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Logistics development promotes packaging transformation

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With the rapid advancement of modern technology and the increasing integration of the global economy, logistics has become a widely recognized concept in efficient organization and management. Major and medium-sized cities in China are either establishing or planning to build logistics industrial parks and warehouses. For instance, Shenzhen is set to develop several logistics parks, including the Western Port Area, Yantian Port Area, Sungang-Qingshui River, Airport Port, Pinghu, Longhua, and Nanshan, Longgang. Digitalization, networking, informationization, and scale have become central themes in China’s logistics development. We offer comprehensive and integrated third-party logistics services, making multimodal transport faster and more convenient, and enabling just-in-time delivery that eases concerns for both production and sales. However, the fast growth of the logistics industry has raised higher demands on packaging, which serves as a crucial carrier in commodity circulation. This article explores the evolving requirements of packaging from the perspective of modern logistics.

As we know, during the process of goods circulation, items go through multiple stages such as transportation, loading/unloading, warehousing, packaging, distribution, processing, and information handling. The quality of packaging plays a vital role in the entire logistics system, directly impacting the efficiency and effectiveness of all logistics operations. Modern packaging not only fulfills traditional functions like protection, convenience, and promotion, but also supports transportation, loading/unloading, warehouse management, intelligent identification, and information transfer. Therefore, to keep up with the development of logistics, modern packaging has evolved in the following ways:

1. Containerization and Informationization of Packaging

In terms of transportation, with the rise of multimodal and intermodal transport, containers and pallets have become increasingly popular. In developed countries, container transportation dominates international logistics, accounting for about 80% of total packaging. This greatly simplifies the packaging of scattered goods. Using reusable containers reduces the need for initial corrugated boxes and trays, while transporting large containers and pallets as whole units minimizes damage and improves efficiency.

Regarding loading and unloading, nearly two-thirds of the time in short-distance deliveries is spent on these tasks. Improving the efficiency of handling scattered goods can significantly reduce logistics costs. With advanced logistics facilities, most packaging now uses forklifts and cranes, reducing manual labor and minimizing damage. This mechanization supports the standardization of containers and pallets, promoting efficient and scientific logistics management. It also helps shorten loading times and lower overall costs.

In warehouse management, containers and pallets allow for better stacking and storage. The emergence of specialized containers, such as insulated and ventilated ones, enables them to function as temporary warehouses, reducing the need for traditional storage facilities. This streamlines operations like receiving, inventory, and shipping, making product management easier. Additionally, using containers as storage units increases stacking height and storage density, improving space utilization and enabling automated systems.

In information processing, digitalization and networking have become key trends in logistics. The integration of e-commerce has further accelerated the informatization of packaging. Technologies like barcodes, RFID, EDI, and EOS are being used for real-time data collection, processing, and transmission. While one-dimensional codes are still common, two-dimensional codes now carry rich product information, such as name, price, manufacturer, date, weight, and expiration. Printing machine-readable codes directly on packaging is becoming more common, enhancing the efficiency of information management.

2. Transition from Traditional Packaging to Scaled Third-Party Solutions

As logistics becomes more flexible, there's a growing demand for small-batch, multi-variety products, requiring packaging companies to be agile and responsive. To reduce capital investment and inventory, the industry must adapt quickly, offering tailored packaging solutions. With global trade expansion, logistics companies are forming partnerships to build logistics bases and parks. Traditional single-packaging methods, whether paper or plastic, struggle to meet the needs of major clients. A simple product like toothpaste may require both plastic tubes and cartons, leading to collaborative development among packaging manufacturers. This shift allows for improved quantity, quality, and variety, boosting competitiveness.

Moreover, with China’s WTO membership, export demands have increased, leading to stricter packaging standards. Large logistics clients are realizing their internal packaging capabilities are insufficient, prompting them to outsource packaging tasks. This trend favors large-scale third-party packaging companies that can provide full-service solutions—planning, production, procurement, and execution—all outsourced. As logistics continues to grow, scaled third-party packaging will become more prevalent in the market.

In conclusion, the rapid development of logistics will inevitably bring significant changes to the packaging industry. Only those that align with modern logistics needs will lead the market, becoming the standard of contemporary packaging.

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