Is fibre the future of sustainable packaging?

Paper packaging already offers clear sustainability advantages thanks to its recyclability and ability to biodegrade under the right conditions. Yet to support the transition away from fossil-based plastics, paper needs stronger barrier performance. Food, drink and other sensitive products still require protection from moisture, grease and oxygen, and many paper solutions fall short, often using undesirable per- and polyfluoroalkyl substances (PFAS) coatings. By improving barrier performance without undermining safety and circularity, fibre can unlock the next generation of truly sustainable packaging.

Why fibre-based packaging matters

In the UK, paper-based packaging plays a central role in supporting a circular economy. Of the 5.4 million tonnes of paper and cardboard packaging placed on the market in 2023, approximately 4 million tonnes were recycled, giving an impressive recycling rate of around 73.4%. This demonstrates paper’s long-standing position as a renewable, recyclable and biodegradable material that works well within existing waste-management systems. 

The UK’s single-use plastics ban (that has been in place since October 2023), and the upcoming Extended Producer Responsibility scheme are prompting brands to move away from fossil-based plastics and toward more sustainable alternatives. 

As these requirements tighten, fibre-based packaging will not only remain relevant, but it will also become essential for businesses seeking to meet policy expectations, reduce plastic waste, and respond to consumer demand for environmentally conscious solutions. 

The rise of rigid fibre packaging

While flexible paper solutions often dominate headlines, rigid fibre-based packaging, including trays, containers and protective components, is driving some of the most exciting innovation in the sector. Its appeal lies in its strength, recyclability and the ability to incorporate barriers that protect against moisture, grease and oxygen.

Wet versus dry moulded fibre

Rigid fibre packaging is primarily produced either through wet moulding or dry moulding – two distinct processes that are shaping the future of sustainable design. 

Wet-moulded fibre uses a slurry of pulp and water that is shaped in precision moulds. It offers excellent definition and a premium surface finish, making it ideal for protective and structural packaging. However, the process is water- and energy-intensive, and the drying phase leads to slower production cycles. 

Dry-moulded fibre, by contrast, uses minimal water and enables much faster cycle times with highly efficient energy use. It also allows for more complex geometries. The main challenges are the need for specialist equipment and the difficulty of achieving high-barrier performance without compromising recyclability. 

Together, these technologies are reshaping the boundaries of fibre-based design. 

The critical role of barrier innovation

One of the biggest hurdles for fibre-based packaging is delivering the protective qualities that are typically provided by plastic, while keeping the pack recyclable. 

Barrier innovation is transforming what fibre can achieve. Advances include: 

• Water-based coatings that maintain recyclability. 

• Bio-based barrier layers that improve shelf life. 

• Fibre composites that deliver enhanced mechanical strength. 

• Functional surface treatments that improve grease and moisture resistance as well as providing durability and thermal stability. 

A key focus within barrier innovation is the replacement of PFAS-based coatings. While PFAS have historically been used to deliver exceptional grease and moisture resistance to fibre-based packaging, growing regulatory pressure and environmental concerns means that they must be phased out. The packaging industry therefore has an urgent need to accelerate the development of PFAS-free alternatives that deliver equivalent performance without compromising recyclability or safety. For more guidance on how to replace PFAS, download our guide, Replacing PFAS: a guide across industries.

Challenges ahead

Fibre-based packaging brings clear sustainability advantages, but key technical, economic and regulatory challenges remain before it can be adopted at scale. 

• Recyclability: Fibre packs must remain compatible with local recycling systems, placing limits on barrier material use. 

• Cost and scalability: Advanced moulding technologies require significant investment in equipment, materials and infrastructure. 

• Regulatory fragmentation: Inconsistent global regulations make it difficult for brands to standardise packaging formats, slowing innovation and increasing development costs. 

Addressing these issues will be critical to unlocking fibre’s full potential within a more circular packaging economy. 

Who’s leading the way?

A wave of innovators, from scale-ups to global brands, are pushing fibre technology forward: 

• PulPac (Sweden): A pioneer of dry-moulded fibre, offering rapid production with minimal water and energy usage. PulPac is working with partners including Seismic Solutions and PA Consulting, as well as brands such as H&M and PepsiCo, to scale rigid fibre applications globally. 

• Pulpex (UK): Creators of a patented moulded fibre bottle with food-safe internal coatings. In Feb 25, Pulpex announced a £62 million Series D investment to support construction of their first major production facility, targeting ~50 million bottles annually. 

• Paboco (Denmark): Developers of an approximately 85% fibre-based wet-moulded bottle with an HDPE barrier layer. Working with partners including Coca-Cola, Carlsberg and Absolut, Paboco is entering full-scale production and expects to manufacture over 20 million bottles by the end of 2025. 

• Blue Ocean Closures (Sweden): Makers of what is reportedly the world’s first market-ready recyclable fibre-based screw cap, featured on Paboco prototype bottles. 

• Frugalpac (UK): Producers of the Frugal Bottle, made from ~94% recycled paperboard. In 2025, the bottle launched across roughly 1,200 Target stores in the US, signalling growing mainstream adoption. 

• CelluComp (UK): Developer of a bio-based nanocellulose derived from vegetable waste streams. It offers high strength and barrier enhancements that are ideal for fibre bottles and rigid fibre applications. 

• Cullen Packaging (UK): Manufacturers of The Fibre Bottle, a moulded fibre solution made from 100% natural materials and already manufactured at commercial scale, with customers including the NHS. 

• James Cropper (UK): Developer of secondary moulded fibre packaging, combining premium fibre engineering, precision forming and sustainability. 

• Kemira (Finland): Developers of novel chemistries including high-performance barrier coatings for fibre-based packaging. 

Together, these companies are expanding what fibre can achieve and helping to drive the shift away from conventional plastics. 

How CPI can support fibre-based packaging companies

At CPI, we work with innovators at every stage of their packaging journey, from early concept to full-scale production. Our expertise can help companies overcome the technical and commercial challenges associated with sustainable packaging innovation. 

We support fibre-based packaging development through: 

• Formulation and design for sustainability, ensuring PFAS-free materials and compatibility with recycling systems. 

• Barrier coating development, application and performance testing. 

• Process optimisation, scale-up and technology selection, supported by advanced analytical characterisation. 

• Modelling and simulation, including LCA and techno-economic analysis, to validate sustainability and commercial viability. 

• End-to-end commercialisation support, helping innovators bring products to market more quickly and efficiently. 

The future is fibre

Fibre-based packaging is more than a trend; it’s an inevitable change for a circular economy. With continued innovation in moulding technologies, PFAS-free barrier solutions and recyclability, fibre packaging is well-positioned to replace plastics in many applications. Collaboration between industry leaders, start-ups and research organisations like CPI will be critical to making this transition scalable and sustainable.