INSIGHTS

Compostable Future? TIPA Thinks So

TIPA joins the US Plastics Pact as states adopt laws favoring compostable materials over conventional plastics

17 Apr 2025

Compostable TIPA bags with fresh herbs promoting sustainable packaging

Compostable packaging firm TIPA has joined the US Plastics Pact, a move that strengthens its position as regulators and companies pivot toward more sustainable packaging solutions.

The Israel-based company became an Activator member of the Pact in April, aligning with more than 130 US businesses and nonprofits aiming to eliminate plastic waste by 2025. The partnership gives TIPA a role in shaping national guidance on compostable packaging standards, an area gaining traction amid changing regulations.

“The food packaging sector must prepare for a future where compostable solutions are not just available but incentivized by law,” said Daphna Nissenbaum, chief executive of TIPA.

Momentum for compostables has accelerated as more US states adopt Extended Producer Responsibility (EPR) legislation. Under these frameworks, already implemented in California, Maine and other jurisdictions, producers are held accountable for the environmental impact of their packaging from creation to disposal. Companies that invest early in compliant materials are likely to secure a competitive advantage.

TIPA, which supplies compostable films for fresh produce and baked goods, sees its role in the Pact as a chance to advance both industry standards and commercial partnerships. As multinational food and retail groups look to align with climate targets, the demand is rising for packaging that satisfies both environmental and regulatory criteria.

Despite growing interest, barriers remain. Most compostable packaging requires industrial facilities for proper decomposition, and these are not yet broadly accessible. Inconsistent labelling and a lack of consumer understanding have also slowed uptake.

Advocates argue that national coordination can resolve many of these issues. “There’s a real opportunity to improve infrastructure and public awareness, but it will require sustained collaboration,” said one policy adviser involved with the Pact.

TIPA’s alignment with the US Plastics Pact underscores the growing role of compostables in long-term packaging strategies. While technical and logistical hurdles persist, legislative trends suggest a permanent shift away from conventional plastics is underway.

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