ECONOMY AND MARKET
The postponement of the plastic packaging tax in Italy to July 2026 highlights that financial penalties and regulatory obligations are the main incentives for many companies to increase their use of recycled plastic . Without these pressures , many companies prefer to save costs rather than pursue sustainability .
by Matt Tudball , Senior Recycling Analyst , ICIS
PLASTIC TAX : COST OR SUSTAINABILITY ?
Italian technology plast / October 2024
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The postponement of Italy ’ s plastic packaging tax to July 2026 shows that , for many brands and fast-moving consumer goods companies ( FMCGs ), the threat of financial penalties or the push of regulatory obligation is still the main driver for increasing the use of recycled plastics in packaging . Italy has extended the rollout of its € 450 / tonne plastic packaging tax until July 2026 , marking the seventh postponement of the tax which was due to come into effect in July this year . ICIS asked participants across several polymer markets what this means for both the virgin and recycled sectors , and the responses overwhelmingly point to the fact that , without heavy financial penalties or a legal requirement under either state or EU law , many companies will currently opt for cost savings over sustainability . www . plastmagazine . it