From Breakthrough to Adoption: How Packaging Startups Design for Scalable Implementation

From biodegradability to commercial viability, how are emerging material innovators addressing the fourfold challenges of performance, recyclability, industrial compatibility, and cost? Zhanar Baishakova, Founding Partner of Investor Ready Lab, provides a detailed analysis.

Zhanar will speak at the 2026 Earth Packaging Summit, which will be held from November 10 to 12 at the Jaarbeurs Convention Center in Utrecht, Netherlands. Tickets are still on sale.

A new material may perform exceptionally well in the laboratory. But what happens when processors ask whether it can run on existing equipment, or when brands want to know if it can compete with polyethylene on cost? It is precisely these kinds of questions that can make or break a sustainable packaging innovation.

Through my mentorship at MassChallenge Switzerland—a global, non-equity accelerator that helps startups connect with corporate partners, industry experts, and investors—I have had the opportunity to work with several compelling innovators in materials science. One trend I’ve observed is that their understanding of “sustainability” is evolving.

For years, many startups have centered their value propositions on replacing fossil-based plastics with bio-based, biodegradable, or compostable alternatives. While these attributes remain important, they are rarely sufficient on their own to persuade customers to make the switch today.

I’ve found that the most interesting startups are increasingly designing their solutions around four practical conditions for adoption:

• Performance without compromise；
• Possess a trusted end-of-life path；
• Compatible with existing equipment；
• Cost-effectiveness is comparable to existing mature solutions.。

The EU’s Packaging and Packaging Waste Regulation (PPWR) has added a new layer of urgency. Biodegradability alone does not guarantee compliance, while recyclability and compatibility with existing waste management systems are becoming increasingly important.

Not every startup has met all four criteria. But what I find encouraging is that founders are starting to think about these issues earlier, rather than waiting until they engage with their first industrial customers to discover these challenges.

The four startups I connected with through MassChallenge exemplify this shift. While they address different challenges and are at varying stages of commercialization, each offers a unique perspective on “how to translate a promising material into an outcome that the industry is willing to adopt.”

Smart Planet Technologies: Recyclable barrier coatings, already applied to billions of packages

A long-standing challenge for paper-based packaging is that the coatings added to provide moisture and grease resistance often make the packaging more difficult to recycle.

Headquartered in the United States, Smart Planet Technologies develops recyclable barrier coating solutions for paper-based packaging, with applications ranging from foodservice to flexible packaging.

Smart Planet has developed and commercialized a coating called EarthCoating, a mineral-rich polymer coating designed to maintain packaging functionality while enhancing the recyclability of fibers.

This is not a technology still seeking its first commercial application. Smart Planet reports that over 3 billion packaging units using EarthCoating have been launched into the market, including beverage cups, food service trays, folding cartons, and flexible packaging.

Performance.EarthCoating is a proprietary mineralized resin containing 51% calcium carbonate, offering moisture and grease resistance while maintaining heat-sealability. Rather than completely eliminating polymers, it reduces polymer usage while retaining the core functionalities of traditional coatings.

End of life cycle.This aspect is particularly noteworthy. The mineral content alters the coating’s behavior during paper recycling. EarthCoating does not form a traditional plastic film or layer; instead, it is designed to break down into fine, dense particles that can be separated from paper fibers during the repulping process, operating on principles similar to those of mineral and clay coatings already widely used in papermaking.

According to a report, an independent assessment shows that paper cups lined with EarthCoating achieve a 95% recyclability rate and a 100% fiber recovery rate. The packaging has also been classified under the "Path 13" category for paper and board recycling by Germany’s Institut cyclos-HTP, rather than being categorized as a paper composite material.

Beyond testing, there are real-world examples. Paper cups lined with EarthCoating have been recycled into commercial products, including Hallmark’s gift wrap and Australian Paper’s copy paper.

This is precisely the empirical evidence that brands and processors will increasingly need as the PPWR introduces stricter recyclability requirements.

Seamless compatibility.Another significant advantage of EarthCoating is that it can be run on traditional extrusion coating and processing equipment. For manufacturers, this means they only need to switch materials without investing in entirely new production processes.

Economy.Replacing a portion of polymer resin with lower-cost calcium carbonate also helps improve economic efficiency. Smart Planet claims that its formulation is cost-competitive with traditional polyolefin coatings and offers better cost-effectiveness than many alternative bio-based resins.

Smart Planet has not stopped there. The company is also developing HyperBarrier Coating, a nanocomposite technology designed to deliver superior oxygen barrier performance for paper packaging. Smart Planet reports that its oxygen barrier performance is up to 200 times greater than that of traditional polyolefin coatings, positioning it as a potential replacement for aluminum foil and metallized layers in applications such as coffee bags, snack bags, and pet food packaging.

The technology is also designed to provide moisture, grease, and aroma barriers while remaining repulpable in conventional paper mills. Once validated in finished commercial packaging structures, this technology is expected to open up possibilities for recyclable paper-based alternatives in applications that have traditionally relied on complex multi-layer materials.

One aspect I particularly appreciate is that Smart Planet combines a mature commercial technology with newly developed pipelines, advancing from recyclable moisture- and grease-resistant barriers into more demanding packaging applications traditionally dominated by multi-layer structures.

BioZein: Restoring Commercial Value to a Forgotten Natural Polymer

Sometimes, innovation is not about discovering something new, but rather about finally making what we have known for decades commercially viable. This is the opportunity pursued by Hong Kong-based BioZein, which is making zein—a naturally occurring corn protein—more accessible and affordable for coating developers and packaging manufacturers.

For decades, corn protein has been used in the food and pharmaceutical industries, including for capsule encapsulation and edible coatings. It also possesses some interesting film-forming properties, such as grease resistance and oxygen barrier potential, which could make it useful for paper-based packaging.

So, why haven't we seen it widely used in packaging coatings?

The main obstacles are high extraction costs, limited commercial availability, and processing challenges. Traditional corn protein films tend to be brittle, and the processing often involves alcohol-based solvents, complicating industrial applications.

BioZein’s innovation lies precisely in this: by overcoming these historical cost and supply barriers, it makes a well-known natural polymer commercially accessible.

There is also a compelling resource efficiency story behind this. BioZein extracts corn protein from corn gluten meal (a byproduct of corn starch processing, traditionally used as animal feed), transforming an existing agricultural material stream into a higher-value functional material.

Performance.Corn protein exhibits good film-forming and grease-resistant properties, and has the potential for oxygen barrier performance under appropriate conditions. Like many natural polymers, its properties largely depend on the formulation, particularly in terms of moisture resistance, flexibility, and processing behavior.

Its opportunities in packaging lie in food packaging paper, coated paper, and other fiber-based formats requiring thin, functional barrier layers.

An important distinction needs to be made here: BioZein primarily serves as a producer and supplier of functional raw materials, providing corn protein. Its customers and partners independently develop coating formulations and finished packaging applications.

BioZein has also begun developing its own coatings, but these are still in the early stages and require further testing and validation.

End of life.As a bio-based, biodegradable protein, zein has an interesting origin. However, for paper-based packaging, the real question is whether the finished coating can be recycled along with the paper.

This point needs to be verified for each final formulation, especially in the context of PPWR placing greater emphasis on material recyclability rather than relying solely on biodegradability claims.

Integration with existing packaging technologies.Unlike ready-to-use coatings that can be applied directly, corn protein is an ingredient that needs to be incorporated into the customer's formulation and manufacturing process.

Adhesion, drying conditions, coating weight (coating grammage), and production speed all require repeated coordination and fine-tuning with both the coating developer and the processor.

Economy.This is where BioZein makes its most significant contribution. Leveraging its patented extraction technology and industrial manufacturing infrastructure, the company reports an annual production capacity exceeding 250 tons, with prices up to 60% lower than the prevailing market levels for traditional corn protein.

This does not mean that corn protein-based coatings have achieved price parity with polyethylene. However, it does remove a significant historical barrier, creating new opportunities for companies developing sustainable coating solutions.

BioZein was also named the winner of the Sustainable Materials Award in the MassChallenge 2026 “Sustainable Food & Materials Challenge.”

For me, this is a valuable reminder: we don’t always need to invent a brand-new polymer. Sometimes, the greater opportunity lies in making an existing polymer accessible enough for the industry to finally adopt it.

Ignition Packaging: Replace EPS without changing molds

There are compelling reasons why expanded polystyrene (EPS) is difficult to replace: it is lightweight, offers excellent cushioning performance, and is inexpensive.

Ignition Packaging, headquartered in the United States, is addressing this challenge with BioFoam. BioFoam is a cellulose-based protective material made from agricultural residues. What caught my attention is that the company has completed pilot-scale validation on existing manufacturing equipment without modifying the molds.

This is an important step toward making this technology commercially attractive.

Performance.BioFoam is designed to provide the lightweight structure, mechanical strength, and cushioning performance required to protect fragile products, including electronics and consumer goods.

Of course, it still needs to demonstrate that it can maintain stable impact resistance, compression resistance, and dimensional stability in large-scale production under real transportation and storage conditions, but the early pilot-scale validation has instilled confidence.

End of life.BioFoam, made from cellulose derived from agricultural residues, is being developed as a biodegradable and compostable alternative to traditional foam.

A particularly promising aspect is its potential to be recycled through existing paper and cardboard recycling channels. This could offer a more practical and scalable end-of-life pathway than simple composting. However, its repulpability and recyclability still need to be tested and verified. Once confirmed, this will strengthen Ignition’s positioning in the context of the PPWR’s recyclability requirements.

Seamless compatibility.Completing pilot-scale validation without changing molds is a significant achievement. This indicates that processors may be able to introduce BioFoam without major equipment investment. The next step is to demonstrate stable and consistent production performance and efficiency at commercial scale.

Economy.Agricultural residues offer a potentially attractive, low-cost raw material. Ignition aims to compete on price with conventional synthetic foams, but actual costs will depend on manufacturing yield, energy consumption, density, and scale.

Ultimately, customers will compare the "total cost of protecting and shipping a product" rather than the price per kilogram of foam.

What I appreciate about Ignition is that it overcomes one of the biggest barriers to adoption: the cost and disruption associated with changing production processes.

Sometimes, innovation becomes more appealing when customers do not need to change everything around them.

Namalab: Replacing Hidden Fossil-Based Polymers in Food Packaging

Not all fossil-based polymers in packaging are immediately apparent. For example, the absorbent pads placed beneath fresh meat and poultry often contain superabsorbent polymers (SAPs) made from fossil-based polyacrylates. While these materials perform well, replacing them with renewable alternatives could yield significant sustainability benefits.

Mexico-based Namalab is addressing this challenge with plant-based superabsorbent materials, aiming to deliver comparable performance. The technology has moved beyond the lab and is undergoing ongoing pilot collaborations with food packaging and hygiene product manufacturers to validate its performance in real-world applications.

Performance.Namalab has demonstrated in laboratory tests that its plant-based SAP matches traditional synthetic polymers in absorption and liquid retention performance. For fresh food packaging, this creates opportunities to manage liquid release, prevent leakage, and maintain product appearance. The company is also exploring the incorporation of natural antimicrobial agents into absorbent pads, which could provide additional benefits for food preservation. These capabilities are currently being evaluated through ongoing customer pilot trials.

End of life cycle.Namalab’s bio-based, biodegradable, and compostable materials enable different end-of-life scenarios tailored to specific application contexts.

Composting may be particularly attractive for certain packaging components and hygiene products contaminated with food, where traditional recycling is often impractical.

Of course, it is the finished product that must be considered, not just the absorbent material itself. Other components (such as adhesives) and local waste management infrastructure will determine whether composting is a viable option.

For packaging applications, this also needs to be evaluated against the relevant PPWR requirements.

Seamless compatibility.Namalab designs its materials with existing manufacturing processes in mind. This is particularly important for hygiene product manufacturers, as their high-speed production lines are highly optimized and costly to modify.

The ongoing pilot trials with hygiene and food packaging companies provide an opportunity to demonstrate how well the material integrates into existing processes and to identify any adjustments that may be required.

EconomyNamalab’s cost-effective production process is poised to compete with traditional synthetic SAP in both performance and price, creating attractive opportunities for absorbent pads in fresh food packaging as well as hygiene products such as diapers and sanitary napkins.

I find Namalab interesting because it demonstrates that sustainable packaging innovation does not always require replacing the primary packaging material. Sometimes, substituting a relatively small yet functionally critical component can also drive change.

The Missing Link: Accessibility of the Value Chain

In my mentoring experience, I repeatedly observe a common challenge: startups have an in-depth understanding of their technology but often lack insight into the true drivers of customer adoption.

A single conversation with a processor may reveal that incremental improvements in barrier properties relative to line speed are more critical; brand owners may prioritize supply reliability over bio-based content. These insights can fundamentally reshape a startup’s development priorities.

This is precisely where open innovation and accelerators like MassChallenge come into play. By partnering with companies such as Mars, SIG, Bühler, Givaudan, and dsm-firmenich, MassChallenge Switzerland helps startups connect with potential customers, technical experts, and investors.

For startups, this means earlier validation, faster learning, and more opportunities for pilot testing and commercial collaboration. For established companies, it opens up channels to access emerging technologies beyond their internal R&D pipelines.

Its true value goes beyond mere matchmaking. It lies in bringing the right people together early on, transforming promising technologies into solutions that the industry truly needs.

From Breakthrough to Acceptance

Years of experience in the packaging industry, coupled with my current role advising material startups, have taught me one crucial lesson: true breakthroughs lie not merely in developing more sustainable materials, but in ensuring their commercial viability at scale.

What I find encouraging is that more and more founders seem to understand this from the very beginning. They are thinking beyond “sustainability claims” and raising tougher questions about performance, end-of-life considerations, manufacturing compatibility, and economic viability.

Of course, not every new material can achieve perfect performance or price parity from day one. Certain applications may justify the premium, and emerging technologies also need time to mature.

However, startups that can understand industry constraints early on and proactively collaborate with the companies that will ultimately use their materials are more likely to successfully navigate the pilot-scale stage.

The future of sustainable packaging is shaped not only by what startups invent, but also by how effectively the industry helps bring these innovations to market.

Therefore, to brand owners, manufacturers, and material suppliers: Do not merely wait for the next breakthrough—help make it happen!