ImagesMagUK_June_2021

www.images-magazine.com JUNE 2021 images 23 SPECIAL REPORT The brandable bags market The expansion of the plastic bag tax in May along with Co-op supermarket’s announcement that it would no longer sell plastic ‘bags for life’ is a boost for the branded bags market. Mark Somerfield of Direct Textiles & Bags talks to Images about how this sector of the market has fared during the pandemic, and what its future holds In May, England’s plastic bag tax doubled from 5p to 10p, and all shops, irrespective of size, were obliged to start charging customers for bags; previously, it had been limited to retailers with more than 250 staff. In the same month, Co-op supermarket announced that it would no longer sell plastic ‘bags for life’, and instead was rolling out a compostable carrier bag alternative to all of its stores, as well as offering customers more durable bags at a higher price. In addition, new research released last month by the environment charity Wrap found that of those surveyed, two in three (67%) said they used a ‘bag for life’ – made from either fabric or more durable plastic – when doing a large food shop, while the UK government reports that the average person in England now buys just four single-use carrier bags a year from the main supermarkets, compared with 140 in 2014. After what has been a difficult 15 months for many in the industry, these reports offer further hope for decorators in the coming months. Mark Somerfield, sales director at Direct Textiles & Bags (DTB) reports that there has been a “considerable drop” in demand for branded bags during the pandemic. “With both global and local events either put on hold or cancelled due to Covid 19 restrictions, the demand has more than halved. While the promotions industry has been devastated with these cancellations, the retail arena – especially in the supermarket sector – has seen a growth in demand across both UK and Europe.” While he admits that as a trade-only supplier, and therefore being one step removed from the end user, the company has so far seen minimal increase in demand for bags as a result of the plastic bag tax change, Mark says he is sure there will be needs going forward. He adds that the Co-op approach is “a well-led initiative and any reduction in the use of plastic bags has to be a positive approach within the bag marketplace. This initiative should create demand for the more traditional cotton shopper, as well as the jute/juco shopper. “There has always been a natural procession on positive initiatives with retailers adopting similar practices and I can see other stores following the Co- op’s lead.” Looking ahead, Mark believes there is a positive outlook for the sector. “We have an optimistic view on the future paired with a realistic approach. We see that the phased opening of the marketplace from lockdown will be at least a minimum of 12-15 months duration before we return to pre-Covid volumes. The pandemic has opened the eyes of the world to environmental concerns, he asserts, and ‘single-use plastic’ has become a daily discussion. “With sustainability at the forefront, natural fibre and recyclable bags will become the people’s choice, which in turn will create opportunities in the branded bag sector. “There is now an underlying social demand for recycled, recyclable, and organic bags where traceability and accreditation are key decisional factors.” Covid hasn’t been the only disrupting factor for the bag market since 2020: Brexit has caused issues for many exporting to the EU as well. Its impact has, however, been minimised at DTB thanks to its production facility in Poland. “DTB has continued to invest heavily in both UK stock and also stock for our business DTBEU in Poland. After Brexit, demand from our UK customers to supply directly into Europe has increased significantly. We are able to do this on a fast response basis from our production facility in Lodz. The stock is the same product range so we can offer customers a consistent offer, but with the benefit of no export duty.” www.dtbeurope.com The Direct Textiles & Bags factory, where branded bags are created for household names such as Aldi and Starbucks IS