The new business targets would come into effect in January 2008 to help the UK meet its obligations under the EU's packaging directive. The UK, like other EU members, is attempting to meet the obligations, forcing manufacturers to switch to more eco-friendly packaging.
The proposals would require more packaging to be recovered and recycled, environment minister Joan Ruddock said.
Ruddock also proposes setting higher targets for 2009 and beyond to increase the level of recovery and recycling.
After 2008 member states have the discretion to set targets beyond the minimum required under an EU agreement.
Ruddock said the UK would continue to set higher targets because of the environmental benefits.
Since the introduction of the UK packaging regulations recycling has increased significantly, from to 57 per cent last year, from 27 per cent in 1997.
"But there is much more to be done. Further cuts in packaging waste are an essential part of reducing our reliance on landfill and cutting greenhouse gas emissions," she said. "The higher targets can also act as a driver to help design out unnecessary packaging in future."
The EU minimum recycling target is 55 per cent. The target for recovery is 60 per cent.
The UK government wants to increase the recycling target to 55.7 per cent in 2008, 56.8 per cent in 2009 and 58.4 per cent in 2010. The recovery target would be 60.6 per cent, 61.8 per cent and 63.4 per cent in the same years.
Recycling packaging reduces CO2 emissions because less energy is used to extract and process recycled materials than virgin ones, particularly materials like aluminium, Ruddock said.
The consultation is published at www.defra.gov.uk and closes on 30 November 2007.
The target system applies to businesses that handle more than 50 tonnes of packaging a year and with an annual turnover of over £2m.
It encourages producers to reduce their packaging levels because this reduces the cost to them of recycling and recovering their waste.
Proposed targets are set for paper, glass, aluminium, steel, plastic, and wood.
