The Cost Down Alternative to Wood in the Fresh Produce Industry

Driving down costs at any point during the supply chain will draw attention. This is where the Hybrid Bin enters the frame in the fresh produce industry.

Wood has been the main material used in the transportation of fresh produce for decades and because it has been used for so long there has been little thought about alternative materials.

The nature of market pressures and evolution is now forcing the fresh produce industry to look into alternatives. The main market pressures are cost and achieving value for money, in order to comply with these areas new materials are the only way forward. Plastic is the only sensible option in choosing a new material.

Using the Hybrid Bin as returnable packaging for your fresh produce is the most economical way of replacing wooden bins. The Hybrid Bin is more environmentally friendly, hygienic and easier to wash than wooden bins. This is coupled with the Hybrid Bin being more durable and having a longer lifespan than current wooden bins which automatically reduces the overall cost for growers.

The pack out of the Hybrid Bin compared to the current wooden bins is a marked improvement, increasing value for money in comparison to wood and then, in the long run, reduced costs as you will require less bins. The reduction on cost is considerable and the availability to nest in transport.

All aspects of the Hybrid Bin point to financial improvements over the existing wooden bins.

Don’t take all of this as gospel, come and experience the financial efficiencies for yourself. I can arrange the opportunity of a FREE trial of the bins to see first-hand and compare to your existing bulk packaging. 

The Hybrid Bin taking Hygiene and Product Quality Standards to the Next Level

Supermarkets and fresh produce retailers are striving for fresher produce and higher quality standards. Alongside this is food hygiene and protecting the goods.

Macro Plastics’ Hybrid Bin are made from virgin polypropylene, FDA approved plastic certified for safe use with food products. So not only are they safe, the Hybrid Bins are environmentally friendly which is another key element of the fresh produce market today. Also this provides a residual value to the product at the end of its life cycle as they can then be recycled.

Safety, hygiene and quality are three key components that we at Macro Plastics have concentrated on in the design of the Hybrid Bin. Ventilation and the ease of cleaning and maintaining were high on the agenda.

The Hybrid Bin comes with ventilated surfaces and solid surfaces. The ventilated bin is available to the fresh produce and citrus markets and the solid hybrid is ideal for the juicing and meat industries as well as other markets. 

The ventilated version of the bin allows the products to cool as quickly as possible ensuring there is a constant air flow throughout the product therefore increasing product life.  The ventilation slots are coupled with nonporous surfaces to reduce liquid absorption leading to fresher produce resulting in better quality and longer shelf life, exactly what fresh produce retailers crave.

The surfaces and rounded corners of the Hybrid bin are designed to reduce the risk of damage from bruising and improve the quality of the product when it is delivered to the processor or packer/ retailer. Also, the Hybrid Bin is easy to clean and sanitize, this improves hygiene standards reducing the risk of contamination from different products.

The Hybrid Bin delivers on all of these areas to levels that wood has never been able to achieve, this is the perfect way for the fresh produce to move forward in terms of bulk packaging in the supply chain.

Macro Plastics is able to offer the opportunity of a free trial period to use the Hybrid Bin as a trial without yet making a decision from wooden bins. You can then see how the bin works and improve your efficiencies. 

Why are Fresh Produce Growers still using Wooden Bins?

Macro Plastics’ Hybrid Bin is the perfect packaging solution for the fresh produce industry at every stage from harvesting, storage to shipping. Plastic has to be the material of choice for the produce industry as it ensures the quality of its contents from field to supermarket.

Wood is no longer a viable option for the fresh produce industry due to increased risk of contamination and required hygiene standards. Therefore, plastic is the only solution with the Hybrid Bin being the first on the market.

The Hybrid Bin uses both plastic and wood together to create the most cost effective and efficient returnable bulk bin of its kind. The plastic bins sit inside wooden frames that the growers are able to make from their existing wooden bins. This reduces waste as the old materials are not just thrown away, reducing the cost of moving to the new plastic alternative.

The reluctance to use plastic has always been down to the increased costs over using wood. Now with the blend of both, the Hybrid Bin is able to offer fresh produce growers all the benefits of plastic at an affordable cost. The Hybrid Bin answers all of the issues that wood and cardboard have never been able to do.

Reducing damage is one of the pertinent issues for growers, driving down the cost of damages to their produce has a direct effect on their bottom line. Wood has been one of the main materials used to ship fresh produce but is susceptible to splinters and contamination. Macro Plastics’ Hybrid Bin offers a strong alternative.

The Hybrid Bin with its smooth edges is able to increase the pack out reducing the risk of bruising and damage compared to using wooden bins. The Hybrid Bin is perforated therefore keeping the contents fresh and is able to cool the produce effectively.

When being returned the bins are nested inside each other and the wooden frames can be placed inside ready for the grower to use again in the field.  These features are considerable financial improvements over the basic wooden bins.

When not in use over the Winter months, the growers can nest them in straight stacks. This reduces both the storage space required and damages from being blown over in wintery conditions, something that cannot be said for the current wooden bins.

The Hybrid Bin is now being used in the US as a direct replacement to wooden bins which are no longer viable. They have been designed in response to fresh produce grower’s demand for a cost-effective solution.

This is the answer to European growers packaging problems.

And it is available on a FREE trial.

We invite you to trial the Hybrid Bin in your own environment and experience all of the benefits for yourself. 

Take a Closer Look at Returnable Packaging

So how robust do you believe your supply chain is and how are you looking to manage and increase your capacity in the growing global market?

I will be taking part in a panel discussion on the capacity and robustness of supply chains at the Automotive Supply Chain Congress in Liverpool.

Over the next two days the executives from the leading automotive manufacturers will be attending the annual conference to discuss where their supply chain is heading and how they can keep up the growing market, returnablepackaging being one key area of interest.

On the panel there will be Jonathan DiMambo from Bentley Motors, Richard Horswill from Stena Freight, Cengiz Kabatepe of Ford Otosan, Timothy Nickel of Surgere, Mike Silvio from Cooper Standard Automotive and Stewart Robertson from DHL.

With today’s demand and capacity restraints due to fast and accelerated movements through the supply chain no one has time to waste with waste.

The procurement of one trip packaging and disposal is completely unnecessary when the offer of hiring/ renting quality returnable solutions on a one trip basis is available regionally and globally.

The automotive industry is surprisingly unaware of the opportunities that returnable packaging presents to their supply chain. The amount of options that are now available to OEM’s and tier suppliers are endless.

Development of the returnable packaging market and the emergence of new companies now provide OEM’s and tier suppliers with solutions that they could only dream of previously.

Returnable packaging solutions can help solve your issues around capacity and robustness in order to improve the performance of your supply chain. This one simple change can transform your whole supply chain.

Intercontinental supply chains have grown significantly and will grow even further in the future, the need for more components required in more locations and more often is rocketing. Bringing costs down and improving capacity utilisation is integral, returnable packaging using plastic improves cubed utilisation allowing you to ship larger quantities for lower costs.

With the speed of supply chains growing and quality standards going in the same direction there is little room for error, plastic returnable solutions are built to ensure quality and reduce damages.

Reducing damages and ensuring the quality of components is high on the agenda, using returnable packaging solutions can reduce these risks associated with the expendable packaging such as cardboard. By reducing the risk of damaged goods this in turn reduces the costs and aids the speed of the supply chain.

With the progress that has been made by the returnable packaging industry it is now easier than ever to justify the shift to using these new methods as opposed to using old and inefficient packaging solutions.

Now, the automotive industry has all of their needs catered for in terms of packaging. All they need to do is try returnable packaging for themselves to experience the benefits first hand.

London Produce Show – Where is the fresh produce market going?

Everyone from the growers, the retailers, and the catering industry through to the consumer all want one thing when it comes to produce – freshness. The importance of freshness and the quality of fruit and vegetables is at its highest level and looks set to grow, this is the challenge for the fresh produce market.

In order to deliver the freshest produce supermarkets and fresh produce retailers are looking to reduce the contact points of their goods from the grower to the shelf to one touch. This is where shelf ready packaging is now in high demand and to maintain the freshness and increase the shelf life it is imperative to reduce the supply chain timings. The handling of fresh produce only once before the end consumer buys it is vital. The responsibility of the grower to also be the processor and packer into shelf ready bins / totes is a must. With the correct packaging at the correct prices this is now manageable and available.

Using plastic as opposed to cardboard cools the produce 60% quicker and protects the contents throughout the supply chain which reduces damage. Handling is also reduced as the 2^nd handling process in the country of destination is cut out.

Improving the freshness and quality through speeding up the supply chain adds to the shelf life of the produce and this in turn dramatically reduces the retailer’s waste costs.

When it comes to looking at alternatives in anything to do with business often there tends to be areas that are left behind.  There are now returnable packaging options available that meet all of those above requirements to the highest possible standards leaving no stone unturned, and at the competitive pricing as a result of one trip.

The plastic 5-FV tote and 330 Shuttle Bin are designed for ease of use for the grower to place their produce in and to ship them effectively, hygienically and reducing damage that can then be placed straight onto supermarket shop floors.

 Both of these products are available as one trip options which is the beauty of plastic. The fresh produce industry has commonly used expendable packaging, the collapsible tote and bin are a returnable alternative that reduces packaging costs and improves return on investment.

The tote then complies with the usual requirements of a packaging solution. The reinforced corner edge allows them to be stacked confidently 10 high per pallet, this is opposed to cardboard that is commonly used and is susceptible to collapse due to moisture.

I look forward to visiting the London Produce Show to understand what the market is after and to show them how I can help them improve the performance of their supply chain by delivering top quality produce. 

The Importance of the EU to the Supply Chain

Which side of the EU debate is the automotive and supply chain industry?

How could the EU debate affect these industries?

It is important to look at where the automotive industry is currently and where it is heading in the future, then add the European Union to the question.

The UK is the second largest manufacturer in Europe this year behind Germany; this is a six year high and an interesting sign towards the future. This performance is down to number of great performances by a group of manufacturers.

 Jaguar Land Rover has been the main contributor with the new Range Rover and Jaguar range this is a manufacturer that is going to be 40k cars short of sales this year. The majority of JLR’s vehicles are exported, mainly to the emerging Asian markets which are an indication why they are building plants around the globe.

Nissan are another car manufacturer that has been a huge contributing factor in the UK success in the automotive sector with the new Micra and Qashqai being built in Sunderland. The factory is the most productive in Europe.

General Motors have ramped up production in the UK and closed down their plant in Germany. Toyata and BMW are also contributing with the large number of vehicles they are exporting from the UK. If that isn’t a big enough indicator of where the UK are going in the European pecking order then what is.

The majority of the vehicles coming off the production lines of manufacturers in the UK are being exported; therefore the industry needs a helping hand moving them off the island and onto mainland Europe or through European waters. If there is an exit then this task becomes harder and more expensive as the taxes and fees will be increased as the UK will no longer be part of the club.

Before we get to the exporting stage, the manufacturers need their parts delivered in order to make the car and then to sell it. Importing parts and logistics is a factor that involves European Union membership.

Whichever direction the UK automotive industry looks the European Union is going to involved in some shape or form and for the good and the bad.

With the future picking up for the manufacturers and supply chain they are going to need as much help as possible but on the flip side they need to safe guard against competition and sustainability. 

Why can’t you make returnable’s work in a Global market?

There really is no reason why returnable packaging shouldn’t work for your supply chain. Returnable packaging delivers on all areas of the supply chain, most importantly on cost downs and efficiency.

Michael Scholl of Opel states that returnable packaging is a key part of the strategy yet questions the use of them due to cost. The cost of returnable options is reduced through the pooling companies offering one trip solutions. If you explore the market of returnable packaging you will be able to find viable alternatives that match the company’s needs and help to drive down costs.

Earlier this year at the Automotive Logistics Conference Andreas Ginkel highlighted the importance of returnable packaging to the supply chain and aiding automotive manufacturers in growing globally.

Scholl points out in the Automotive Logistics magazine that due to the rise in the number of parts there is “a critical focus on replacing extra handling in plants and warehouses, such as repacking or sequencing with the most advanced delivery concepts”. If Opel are aware of the needs to look at repacking and packaging, why are they unaware of what returnable packaging can do to help them address this issue?

Using returnable packaging removes the need for repacking; returnable options are able to go line side requiring no extra handling and aids in streamlining in-plant logistics. Using plastic returnable packaging reduces the risk of dust contamination during the manufacturing of vehicles as opposed to using cardboard is another benefit.

When asked about standardised packaging Scholl states the returnable packaging is “historically high and a key strategy”.

But then goes on to say - “However, for certain parts and supplier locations, returnable packaging cannot be justified from a cost perspective, as the length of the loop would require too high an investment and freight costs of empty returns.”

Returnable packaging is designed with global manufacturing at the forefront of thinking, so why can’t it be justified in terms of supplier locations? And then when it comes to the cost of empty returns, as mentioned above, explore the one trip solutions offered by pooling companies which removes the cost of returning and the added hassle.

The point that is missed by many when one trip solutions are mentioned is the fact it is not solely used for the automotive industry. They can be used to ship a variety of goods from clothing to pharmaceuticals.  

If Opel are so clued up on returnable packaging and the fact that they are a key strategy why aren't they equipped with knowledge to understand how returnable packaging can benefit them?

They have identified the need for them and also some of the associated problems that they could encounter, this is when a free trial is needed to understand the process and address the problems that they are outlining.