Greif Packaging: A Procurement Manager's FAQ on Cost, Quality, and the PCA Containerboard Deal

If you're sourcing industrial packaging—drums, IBCs, containerboard—you've probably seen Greif's name come up. As a procurement manager at a 250-person chemical processing company, I've managed our annual packaging budget (around $180,000) for six years. I've negotiated with 20+ vendors, tracked every invoice, and learned a few hard lessons about what "value" really means in this space.

Here are the questions I get asked most often, and the answers I give based on my own spreadsheets and supplier evaluations.

1. Is Greif just another big packaging company? What's their real advantage?

On paper, yes, they're a major global player (NYSE: GEF). But their real advantage, from my desk, is portfolio diversity. It took me about 150 orders to understand that having a single supplier for multiple packaging types—steel drums, plastic IBCs, containerboard boxes—can simplify logistics and sometimes unlock volume discounts.

We're not huge, but consolidating our drum and corrugated box spend with one vendor saved us about 5% on administrative costs alone. That said, I can only speak to our mid-size, domestic operation. If you're dealing with complex international shipping, the calculus might be different.

2. I keep hearing about "PCA Greif containerboard acquisition." What was that, and why should I care now?

This is a great example of why industry context matters. Back in 2021, Greif acquired the containerboard and corrugated sheet operations of Packaging Corporation of America (PCA). It was a big deal that reshaped their paper-based packaging footprint.

Why it matters to you today: It significantly expanded Greif's in-house containerboard capacity. In my experience, that vertical integration can translate to two things: better supply chain control (fewer delays if they make their own board) and potentially more competitive pricing on corrugated solutions. When I compared quotes in Q2 2024 for a bulk box order, Greif's lead time was 10% shorter than a competitor who sourced board externally. That reliability has a value, especially when you're on a tight production schedule.

3. Are Greif drums more expensive? How do I do a true cost comparison?

This is where most people get it wrong. They look at the unit price and stop. My procurement policy now requires a TCO (Total Cost of Ownership) spreadsheet because I got burned.

Here's a real comparison from last year: Vendor A quoted $42 per reconditioned steel drum. Vendor B (a smaller local supplier) quoted $38. I almost went with B. Then I calculated TCO: B charged a $75 fuel surcharge per delivery, a $50 order processing fee, and had a 3% defect rate in our trial. Vendor A's $42 price included everything, with a documented 0.5% defect rate. Over 500 drums, the "cheaper" option was actually 8% more expensive when you factored in rejects and fees. That's the difference hidden in the fine print.

Simple. Always ask for an all-in delivered price per unit.

4. What about sustainability? Is it just marketing, or does it affect my bottom line?

It affects your bottom line more than you might think. Per FTC Green Guides, environmental claims like "recyclable" must be substantiated. Greif (and other majors) invest in legit recycling loops for their drums and IBCs.

For us, using reconditioned or recyclable drums isn't just a CSR checkbox. It creates a cost recovery stream. We get a credit for returning eligible empty drums. It's not huge—maybe 5-10% of the original cost—but it turns a waste disposal cost into a small asset recovery. Over six years, that program has put about $8,400 back into our budget. It adds up.

5. How do they handle problems? What's the service really like?

This is the million-dollar question for any large supplier. My take: it's consistent, but navigating a big organization takes patience.

When we had a spec issue on a custom-printed tote bag order (think something like a misaligned logo on a wrangler small tote bag), their customer service protocol was thorough but slow. Had 2 hours to decide on a reprint before a trade show deadline. Normally I'd get multiple quotes, but there was no time. We approved the rush reprint with Greif based on our history. The cost was high, but the bags arrived correct.

Even after approving the rush fee, I kept second-guessing. "Could I have found someone faster?" Didn't relax until the boxes showed up at our loading dock. The takeaway? Build a relationship with your sales rep. It helps cut through the corporate red tape when you're in a pinch.

6. Any final advice for someone evaluating Greif or any industrial packaging supplier?

Three things. Get samples. Audit the total delivered cost. Check their disaster recovery plan.

Always, always get physical samples—not just PDF spec sheets. Feel the drum closure, check the pallet alignment on the bulk boxes. What I mean is that the quality you can touch tells you more than any sales deck.

Second, build that TCO model. Include freight, fees, expected loss/damage rates, and your internal labor for managing the account.

Finally, ask: "What happens if your [City] plant goes down?" A global footprint like Greif's should have a clear answer about shifting production. A supplier with a single location is a massive risk. After tracking 180 orders over 6 years, I found that 40% of our "budget overruns" came from emergency freight charges when a primary supplier failed. We now require dual-source capability for any critical packaging item.

In hindsight, I should have implemented that policy sooner. But with the quarterly report due, I did the best I could with the information I had at the time. Your mileage, of course, may vary.