes reclosability that plastic packaging formats can provide. In previous years, legislation popped up across various states and municipalities to ban the use of non-compostable checkout bags or single-use plastic bags, and now we expect this trend will continue to grow and target non-compostable pre-checkout bags in 2026. In fact, at the start of 2025, California’s SB 1046 set the precedent by demanding that only recycled paper or compostable produce and meat bags be used in grocery stores.
Innovating Compostables for the Future
Now that compostable packaging solutions have gained traction throughout the industry, the technology is advancing rapidly. As we dive into 2026, there are already a lot of impressive compostable solutions in the market. With continued collaboration across the packaging industry and increased regulatory support, compostables are set to redefine what sustainability means for packaging across a wide range of industries.
