From Frank Bozzo, Vice President and General Manager CHEP Canada and Parecon North America
Important points:
- Collapsible liquid IBCs offer cost savings and efficiency. Compared to traditional containers, they can maximize storage space, reduce transportation costs, and increase product volume per shipment.
- Reusable IBCs reduce contamination risks. Provides better protection against leakage and contamination than cardboard IBCs or improperly sanitized drums, ensuring product safety.
- Collapsible IBCs support sustainability goals. Reduce your carbon footprint by reducing truck loads required, minimize packaging waste and increase environmental benefits as part of a pooled reusable container program .
As the leaves fall outside, peak season begins as food manufacturers prepare to meet increased holiday demand for popular ingredients such as oils, fruit fillings, sauces, dairy products and syrups. in fact, McKinsey recently reported 20% of U.S. consumers expect to spend more on meat and dairy products from September to November, and 18% say the same for center store/shelf-life groceries. Masu.
To meet this growing consumer demand, food manufacturers are challenged to move large quantities of liquid ingredients quickly and nimbly through North American supply networks. Collapsible liquid intermediate bulk containers (IBCs) offer several distinct advantages in getting the job done over traditional corrugated IBCs and bottle-in-cage totes. Let’s take a look at some of these benefits.
Reduce production and transportation costs
Transporting liquids on a large scale often requires significant space at docks, in warehouses, and at each stage during transport. According to , it is important to use all three spaces efficiently, especially since industrial space rents are increasing by 4.3% annually compared to the first half of 2023. Commercial Real Estate Development Association Q3 2024 Report. This is something to consider during peak seasons as every square foot may be utilized to meet demand and can make a noticeable difference in a food manufacturer’s ability to provide maximum value. is especially important.
One of the most cost-effective ways to maximize area is to move to collapsible liquid IBCs. It requires less space for storage and transportation while holding a larger volume than traditional alternatives. This is compared to consumers choosing to purchase large or bulk size bottles of olive oil from wholesale stores as it provides a larger quantity of product at a more cost-effective price. It may happen. In both cases, the need for travel is reduced. Liquid IBCs allow you to transport more product in fewer trucks, and consumers who choose bulk-sized items will have fewer trips to the store for refills.
Reduce risk to consumers and businesses
The transition to reusable liquid IBCs also helps reduce contamination risks for end users. For example, if your IBC is made of cardboard, there is a risk that moisture will damage the cardboard and cause leaks. Drums and bottle-in-cage containers can also become contaminated if not properly disinfected between uses. The consequences of these risks can be very serious. Having a partner who can provide the cleaning and preventive services necessary to eliminate these risks not only protects your business and end users, but also provides peace of mind for your production and transportation teams.
Beyond contamination, IBC partners with a wide range of scale and resources can minimize additional production risks. We can often identify potential challenges and provide manufacturers with proactive solutions before problems occur. From an operational perspective, this means providers can reliably communicate and deliver containers, enable strategic forecasting and efficient production, and leverage end-to-end supply chain visibility to deliver valuable It’s meant to provide insight into your network. All of these factors are especially important to consider during busy periods when it is important to deliver products on time and in full.
Supporting sustainability efforts
Finally, the packaging and space-saving characteristics of collapsible liquid IBCs streamline costs and reduce risk, while also supporting sustainability goals. Fewer vehicles are needed to move products, reducing your organization’s carbon footprint. For example, one truckload of collapsed IBCs can represent many IBCs. 4.3 truckloads of empty drums.
Furthermore, reducing packaging materials, especially reusable packaging materials, leads to less waste. To maximize these environmental savings, manufacturers can choose a pooled reusable container program. In this approach, the IBC provider manages the containers throughout the process, transporting them to the manufacturer for filling, and picking them up when empty. Therefore, it is the provider’s responsibility to ensure container performance, ensure proper disinfection, and manage the transportation network.
Each of these components works together to reduce transportation emissions and single-use packaging waste. This is done with minimal oversight from food manufacturers, allowing them to focus on broader business initiatives and overall operations during peak seasons.
Drive continued success
Collapsible liquid IBCs inherently improve food manufacturers’ profits, operational safety, and sustainability, but depending on the supplier you choose, there may be even more benefits.
When liquid IBC providers double as trusted partners and strategic advisors, new opportunities emerge through collaboration and innovation, helping food manufacturers improve efficiency and performance across their networks.
For example, the right IBC provider will act as a consultant, helping customers achieve their sustainability goals through a variety of solutions that go beyond packaging. Additionally, providers have the potential to foster valuable industry connections to form new strategic partnerships and drive greater supply chain outcomes.
By moving to collapsible liquid IBCs and carefully identifying the right suppliers, food manufacturers can reduce challenges during peak season and beyond while positively impacting long-term business and sustainability goals. can be given.
Frank joined Brambles in 2003 and was promoted to Vice President and Country General Manager of CHEP Canada in 2020. In 2022, he became the head of Parecon’s North American operations. He began his career with the company as Sales Manager for its Canadian operations and was promoted to National Director in 2012. Frank was promoted to Senior Director of Sales and Customer Service in 2017, a position he held until his promotion to his current position. He currently maintains his role as a leader in Canada and as a member of the executive leadership team in the Americas.
