Contract Packing

Contract Packing

Contract packing, also known as co-packing, is when businesses outsource their packaging operations to specialised third-party companies. These companies handle tasks such as assembly, packing, labelling, and sometimes even distribution.

Additional services may include quality checking, barcoding, or reworking to ensure products meet industry standards. By outsourcing these functions, businesses can focus on their core competencies, streamline operations, and significantly reduce costs. Contract packaging also ensures high-quality packing through the expertise and efficiency of established co-packing providers, making it an ideal solution for companies looking to optimise their supply chain processes.

Contract packaging services

Types of contract packaging services

Contract packing ensures products receive tailored packaging solutions, from primary packaging for protection and preservation, to secondary packaging for grouping and display, and tertiary packaging for efficient transportation and storage.

  • Bottle filling

    - ensures precise liquid measurements and adheres to the highest hygiene standards, providing a reliable solution for contract packing needs.

  • Shrink wrapping

    - an efficient contract packing solution that uses heat-sensitive plastic film to securely protect and neatly present products.

  • Hand Packing

    - offers a meticulous manual approach, ideal for handling delicate or uniquely shaped items with care and precision.

  • Labelling and re-labelling

    - ensures your products meet compliance standards while seamlessly incorporating promotional labels to enhance their market appeal.

  • Blister packing

    - a reliable contract packing service that seals products in pre-formed plastic blisters, offering secure packaging and excellent product visibility.

  • Vertical form fill seal

    - efficiently creates and fills bags from raw materials, ensuring precise, high-quality packaging for your products.

  • Pouch packing

    - ensures your products are professionally filled into versatile, hangable, or standalone bags, offering both convenience and premium presentation.

  • Gas flushing

    - injects inert gas into sealed packages, effectively prolonging shelf life by reducing oxygen levels and preserving product freshness.

Contract filling and packaging

Industries that use contract packing services

Contract packing services support a variety of industries by streamlining operations and meeting specific requirements. Industries that commonly rely on contract packing include food and beverages, beauty and cosmetics, household goods, medical and dental, and publishing.

Food and drink companies

Food and drink companies rely on contract packing to expertly handle the precise portioning and packaging of a wide range of products, including ingredients, sports supplements, shrink-wrapped trays of tins, confectionery, and both alcoholic and non-alcoholic beverages, all while ensuring strict compliance with food safety regulations to maintain quality and consumer trust.

Beauty & cosmetics companies

Contract packing allows beauty and cosmetics companies to ensure their products, whether it’s luxury makeup, travel-size bottles, soaps, or special launch packs, are presented in attractive and protective packaging, while benefiting from bespoke designs and expert management of intricate assembly tasks, such as putting together eye-catching gift sets that enhance brand appeal and customer satisfaction.

Household goods manufacturers

Household goods manufacturers rely on contract packing to provide durable and reliable packaging solutions for products such as adhesives, dish cloths, laundry essentials, and bathroom supplies, ensuring they withstand the rigours of transport, handling, and storage while maintaining their quality and usability for consumers.

Medical and dental companies

Contract packing provides medical and dental companies with essential solutions for sterile and safe packaging of products like antibacterial sprays, wipes, bandages, toothpaste, and dental picks, ensuring strict compliance with health regulations while offering specialised services such as batch coding and tamper-evident seals to maintain product integrity and consumer trust.

Publishers

Contract packing enables publishers to create visually appealing and durable packaging for box sets of books, CDs, DVDs, and promotional launch gift sets, ensuring the contents are well-protected while simultaneously enhancing the consumer's unboxing experience and strengthening brand perception.

E-commerce and wholesale

Contract packing, widely utilised in both E-commerce and wholesale, offers businesses a streamlined solution for presenting and distributing their products effectively by leveraging versatile packaging options like durable cardboard boxes, practical trays, and secure shrink or sleeve wrapping, ensuring products are not only protected during transit but also visually appealing to end consumers.

Pharmaceuticals

Contract packing in the pharmaceutical industry is an essential service that ensures products are packaged with precision and in compliance with strict regulations, often involving specialised solutions such as blister packets for dosage accuracy, child-resistant bottles for safety, and single-unit dose devices for convenience and hygiene.

Contract packaging companies

How to choose a contract packing supplier

To select the right contract packer, businesses should assess key factors, including the packer's experience and expertise, production capacity, location, quality certifications, and pricing structure.

  • Capacity and capabilities

    - ensure they can handle your volume requirements and have the expertise with packaging materials, equipment, and assembly processes to meet your product's specific needs.

  • Experience and expertise

    - search for one with experience in your industry and expertise in packaging design, quality control, and regulatory compliance to ensure they can meet the unique demands of your products.

  • Quality standards and certifications

    - use contractors with verified quality standards and certifications, such as ISO 9001 for quality management or ISO 13485 for medical device packaging, to ensure consistent, high-quality results aligned with industry best practices.

  • Location and accessibility

    - prioritise one that is conveniently located near your suppliers and customers to reduce shipping costs and lead times while ensuring they are accessible and responsive for effective communication and collaboration.

  • Cost and pricing

    - evaluate their pricing structure by comparing detailed quotes, accounting for additional fees, and balancing cost with the quality of service provided.

  • Scope of work and specific tasks

    - ensure the scope of work and specific tasks are clearly defined in the contract, including packaging design, assembly processes, quality control measures, deliverables, and timelines.

  • Deadlines

    - establish clear timelines and deadlines to ensure they can align with your production schedule, and consider including provisions for penalties or incentives to address delays or early completion.

  • Logistics and shipping management

    -look for robust logistics and shipping management capabilities, establish close collaboration to ensure smooth coordination and regulatory compliance.

  • Communication and coordination

    - ensure they can establish effective communication and coordination with suppliers and vendors, including sharing production schedules, forecasting demand, and implementing vendor-managed inventory (VMI) programmes to ensure smooth and timely operations.

  • Waste reduction initiatives

    - ideally use companies that implement waste reduction initiatives, such as lean manufacturing and just-in-time production, to help minimise costs and improve efficiency.

Contract packers

Why use a contract packer

Expertise and specialized knowledge

Outsourcing contract packing brings numerous advantages, primarily through access to expertise and specialised knowledge. Contract packers are well-versed across a variety of industries, ensuring high-quality packing and efficient processes. They excel in critical areas such as regulatory compliance, quality control, and packaging innovation, which can be costly and complex for manufacturers to manage in-house.

Also, their industry experience provides valuable guidance on achieving the best value without sacrificing quality, making it a smart choice for businesses looking to streamline operations.

Cost savings

Outsourcing contract packing offers businesses significant cost savings and operational efficiencies. It eliminates the need for expensive investments in specialised packing equipment, warehousing, and additional staff. By partnering with a centrally located contract packer, transport costs are reduced, while bulk purchasing of materials minimises waste and enhances environmental sustainability.

Additionally, businesses save on warehousing space, stock management, and packing materials, often reducing overall operational costs by 7% to 9%. This streamlined approach allows companies to focus resources on core activities while ensuring efficient and cost-effective packaging solutions.

Efficiency and scalability

Outsourcing contract packing offers businesses enhanced efficiency and scalability. Contract packers can seamlessly manage fluctuations in demand, whether it’s due to seasonal peaks or the launch of new product lines, ensuring operations remain uninterrupted. With automated equipment and expert techniques, they provide consistent, high-quality results across diverse product ranges.

By centralising storage, packing, and distribution, contract packing streamlines processes, reduces logistical complexity, and improves productivity.

Flexibility and customization

Outsourcing contract packing offers businesses unparalleled flexibility and customisation. By partnering with experienced contract packers, companies can access bespoke solutions tailored to their unique product and brand needs, including the ability to handle specialised or delicate items. This approach provides the agility to scale production efficiently, whether managing seasonal peaks or responding swiftly to market changes.

Additionally, businesses can select from a wide range of services, focusing on where they'll gain the most value, all while avoiding the costs and complexities of maintaining in-house packing operations.

Focus on core competencies

Outsourcing contract packing offers businesses the opportunity to focus on their core competencies, such as product development, marketing, and expanding into new markets. By delegating time-intensive tasks like wrapping and labelling to a specialist, companies can free up valuable resources and concentrate on strategic growth and innovation. This streamlined approach not only boosts efficiency but also enhances overall productivity, enabling businesses to stay competitive in their industry.

Access to advanced technology

Outsourcing contract packing provides businesses with access to state-of-the-art technology and specialised equipment, ensuring greater efficiency and precision in the packing process. By partnering with expert packers, companies can leverage a wide range of packaging machines and materials, enabling them to adapt swiftly to market demands and meet the specific requirements of different retailers. This flexibility not only streamlines operations but also enhances product offerings across diverse markets.

Reduced need for staffing

Outsourcing contract packing offers businesses a stress-free solution to their packaging needs by eliminating the need to hire and train staff. With access to experienced professionals from a trusted co-packer, companies can save time and money by avoiding the expense of additional salaries and HR overheads. This allows businesses to focus on growth and core operations, knowing their packaging requirements are handled efficiently and expertly.

Improved customer experience

Outsourcing contract packing offers businesses a host of benefits, including enhanced customer satisfaction. By utilising automated equipment or trusted 3PL providers, companies can significantly reduce the risk of damaged goods caused by insufficient packaging. High-quality packing not only ensures products arrive safely but also maintains an appealing presentation, leaving a lasting impression on customers and improving their overall experience.

Eco-friendly packaging

Sustainability

The packaging industry is experiencing a major shift as sustainability and environmental responsibility take centre stage. With greater awareness of their ecological footprint, consumers are seeking ways to minimise waste, driving the growing demand for repackaged goods as a solution to excess packaging.

Eco-friendly alternatives

The packaging industry is increasingly adopting eco-friendly alternatives and sustainable designs, driven by regulatory demands and consumers' growing commitment to environmental responsibility.

Sustainable materials

The packaging industry is embracing sustainability, with over 49% of paper now being used for eco-friendly packaging solutions.

Waste reduction

The packaging industry is adopting eco-friendly practices by reducing waste through bulk material purchases, minimising excess cardboard, filler materials, and tape, which not only aids efficiency but also benefits the environment.

Recyclable packaging

The packaging industry is making strides towards sustainability by incorporating recyclable materials, biodegradable options, and compostable films, with many providers now emphasising reusable and environmentally friendly packaging solutions.

Smart and digital technologies

The packaging industry is adopting advanced manufacturing processes and digital technologies, such as eco-friendly materials and NFC-enabled RFID tags, to reduce waste, enhance functionality, and optimise efficiency.

Ethical considerations

The packaging industry is evolving to meet consumer demands for ethical and sustainable practices, with many suppliers adopting eco-friendly materials and fair labour standards to prioritise the planet.

Reducing environmental impact

The packaging industry is shifting towards eco-friendly solutions, reducing deforestation, water pollution, and carbon emissions by prioritising sustainable materials over plastic.

Commitment to sustainability

The packaging industry is becoming more eco-friendly by adopting recyclable materials, reducing packaging waste, and optimising designs to minimise environmental impact, demonstrating a strong commitment to sustainability.

Common questions

Contract packaging, also known as co-packing, is when a business outsources the packaging of its products to a specialised company. Contract packagers provide the necessary equipment, materials, and expertise to handle packaging tasks efficiently and at scale.

What types of products can be contract packaged?

Contract packaging services cater to a wide range of industries, including:

  • Food and beverages
  • Personal care and cosmetics
  • Pharmaceuticals and supplements
  • Household goods
  • Retail and consumer products

If a product requires specialised packaging, such as temperature-sensitive handling or customised labelling, a contract packager can accommodate these needs.

Cost efficiency: Outsourcing eliminates the need to invest in expensive machinery, facilities and labour.

  • Expertise - contract packagers are experts in their field, ensuring high-quality and consistent results.
  • Flexibility -t hey handle small or large production runs and can scale operations quickly.
  • Time-saving -  focus on your core operations while the packaging is taken care of.
  • Compliance - many contract packagers specialise in adhering to regulations, ensuring your products meet industry standards.

Contract packaging companies offer a variety of packaging solutions, such as:

  • Boxes and cartons
  • Sachets and pouches
  • Shrink-wrapping
  • Blister packaging
  • Bottling and canning
  • Labelling and custom branding

Yes! Most contract packaging companies work with you to create custom designs and branding for your products. From branded labels to unique packaging formats, they ensure the final outcome aligns with your brand's identity.

To choose the right contract packaging partner, consider the following:

  • Experience in your product category or industry.
  • Capabilities that match your packaging needs, whether it’s specific machinery or the ability to handle high volumes.
  • Certifications that prove compliance with quality and safety standards (e.g., ISO, FDA, GMP).
  • Communication and willingness to collaborate effectively throughout the process.
  • Reputation, by checking reviews, testimonials, or case studies from other clients.

Absolutely! Contract packaging is especially valuable for small businesses that want to avoid the high costs of buying packaging equipment or hiring a dedicated team. It allows small companies to compete with larger brands by delivering professional packaging without the overheads.

The cost varies depending on factors such as the complexity of the packaging, the volume of the order, and any additional requirements like custom designs. Many contract packagers provide quotes based on your specific needs, so it’s worth getting in touch for a tailored proposal.

Yes, many contract packagers offer eco-friendly solutions, including recyclable, compostable, or biodegradable materials. If sustainability is a priority, speak with the provider about their environmentally-conscious packaging options.

Some contract packaging companies provide additional services like warehousing, shipping, and distribution. These capabilities allow for a seamless process from packaging to delivering products to your desired locations.