From Source to Shelf: Adapting to Changing Regulations and Driving Innovation

2025 is already shaping up to be a year of significant regulatory changes for the food and beverage (F&B) industry.

With shifting global regulations, increasing sustainability demands, and the constant need for innovation, brands are facing mounting challenges to ensure compliance while maintaining efficiency.

At Together 2025, a gathering of F&B industry insiders exploring today’s biggest challenges, Esko and TraceGains joined forces to discuss how to adapt to these regulatory shifts while driving innovation, reducing waste, and enhancing agility in packaging and supply chain management.

Some of the most critical regulatory shifts impacting both food formulation and packaging compliance include:

• New U.S. FDA initiatives limiting sugar, sodium, and artificial additives, requiring reformulation and labeling updates.
• Tighter EU health claims regulations, directing brands to substantiate nutrient thresholds for “low-fat” or “healthy” claims.
• Front-of-pack labeling laws in Latin America, India, and Canada, making brands balance regulatory compliance with consumer engagement.
• Increased focus on sustainability, with regulations restricting greenwashing and mandating more transparency in sourcing and packaging materials.
• Challenges to the long-standing GRAS (Generally Recognized as Safe) program, with the potential to dramatically impact the availability of a vast range of ingredients and additives, as well to shape how innovative brands approach approval for new and novel materials.

Compliance is no longer just about avoiding recalls.

To make compliance a competitive advantage, brands must create a culture of smart innovation with seamless collaboration among product, regulatory, and packaging teams. 

Historically, compliance has been sometimes seen as an obstacle. However, it’s also understood to be an important aspect of maintaining a clear rulebook and level playing field for food and beverage brands. Compliance may come with challenges and setbacks, but it also compels brands to become more innovative.

Reformulating products and updating packaging can be a strategic opportunity to improve ingredient quality, enhance transparency, and align both with evolving regulatory structures and changing consumer expectations.

Best Practices for Navigating Reformulation:

• Risk Assessments: Identify high-risk ingredients and evaluate alternative formulations.
• Cross-Functional Collaboration: Engage regulatory, R&D, and supply chain teams early in the process.
• AI-Driven Solutions: Use formula management software to test reformulation scenarios quickly.
• Sensory & Stability Testing: Ensure new formulations meet taste, texture, and shelf-life expectations.

As shared by Gwen Bultelle, CPG Category Specialist at Esko, the sunflower oil shortage resulting from the war in Ukraine forced brands to quickly reformulate products and update packaging. A major global food manufacturer, for example, had to:

• Source alternative oils and reformulate products.
• Update ingredient lists and nutritional labels.
• Redesign over 2,000 artworks within two months to avoid supply disruptions.

The global food manufacturer successfully navigated these challenges by implementing flexible labeling, ensuring no out-of-stock issues, maintaining product quality, and enabling future adaptability for potential ingredient changes.

This real-world example provides a good lesson and highlights why digital transformation is critical. The right tools prevent costly delays and ensure agility in the face of disruptions.

The path to innovation is not always smooth sailing.

One of the biggest challenges that companies face is balancing compliance with operational efficiency.

For example, misaligned updates can lead to costly recalls and associated losses. According to Gwen Bultelle, who relies on official FDA figures, 60% of U.S. food recalls are due to undeclared allergens—an issue often caused by disconnected formulation and labeling workflows.

Clearly, getting packaging and labeling right-first-time is more than just a nice-to-have. It’s non-negotiable.

Consumer expectations around transparency and sustainability are higher than ever.

In response, regulatory bodies worldwide are tightening sustainability claims and cracking down on greenwashing. This is happening so much so that a new term – greenhushing – has emerged, according to Jan De Roeck, Director of Industry Relations & Strategy at Esko.

Here are some key industry trends:

• Retailers & consumers are demanding clear sustainability metrics.
• Regulatory bodies in Europe & North America are enforcing stricter rules on environmental claims.
• Innovations in material sourcing—like recyclable substrates and digital labeling solutions—are gaining traction.

To meet the challenges of changing regulations and supply chain complexity, Esko and TraceGains have partnered to maximize the integration of regulatory data, supplier management, and packaging workflows.

This integration was discussed in more depth during our shared sessions at Together 2025.

As highlighted by Jan De Roeck (Esko) and Gary Iles (TraceGains), our new integration will:

• Automatically update packaging projects in WebCenter when formulation or ingredient changes occur.
• Reduce labeling errors by ensuring real-time bi-directional data flow between formulation and packaging systems.
• Enhance speed-to-market, reducing the time from product development to shelf.
• Minimize waste in approval cycles, ensuring outdated packaging is updated before it becomes unusable.

It also provides:

• Real-Time Compliance Tracking – Automating regulatory updates to prevent compliance risks.
• Intelligent Artwork & Labeling Workflows – Ensuring packaging is always aligned with the latest regulations and ingredient formulations.
• Supply Chain Transparency Tools – Helping brands track sustainability claims and material sourcing with verified data.

The path forward lies in digital transformation. By leveraging digital tools, brands can streamline compliance, improve accuracy, and eliminate manual rework—saving time and money.

The future of compliance is digital, proactive, and cross-functional. Brands that embrace technology will be able to adapt faster, innovate more effectively, and turn compliance into a strategic advantage.

Want to learn more?

Watch the full session recordings from Together 2025 here.

Get in touch with us today to learn more about how to streamline compliance and packaging.