CMI Presentation Title Slide - Can Manufacturers Institute

The Sustainable Metal Can: Packaging for
Today and for the Future
Can Manufacturers Institute
September 27, 2005
Introductions
Robert Budway
President, Can Manufacturers Institute
Jeff DeLiberty
Senior Marketing Manager, Silgan Containers
Bill Heenan
President, Steel Recycling Institute
Agenda
I. Sustaining Demand for the Metal Can
• What consumers want now – and in the
future – from their packaging
II. Sustaining the Environment
• How metal can recycling impacts industry
and society
• What new energy use research tells us
III. Question & Answer
Sustained Consumer Demand for
Metal Packaging
Traditional packaging
consistently rated higher than
the newer entries into the
packaging market
• Seven in 10 respondents will choose
one product over another because of
its packaging.
• Metal cans always appear in the top
three packaging preferences
demonstrating consumers’ preferences
for traditional packaging.
Sustained Consumer Concern Over
Packaging Safety
Food safety continues to top the list
for consumer concern on packaging
1) Food safety
2) Maintains nutrients
3) Easy to store
92%
80%
78%
Metal cans are the package most
perceived as tamper evident
1) Metal food cans
68%
2) Glass bottles/jars
3) Plastic bottles/jars
65%
63%
Sustaining Demand Through
Innovation
Canmakers adding
functionality and
convenience through R&D
• What’s now and what’s
new:
– Microwavable cans
– Convenient-opening
features
• EZO, peelable,
recloseable
– Hybrid cans
• Consumption direct
from can, energy
drink lines
Sustaining Demand at the Point of
Purchase
Food processors using cans to
entice consumers, control costs in
new product introductions and line
extensions
• Campbell’s Chunky Chili varieties
rocket to number two in category.
• Homestyle Bakes leads to
explosion of box-in-meal dinner
solutions.
• Bumble Bee Premium Tuna &
Sheba cat food command
premium pricing for product.
Sustained Concern Over Packaging
Impact on the Environment
Metal cans remain the most recyclable
packaging form
• Metal cans continue to be the most recycled form of
packaging, far exceeding the recycling rates of glass
and plastic.
• Only half of Americans feel paperboard is recyclable,
and just one-third believe pouches can be recycled
(57% and 33%, respectively).
Sustaining the Environment
Taking Recycling Even Further…
•
How metal can recycling impacts
industry and society
•
What new “energy-use” research tells
us
% Cans Recycled
North American Steel Industry
Recycling Commitment
65
60
55
50
45
40
35
30
25
20
15
10
1988 1990 1992 1994 1996 1998 2000 2002 2004
North American Steel Industry
Energy Improvements
GJ/ Ton of Crude Steel
30
27
24
21
18
15
1960
1970
1980
1990
2000
Kg per Tonne of Liquid Steel
North American Steel Industry
Cumulated Avoided CO2 Emissions
4000
3500
3000
2500
2000
1500
1000
500
0
1
2
3
4
5
6
7
8
Number of Recycling Cycles at a 60% Rate
9
10
North American Steel Can Industry
Raw Material Efficiency
Grams/Can Body
40
35
30
25
20
1973
1978
1983
1988
1993
1998
2003
From Field to Table
Energy Makes a Difference
Production
10
7.5
MJ/kg
5
2.5
0
Refr'd
Frozen
Canned
Processing
10
MJ/kg
7.5
5
2.5
0
Refr'd
Frozen
Canned
Packaging/Retail
Canned
Frozen
10
MJ/kg
8
6
Fresh
4
2
0
Refr'd
Frozen
Canned
Transportation
10
MJ/kg
7.5
5
2.5
0
Refr'd
Frozen
Canned
Storage
MJ/kg
10
7.5
5
2.5
0
Refr'd
Frozen
Canned
Meal Preparation
MJ/kg
10
7.5
5
2.5
0
Refr'd
Frozen
Canned
North American Delivery System
Energy Consumption Assessment
25
•
21.5
20
15
13.2
12.7
MJ/kg
•
10
5
0
Refr'd
Frozen
Canned
The most energy
effective method for
product delivery is
canned-ready meals
followed by bulk
refrigerated products and
fresh fruits & vegetables.
Frozen products require
about 70% more energy
to bring the food from the
farm to the table.
Questions & Answers
The Sustainable Metal Can: Packaging for
Today and for the Future
Can Manufacturers Institute
September 27, 2005