How to Conduct a Packaging Audit

Making packaging more “sustainable” is one of the most pressing (and confusing) sustainability challenges for product-based businesses. At its core, sustainable packaging means packaging that can be recirculated — reused, recycled, or composted — rather than ending up in landfill. But with so many options and conflicting claims, alongside growing pressure from customers, regulators, and reporting frameworks, it can be hard to know where to start. A packaging audit gives you a baseline, helps you understand where your biggest impacts are, and points you toward the changes that will make the most difference. 

The different types of packaging audits 

There are two types of packaging audits, and each has a different purpose and requires a slightly different approach. 

  • Internal packaging audit: Packaging within your control, such as what you use to sell or ship your products 
  • External packaging audit: Packaging you receive from suppliers as part of inbound goods 

If you want to understand and improve the sustainability of the packaging you use for your products, conduct an internal packaging audit. If you want to understand and improve the sustainability of the packaging your suppliers provide, conduct an external packaging audit. 

Internal packaging audit process (packaging within your control) 

Your internal audit looks at all the packaging your organisation uses and controls: product packaging, shipping materials, consumables like tape, bags, void fill and wrap. 

  1. Inventory every packaging type currently in use across your operations using a simple spreadsheet 
  1. For each item, record the material type, quantity used over a set period (usually your past financial year), weight, supplier, recycled content, any sustainability certification (e.g. FSC or PEFC), and end-of-life pathway (e.g. is it recyclable, compostable, or destined for landfill in its respective market?) 
  1. Flag anything that is high volume, has no recycled content, or is destined for landfill. Note where you have existing supplier contracts, and where you have flexibility to make changes 
  1. Use your findings to set targets that reduce packaging volume and increase recycled content, sustainability certifications, and packaging recyclability/compostability. Prioritising packaging made from recycled content is important, because a circular economy only works if there’s demand for recycled materials, not just supply of them. 

External packaging audit (packaging you receive) 

Your external audit focuses on the packaging that arrives with inbound goods from your suppliers: boxes, pallets, wrapping, strapping, and any secondary or protective packaging around products. 

  1. Over a set period (a month is usually enough to get a representative picture), track all inbound packaging from supplier 
  1. Record material type, quantity, weight, whether it has recycled content or any sustainability certifications, and whether you can reuse it, recycle it, compost it, or whether it must go to landfill. 
  1. Note where packaging appears excessive relative to the product (e.g. oversized boxes, unnecessary void fill, multiple layers of wrapping).  
  1. Use your findings to identify which suppliers are generating the most packaging destined for landfill and use the data as a starting point for supplier conversations. Many suppliers don’t realise their packaging is creating a problem for their customers — sharing your findings can prompt change without requiring a formal process.  
  1. You can also use your findings to develop packaging standards or guidelines to share with suppliers — a simple document outlining your preferred materials, formats, and what to avoid. This sets clear expectations upfront and reduces the need for one-off conversations each time an issue arises. 
  1. Engage your waste management provider to understand what materials they can actually recycle or compost, and what will end up in landfill regardless of labelling. If you’re unsure what materials your suppliers are sending, ask them for documentation, or send a sample to your waste provider for confirmation. Note that packaging documentation isn’t always accurate; physical testing is the only way to be certain. 

Next steps 

Once you’ve conducted your audits, you have a snapshot of your packaging footprint and a clear set of priorities. To keep the momentum going: 

  • Apply the circular packaging principles to your inventory. What can you eliminate or reduce, design to circulate (use materials that you can recycle, reuse, or compost), and collaborate for impact (work with your packaging suppliers or new suppliers to find circular solutions).  
  • Assign ownership of any targets or follow-up actions (e.g. supplier conversations) to ensure accountability and follow-through 
  • Connect your findings and targets to broader sustainability goals so staff understand the purpose of the audits and the rationale behind any changes 
  • Set a review cadence and/or set up ongoing a regular data collection of all the packaging you receive and dispatch to ensure your packaging baseline is up-to-date and that you are meeting any set targets 

Exporting to the EU? There’s more to consider 

The Packaging and Packaging Waste Regulation (PPWR) applies to almost all packaging on the EU market, including secondary packaging, and is a market access requirement, not just a compliance consideration. If you sell into the EU, this affects you. 

  • Non-compliance will prevent your products from entering the EU market 
  • Requirements go beyond recyclability — auditing, redesign, and documentation may all be required 
  • Start now: the lead time for compliance is longer than most businesses expect 

Learn more: NZTE guidance on the PPWR 

If you are interested in packaging audit support or exploring packaging sustainability more generally, please get in touch

——– 

Written by Kate Lodge, Sustainability Consultant at Go Well Consulting.

Photo by Natalia S from Pexels.