No Repackaging, Full Enforcement from January Next Year... Guideline Review (Comprehensive)

Ministry of Environment: "Six-Month Guidance Period for Repackaging Ban Regulation"
Industry Feedback and Field Adaptation Period Until Year-End
Enforcement Rules Effective from July... "Major Principles Also Agreed by Industry"
"Law Enforcement Postponed, Detailed Guidelines to Be Supplemented... Preparing Carefully"

Reference photo

[Asia Economy Reporter Kim Bo-kyung] The Ministry of Environment has decided to have a six-month grace period regarding the so-called 'repackaging ban' system. The plan is to fully enforce the law, including imposing fines, starting from January next year. The ministry clarified that reports claiming this system regulates bundle packaging discounts were "misunderstandings."

On the afternoon of the 22nd, the Ministry of Environment held a briefing at the Government Complex Sejong to announce the schedule for re-examining detailed guidelines such as the exceptions notice for the repackaging ban and the guidelines, as well as the implementation timeline.

Admitting Lack of Communication with Industry
"Bundle Packaging Discount Regulation Was a Misunderstanding"

First, the 'fundamental principle' of the repackaging ban regulation will be implemented as scheduled from the 1st of next month. The repackaging ban regulation itself will not be nullified or reconsidered from scratch.

The official name of the repackaging ban regulation is Article 11 of the "Standards on Packaging Materials and Methods of Products (Ministry of Environment Ordinance, Enforcement Rules)." This law, revised in January last year, explicitly states that "products packaged during production must not be repackaged for manufacturing, import, or sale."

The Ministry of Environment expressed its intention to supplement the detailed guidelines that define the exceptions to the repackaging ban after reconsideration. In other words, these are the exceptions notice for the repackaging ban and the guidelines necessary for the industry to apply on-site.

Previously, the Ministry of Environment conducted a research project and issued an administrative notice last month regarding the exceptions notice defining the repackaging ban exceptions (standards for exceptions to repackaging of packaged products).

Since then, from the end of last month, the Ministry held meetings with related industries such as distribution and food sectors. Following industry requests to explain specific cases regarding repackaging application and exceptions, the ministry was preparing guidelines. However, as the law's enforcement in July approached, the communication process between the Ministry and the industry was too brief and rushed, leading to misunderstandings.

Photo by Asia Economy DB

Song Hyung-geun, Director of the Natural Environment Policy Office at the Ministry of Environment, stated, "During the explanation of the repackaging ban application targets, some misunderstandings arose that 'bundle packaging discounts are being regulated.'" He explained that an attempt was made to use the criterion of whether a product was repackaged to distinguish if promotional discount activities were prohibited by law, which sparked controversy that "discount benefits were being removed."

Director Song said, "To ensure the prompt establishment and effectiveness of the repackaging ban system, we plan to reconsider the application targets of the repackaging ban to be specified in the guidelines."

The Ministry of Environment will discuss the supplemented guidelines and the controversial issues by gathering opinions from a 'consultative body' composed of manufacturers, distributors, civil society, consumers, and experts from July to September.

Once the guidelines are finalized through this process, the ministry plans to provide an adaptation period from October to December so that the industry can adjust to the new system. They will also conduct consumer opinion surveys and evaluate the feasibility of on-site application by related industries such as manufacturers and distributors.

The Ministry plans to fully enforce the law starting January next year after correcting and supplementing issues identified during the adaptation period. However, considering the possibility that the opinion gathering and adaptation period may take longer than expected, they stated that the enforcement date could be operated "flexibly."

Once the law is fully enforced, a fine of up to 3 million KRW will be imposed for violations of repackaging activities.

Director Song said, "There is a need to further gather stakeholder opinions on the detailed guidelines for law application and enforcement," adding, "We will carefully prepare while deferring law enforcement as a grace period."

He continued, "We will meticulously supplement the detailed guidelines to ensure no disruption in the system implementation while minimizing inconvenience to the public and businesses and resolving the issue of excessive packaging in the distribution process."

Repackaging Ban 'Fundamental Principle' to be Enforced from July
Ministry of Environment's Commitment: 'Packaging Waste is an Essential Issue'

The enforcement rule (Standards on Packaging Materials and Methods of Products) that prohibits excessive and unnecessary repackaging will be implemented as scheduled from July 1.

This enforcement rule was legislatively notified in January last year and revised in January after over 20 consultations with the industry. The repackaging ban regulation is a 'fundamental principle' applied worldwide and agreed upon by the domestic industry, so the Ministry of Environment plans to implement it as scheduled.

The prohibited repackaging methods include promotional activities such as 1+1, 2+1 offers, gift giveaways, and repackaging multiple individually sold products into a single package after factory release for promotional purposes.

The Ministry clarified that bundle discount products like a 5-pack of ramen are generally released from the factory and thus are not subject to repackaging regulation from the outset.

Additionally, promotional activities such as advertising discounts like "5 beers for 10,000 KRW" or "2+1" through signage, linking beverage bottle necks with rings, or selling products bundled with bands or cross-shaped ties are allowed.

Director Song explained the significance of the repackaging ban system, saying, "The aim is not to regulate price discounts themselves but to prohibit repackaging to reduce waste generated by excessive packaging."

He emphasized, "Reducing packaging waste, which accounts for 35% of household waste, by cutting down unnecessary repackaging during product distribution is an essential task."

This content was produced with the assistance of AI translation services.