Greenwashing claims are over. Greenhushing won’t cut it any more.
For brands across the FMCG and food & beverage industries, these evolving regulations demand two fundamental shifts. First, in how the environmental impact of products are communicated on-pack. Second, in how they ensure that the data about those impacts are gathered, saved, made accessible across the organisation. Correct claims must not just be communicated across the organisation. They must be fully justifiable when and if required.
It will require a new level of control over their packaging data, as well as how that data is used to inform green claims on packaging.
To put it simply: the days of vague and unverified sustainability claims are coming to an end. Companies must now make accurate green claims. They must back up every green statement with clear, verifiable data.
They must ensure end-to-end control over packaging statements and claims, from product development through to final artwork. Then, sustain it through all product marketing and merchandising.
The high cost of getting green claims wrong
Failing to meet these new standards carries significant risks:
- Greenwashing penalties – Companies found making misleading environmental claims could face substantial fines. These could in turn damage their reputation with consumers, partners and investors alike. A 2020 European Commission study revealed that 53% of environmental claims reviewed were vague, misleading, or lacked evidence. This is a liability no brand will be able to afford anymore.
- Greenhushing risks – Intentionally or innocently, some businesses have always chosen to avoid scrutiny on green credentials by missing things out. Going forward, removing or avoiding sustainability claims will not be acceptable. They can expect far more scrutiny. This approach is never advisable for a company that depends on consumer trust – and it can retard the benefit of other sustainability efforts, too.
- Retailer and supply chain expectations – Major retailers and supply chain partners already increasingly require full traceability of environmental claims to meet their own compliance obligations. Retailers will be significantly impacted by the Green Claims Directive, since they must also be unassailable in the claims made by the products that line their shelves.
Preparing to be better: Green Claims deadlines
There’s no time for brands to put off preparing for compliance. The European Green Claims Directive is expected to be adopted in 2027. Once in place, EU Member States will have 18 months to integrate the directive into national law, followed by a 6-month enforcement window.
Who will be affected?
The Green Claims Directive applies to a broad range of companies operating in the EU or selling into EU markets. There are some exceptions for sectors already regulated under specific environmental claims laws, such as financial services. The UK’s Green Claims Code applies similarly, spanning all businesses making environmental claims about their products, services, or brands. Given the wide scope of these regulations, making sure your claims are correct, verifiable and compliant will be critical.
Why strong packaging data management is so important
Businesses will need to ensure that every single department—from NPD to marketing and packaging design to artworking—has access to and works with accurate and verified sustainability data about any possible claim they may make. This spans products, packaging, production and product distribution.
Without a centralised system and a platform which is optimised to manage this data, maintaining compliance across multiple teams and product lines will be almost impossible.
How 4Pack can help you take control
4Pack provides a single source of truth for managing packaging and product claims with complete confidence. It brings
- Centralised control – Consolidate product information, artwork, labeling, and sustainability data in one platform.
- Automated audit trails – Maintain a full, traceable history of all product and packaging-related claims to demonstrate compliance on demand.
- Real-time reporting – Generate regulatory exports to report for European and UK compliance based on current and correct information
- Seamless collaboration – Ensure marketing, regulatory, packaging and artworking teams are sharing and using the same assured data.
There’s no time to waste. Act Now.
Now that deadlines are becoming crystal clear, all brands will need to take immediate steps to ensure they aren’t caught out. That means reviewing current packaging and product claims, focusing sustainability messaging, and ensuring they have the means to manage the essential underlying data they will need for verification.
Useful further reading:
UK Green Claims Code
EU Green Claims Directive
7 things to know about the EU Green Claims Directive
What the Green Claims Directive means for brands
By taking the right steps now, brands can stay ahead of compliance risks and transform regulatory certainty and excellent sustainability communications to consumers into a true competitive advantage.
