Cosmetics packaging goes green, with trade-offs

Based on reports from the Vietnam Cosmetics Association (VCA), the local cosmetics sector is showing demand for eco-conscious products. Alongside safer formulations, packaging is recognized as a key factor in both sustainability and consumer trust.

Associations such as VCA and the ASEAN Cosmetic Association (ACA) are encouraging industry players to adapt sustainable solutions in tandem with circular economy initiatives.

Vietnam’s cosmetics industries are moving toward circular economy principles, supported by association-led programs: close-loop systems are in place where packaging is collected, recycled, and reused, reducing waste and resource consumption. Brand owners, suppliers, and recyclers together strengthen infrastructure for packaging recovery, while consumers are presented with discounts or other incentives to return packaging.

Still a challenge for many manufacturers

The growth in sustainable packaging design and application is accelerating in sectors such as personal care and cosmetics, however, manufacturers who are taking the green route are limited by certain factors.  Among these, the cost of biodegradable and compostable materials limits adoption of smaller manufacturers. Biodegradable films, compostable plastics, and refillable systems are more expensive due to limited supply chains and specialized production processes. Big brands can order in bulk and negotiate lower prices, while SMEs are dealing with higher per-unit costs.

As e-commerce surges, cosmetics companies have to meet demand for packaging that is both durable enough for e-commerce logistics and yet eco-friendly to meet sustainability requirements.

E-commerce requires packaging that can withstand shipping, handling, and returns. Such packaging requires thick plastics, multilayer laminates, or protective fillers that can be harder to recycle or replace with biodegradable alternatives. Meanwhile eco-friendly materials durable for logistics are more expensive or less available in some markets, and this slows adoption. These demands conflict with one another, and the added cost of eco-friendly materials makes the balance between durability and sustainability even more challenging for companies.

Another setback is the need for a robust recycling infrastructure, without which manufacturers rely on biodegradables that can be up to five times more expensive compared to conventional plastics. High-quality recycled materials such as rPET and PCR are limited in supply in Southeast Asia, and often imported, driving up procurement costs.

Recycling initiatives are rolling in parts of the region, although the infrastructure is still described as fragmented and still developing. The good news is that government policies and projects are pushing toward circular economy models.

Addressing the issues together

A layered approach overcomes these setbacks, and other packaging challenges. In Vietnam – or other parts of the region, cosmetics manufacturers can adopt the phased integration of biodegradable materials. The Vietnam Cosmetics Association (VCA) suggests that they begin the phase with managing their secondary packaging – bottles, jars, compostable films, sleeves, wraps and carton, etc.

Regional co-operation is part of the multi-pronged approach. The ASEAN Cosmetic Association (ACA) encourages countries like Vietnam to further leverage the region’s recycling networks and harmonized compliance frameworks. Alongside such collaborations, partnerships between the public and private sectors continue to yield positive outcomes in reinforcing the recycling infrastructure and in incentivizing consumer participation in return schemes.

Sharing in the effort to improve the personal care and cosmetics ecosystem, the business event ASEAN Personal Care Technology Summit (APCT) brings together suppliers, manufacturers, members of the academe, and industry experts across Southeast Asia to emphasize knowledge-sharing and technology transfer, and access innovations. This year, the APCT will take place in Ho Chi Mihn City from May 19-20.