For our clients shipping particularly to Germany, a new packaging regulation will take effect starting on July 1, 2022.
The updated version of this policy will impact Stallion users if you’re one of those who are shipping to customers in Germany.
Verpack G, also known as the German Packaging Act, pertains to those packaging only being disposed of after usage. Both small and large online businesses outside Germany are covered by this regulation.
On January 1, 2019, it took the position to replace the Packaging Ordinance. The German Packaging Act was derived from the 2018 revision of the European Packaging and Packaging Waste Directive.
The new ruling promotes the usage of recyclable packaging materials such as bubble wraps, cardboard boxes, and tape. Its primary goals are to conform to recycling quotas and offer monetary support in promoting sustainable packaging.
This initiative also encourages eCommerce sellers to take a step further in reducing packaging wastes, one shipment at a time.
Generally labeled as ‘sales packaging,’ such materials include the following:
This category includes cardboard and stuffing materials.
Despite the categories provided, be informed that ALL packaging materials must be registered in LUCID. Therefore, it is not limited to the following packaging such as aluminum, cardboard and its composite materials, glass, natural materials, plastic, etc.
Another thing to note is that one of our partner carriers, PostNL, reminds Stallion clients that the packaging doesn't have to be recycled. However, registering for LUCID is a must, as well as the compliance for the recycling fee to be paid.
The registration must be done before the said effective date. Take note of the following steps as your guide in registering for LUCID and other essential requirements:
After you sign up, you’ll get your own LUCID registration code that you will submit to your dual system. This procedure must be accomplished first before anything else.
Use the registration number you’ll get from Step 1 to have your license done. There are 11 dual systems for you to choose from:
There will be a corresponding license fee to pay to your chosen dual system, in which the amount depends on the volume and the kind of packaging used. The fee will usually cost only a few cents per kilogram.
It includes the name of your chosen dual system and your packaging quantity used for data reporting purposes.
The registration for LUCID is free, and every online retailer labeled as a manufacturer of the said packaging must sign up individually.
Failure to comply can lead to violator’s receipt of written warnings, heavier penalties of up to €200,000, and even sales prohibition.
The packaging manufacturer can be charged fines up to €10,000 per infringement. Meanwhile, ‘free riders’ can be penalized up to €100,000 per case due to registration failure or by distributing products in which the manufacturer has not properly registered the brands they are distributing. Penalty may occur of up to €200,000 for manufacturers unwilling to participate in the said compliance.
It is a platform created by the Foundation Central Agency Packaging Register where online sellers register. The Central Agency acquires, keeps, and carefully evaluates the data of the retailers and manufacturers.
A dual system is a private and authorized recycling enterprise that carries out the licensing obligation. They’re the qualified partner to whom online sellers pay for the licensing fee of the packaging materials you’ll be using.
The licensing fees will be allotted for the budget of the recycling system.
As the primary distributor in Germany, the manufacturer is obliged to register if they are operating for market purposes.
It is highly advisable to seek assistance with ecosistant, a consultancy agency specializing in shipment compliance where eCommerce sellers can get the most suitable price for your packaging license.
Meanwhile, if you’re an online seller shipping less than 1000 kilograms annually, you can compare the prices of all recycling systems using Verpackungs Lizenz 24’s pricing calculator.
German Packaging Act for Business Sellers – eBay
VerpackG Packaging Act Requirements – Etsy
VerpackG: How to Get Your Online Shop Compliant – eCommerce Germany
Who is Affected by the German Packaging Act? – Lizenzero
Shipping to Germany: Everything About The German Packaging Act – Packhelp
Packaging Act: Obligations at a Glance – ZSVR
Keep in touch with us at [email protected] or call our toll-free number at 877-863-7447, and our client support team will be happy to attend to your inquiries and concerns for the upcoming implementation of the German Packaging Act.
Diana leads the growth marketing initiatives at Stallion Express. As a personal trainer turned digital marketer, Diana is obsessed with equipping eCommerce entrepreneurs with everything they need to scale their online businesses. You can catch her doing yoga or hitting the tennis courts in her spare time.
Read all posts written by Diana Zheng
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