Metsä Board Annual and sustainability report 2022

Metsä Board’s paperboards are especially used in food packaging, which is more defensive in nature

END USES OF FOLDING BOXBOARD

END USES OF WHITE KRAFTLINERS

Food and food service packaging Other consumer products (including the packaging of pharmaceuticals and cosmetics) Graphical end uses

Shelf-ready-packaging, point-of sale displays and solutions E-commerce Other consumer packaging

Source: Metsä Board’s estimates

Consumers prefer recyclable packaging, policymakers drive reusability According to Euromonitor, 66% of consumers try to have a positive impact on the environment through their everyday actions. Reducing plastic is the top measure taken, followed by reducing food waste, recycling items, and using sustainable packaging. Recyclability is seen as the key sustainability feature for a sustaina- ble packaging. (source: Euromonitor International Global Lifestyles Survey 2022) With a recycling rate of 82%, paper packaging is the most recycled packaging material in the EU, while the plastic recycling rate is 38%. (Source: Eurostat) Reusability is favored in EU’ s waste hierarchy, although many third-party certified LCA studies show that reuse or refill is not always the best option for the climate and environment. The main purpose of packaging is to protect products, thereby preventing waste. Packaging accounts for only 5% of the total global food system greenhouse gas emissions. (Source: the UN and the EC)

Consumers responded to the inflationary environment of 2022 Rapid inflation has reduced consumers´ purchasing power and forced them to reconsider their consumption habits. The demand for packaged food has remained stable. Con- sumers have moved to less expensive products and private label products and are opting for discounters. Purchases of durables and luxury products are being postponed. Despite the pressure to save, the majority of consumers are eager to catch up on experiences they missed out during the pandemic.

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Business operations and value creation | METSÄ BOARD ANNUAL AND SUSTAINABILITY REPORT 2022

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