In Russia, a plastic mesh bag is massively used for the transportation of agricultural products and its retail sale. This inexpensive and practical method of packaging has long been loved by farmers, and today there is no real alternative to it. Therefore, the news about the imminent ban on the use of the grid sounded like a bolt from the blue.
Dubious initiative
In April of this year, it became known that the Russian Ministry of Industry and Trade was considering the possibility of banning a plastic mesh bag used for packing fruits and vegetables for sale. The initiative comes from the Public Law Company "Russian Ecological Operator" (REO), coordinator of the municipal solid waste recycling reform.
– The main argument of the REO is the difficulty of recycling such a grid, – explains the head of the apparatus of the Union of Potato and Vegetable Market Participants of Russia (Potato Union) Tatiana Gubina. – During the processing of waste, it is wound around the units of sorting equipment and can lead to a stop of the entire line. There really is such a problem, but the method chosen to solve it is surprising.
Referring to the difficulties with the processing of the mesh, the REO suggested using bags and films made of propylene and polyethylene as an alternative. However, no one talks about banning the same mesh if it is used to transport agricultural products. That is, there is clearly no talk of a transition to environmentally friendly types of packaging or new possibilities for its processing.
– Motivating their proposals, the REO relied on a study conducted by the Yegor Gaidar Institute for Economic Policy, – adds Tatiana Gubina. – The arguments set forth in it raise many questions among specialists of the agro-industrial complex and processors.
Misunderstanding of the problem
In response to the rising wave of indignation, Denis Butsaev, Director General of the REO, assured the public that all proposals are at the stage of working discussion, and decisions will be made later. And he commented on fears about the future rise in prices for vegetables as follows: “It is extremely difficult to understand how selling potatoes in bulk, and not in a package, will cause such a rise in price? If the goods are sold by weight, then there will be no packaging in principle, and the goods should become cheaper.”
But in reality, there are prerequisites for a rise in prices, and for practitioners they are obvious.
“The implementation of this initiative will indeed lead to an increase in prices, primarily for potatoes,” she is convinced Tatiana Gubina. “Premium products with non-banned packaging will not rise in price. But the cost of potatoes and vegetables in the "economy" segment, which the majority of the population is forced to buy, will at least double or completely disappear from the shelves.
The proposal of the authors of the initiative to sell everything in bulk is unacceptable for either manufacturers or retail chains. In recent years, due to difficult weather conditions, the quality of agricultural products obtained has suffered. And farmers are experiencing great difficulties with the sale of small-caliber vegetables.
“For example, retailers take potatoes of the 45+ category for sale only if they are packaged in 2,5-5 kilograms in a mesh bag,” notes Tatiana Gubina. - The same applies to small carrots, table beets, onions. Chain stores will not sell such vegetables by weight, producers will have to take them to a landfill and make up for losses by raising prices for the rest of the crop.
No grid anywhere
According to experts, the polyethylene mesh-bag, in which vegetable products are sold, makes up an insignificant share of the market. The most mass-produced packaging in Russia remains the mesh, designed for a weight of 25 kilograms and used for transportation. The one that has yet to be banned.
“At our enterprises, the mesh bag is used as consumer packaging, as well as for short-term storage and sending agricultural products for sale,” says the General Director of TN-Trade LLC and JSC Tulskaya Niva Anastasia Sokolova.– Packing in the latter case comes in 25, 15 and 10 kilograms. Thus, we fulfill the mandatory requirements of retail chains for the supply of potatoes and vegetables, prescribed in the contracts.
– In terms of logistics, this is the most convenient type of packaging, which is actively used by thousands of households in Russia, – says the head of the “Packaging equipment” direction of Agrotrade Company LLC. Mikhail Afarinov. - As for small packaging, in recent years, a 2,5 kilogram net with the possibility of automatic packing of 10 such bags into one large one is gaining popularity. It is used mainly by large manufacturers working with retail, and for them it is a real opportunity to sell products of any caliber.
“According to our calculations,” he says. Tatiana Gubina, - of the three million tons of ware potatoes that are sold annually through stores in different regions, from 25 to 40% are 45+ caliber tubers. This product, like a large part of the harvest of open-ground vegetables, can be sold only thanks to packaging in a mesh bag.
“In terms of sales volumes in chain stores, agricultural products packed in plastic nets are leading by a wide margin,” notes the General Director of Zhniva LLC. Victor Breev.– Even in large cities such as Moscow and St. Petersburg, the demand for potatoes in “house”, “clip” or paper bags is minimal. And on the periphery, for example, in Kazan or Yelabuga, buyers do not take such a product, which is classified as a premium class. The difference in cost with the economy class is huge, because a kilogram of tubers in a net can cost 20 rubles, and in paper packaging - about 100.
Paper won't save
Theoretically, the grid-bag has an alternative, but who will pay for it? Any manufacturer seeks to reduce costs, including packaging, and consumers are not interested in increasing the cost of goods.
- If we talk about the environmental component of the issue, then the best replacement for the net will be a paper bag, - believes Mikhail Afarinov.– But it is much more expensive than all other types of packaging due to consumables. Judge for yourself: the price of a mesh bag for 2,5 kilograms of potatoes is 2-3 rubles, "clips" - 3,5 rubles, "house" - 7-10 rubles, a paper bag - from 15 rubles and more.
“Our company spent about 100 million rubles on the purchase of a line for packing potatoes in paper bags,” says Viktor Breev.– A very small number of enterprises in Russia have such equipment. We wanted to increase our competitive advantages, enter the market with a range of products in different types of packaging. But in fact, it turned out that the cost of the package exceeds the cost of its contents.
It is not known what will once again come to the mind of garbage reformers. Therefore, it would be nice to take care of alternative packaging in advance for the transportation of agricultural products.
– We also use returnable containers – plastic boxes into which products in small packages are quantified, – shares his experience Anastasia Sokolova. – As far as I know, retailers tried to introduce this practice everywhere, but most suppliers ignored their initiative. There were also deliveries of potatoes in bins, large craft boxes. All these options are logistically inconvenient and unprofitable, because they do not allow the vehicle to be fully loaded. As a result, an increase in delivery costs up to 50% and more was recorded. Plus, problems with the acceptance of goods by the buyer, because in the distribution centers of retail chains there is cellular storage and placement of goods.
The need to upgrade packaging equipment can be a huge challenge for farmers. In connection with the changing situation, solid investments in the restructuring of technological processes will be required.
– An automatic packing machine that sews vegetables into a mesh bag is the most massive and cheapest, – notes Mikhail Afarinov. - Domestic manufacturers produce the necessary equipment, which can be purchased by both agricultural holdings and small farmers. But the purchase of imported lines intended for other types of packaging will hit their pocket hard.
“There really is no shortage of equipment on the market,” confirms Anastasia Sokolova. – But many packing lines have already been installed, large sums have been spent on them. In the worst case, they will simply stand idle, or you will have to change some nodes, spend time adapting the machines to other packaging materials.
Worth the fight
Food manufacturers also joined the discussion of a topic relevant for the agro-industrial complex, the packaging for which can also become illegal.
“Russian farmers and processors are building plans for the future based on the ability to sell products in plastic packaging,” explains Mikhail Afarinov. - A sharp categorical ban will disrupt their work for years to come. It would be more appropriate to amend the regulations governing how to oblige the manufacturer and the buyer to return such packaging, how to recycle and reuse it.
“I think it will suit the farmers if the authorities offer them some alternative before the ban is introduced,” he said. Anastasia Sokolova. - At least a few packaging options, but such that they are produced in our country, they are inexpensive and always in stock.
– In my opinion, the mesh bag should not be banned in the near future, – I am sure Victor Breevbecause it is impossible to do without it. Rather than act thoughtlessly and undermine the work of the entire industry, it would be better to organize work on the disposal and recycling of plastic at the state level.
“Today, at all sites, the Potato Union opposes the ban on the net,” says Tatyana Gubina, - because it will cause great damage to both producers and end consumers of agricultural products. I hope that new publications in the media will not allow the discussion that has begun to subside and will attract additional public attention. Together we can protect our interests.
Irina Berg