Australia is taking significant steps to reform its packaging regulation framework as part of a national effort to enhance waste reduction, recycling, and producer responsibility. The federal government released updated guidance in February 2026, outlining a shift towards clearer compliance obligations and improved recycling outcomes. This initiative addresses longstanding issues related to fragmented regulations, low recycling rates for specific materials, and increasing volumes of packaging waste.
Push for Consistent National Packaging Rules
The reform programme is spearheaded by the Department of Climate Change, Energy, the Environment and Water. Currently, Australia’s packaging obligations largely rely on voluntary schemes and industry-led targets, supplemented by various state and territory policies. The proposed reforms aim to establish stronger regulatory frameworks to ensure that packaging available in the Australian market is recyclable, reusable, or compostable. A key goal is to phase out problematic materials that hinder effective recycling.
By creating a more consistent national approach, the updated framework seeks to alleviate confusion for businesses operating across multiple jurisdictions. This effort is aligned with Australia’s national waste targets, reflecting a push towards a circular economy.
Stronger Producer Responsibility and Compliance Focus
A central element of the reform process is the potential expansion of Extended Producer Responsibility (EPR) for packaging. This would impose clearer legal obligations on packaging producers, brand owners, and importers to manage the environmental impacts associated with packaging throughout its lifecycle. The reforms indicate a closer examination of packaging design, labelling, and data reporting.
Improved information regarding material composition and recyclability is deemed essential for enhancing recycling performance and minimizing contamination in collection systems. For packaging companies, this signals a shift towards a compliance environment that is likely to become more structured, reducing reliance on voluntary commitments.
While these reforms primarily target the domestic market, they will also affect international packaging suppliers and brands that sell packaged goods in Australia. The establishment of clearer national rules may necessitate adjustments to packaging formats, material selections, and reporting practices to align with Australian regulations.
The Australian government has committed to ongoing consultation with industry stakeholders and state authorities as the reforms progress. For the global packaging sector, the updates from February 2026 underscore a broader international trend towards stricter packaging regulations. Access to the Australian market increasingly depends on meeting specific sustainability and waste management standards rather than solely relying on voluntary commitments.
As Australia moves forward with these reforms, the focus remains on creating a more sustainable packaging environment that benefits both businesses and the environment.
