How packaging suppliers can help trim costs

If you’re in the produce industry and looking to enhance your bottom line — and who isn’t — your packaging supplier may be able to lend a hand.

Box suppliers, flexible packaging providers and even bag-closure-makers are among the companies that empathize with their customers’ inflation-induced pain and may be able to help keep costs under control.

Rachel Kenyon, senior vice president at the Itasca, Ill.-based Fibre Box Association, for example, said efficient supply chain management, which includes making moves to contain the cost of packaging and transportation, can help rein in expenditures.

“This can include the choice and design of packaging materials to optimize space utilization both inside the package and onboard the truck,” she said.

Corrugated boxes can be “right-sized” to provide just the right amount of product protection and to minimize material use and weight, which can reduce shrink and other losses, Kenyon said. Right-sizing shouldn’t be too difficult, since corrugated boxes are often custom designed for the products they carry.

“Box-makers do it all the time for their customers, so working with them to rationalize package design is a must,” she said.

The results can lower trucking costs, since hauling lighter-weight, space-efficient cargo enables more product to ship in one truckload.

Yakima, Wash.-based Kwik Lok Corp., a global company that specializes in bag closures for produce and bakery items, actually can help customers reduce marketing costs, said Karen Reed, global director of marketing and communications.

“Kwik Lok offers closure labels that have a very high success rate compared to other forms of marketing,” she said.

Many Kwik Lok customers already have label-ready machine capability, she said. “It’s just a matter of working with our Kwik Lok customer service team to design the label.”

Labels can be printed on front and back and used to offer coupons, QR codes that lead consumers to recipes and brand cross promotions.

“For products where on-package space is tight, or for limited-time promotions, this can provide additional marketing flexibility at a low cost,” Reed said.

Flexible packaging provided by McAllen, Texas-based Fox Packaging can help keep product costs down for fresh produce in several ways, said Jacob Fox, who handles sales at the company.

Flexible packaging, which can be easily shaped and modified to fit the size, shape and weight of a product, reduces the amount of material needed to package the product, he said, and that lowers the production and transportation costs.

Flexible packaging also can extend the shelf life of fresh produce by providing better protection from moisture, oxygen, light and microbes, which reduces food waste and spoilage, Fox said.

And flexible packaging can enhance the visual appeal and convenience of fresh produce by allowing for clear windows, resealable closures, easy-open features and printed information that can increase consumer satisfaction and loyalty.

“Flexible packaging is a smart and sustainable choice for fresh produce that can benefit both the producers and the consumers,” Fox said.

Another cost-saving suggestion from Kenyon of the Fibre Box Association: Let corrugated boxes serve double-duty as shipping containers and primary packages.

“Corrugated printing technologies have advanced to a point where, today, high-impact graphics can be printed directly on the box to carry branded messaging and merchandising power,” Kenyon said.

Kwik Lok’s Reed said customers can save money by planning ahead and reducing rush charges.

“Work with your vendors to forecast your needs and avoid last-minute orders,” she said. “Planning ahead can also help you avoid having too much stock on hand, which can take up space and impact cash flow.”

And consider automation in markets where the workforce is tight.

“There will be an initial investment, but if you choose durable products from reliable vendors, automation can pay for itself in a relatively short period of time,” Reed said.

Automation also can take over production elements and free up labor to do activities that must be done by a person or help add shifts during peak times.

“At Kwik Lok, we have a variety of options to help our customers scale from completely manual to semi-automatic or completely automated processes based on needs,” Reed said.

And ask vendors about creative financing programs they may offer to help defer upfront costs, she suggested.

Fox Packaging has strong relationships with its film suppliers and can negotiate better prices and terms for its film orders than many other companies, Fox said. And the company can access the latest innovations and technologies in film production that he said can offer a competitive edge in the market.

“By building trust and collaboration with our film suppliers, we can offer low costs and high value to our clients,” Fox said.

Fox Packaging is more than just a packaging company, he said.

“We’re a family that has been in the business of keeping your produce fresh and beautiful for over 60 years,” Fox said. “We have a variety of products that suit your needs, on the packaging and the packing equipment side of the industry, whether you want mesh bags, stand-up pouches or film bags.”