San Francisco — Safeway has begun offering paper grocery bags without handles at some locations, citing supply chain constraints tied to a broader shortage affecting multiple retailers. The change has drawn mixed reactions from shoppers, with some reporting that the handle-free bags are less convenient to carry and more prone to tearing when filled with groceries.
Customers said the absence of handles makes it harder to transport multiple bags at once, particularly when loading items into vehicles or carrying them over longer distances. Some shoppers also noted that the thinner construction of the handle-free bags can create challenges when carrying heavier items, increasing the risk of breakage during transport.
Safeway, which is owned by Albertsons and operates as one of the largest grocery chains in California, confirmed the change in a statement. The company said supplier issues, including a global shortage of paper bags with handles, have limited availability. “Due to supplier issues, including a global shortage of paper bags with handles that is affecting numerous retailers, we are currently able to offer paper bags without handles only,” the company said.
Industry observers point to several factors contributing to the shortage. Tariffs on Canadian lumber have increased costs for raw materials used in paper production, affecting supply availability. At the same time, Indonesia’s revocation of certain lumber permits has tightened global wood supply, adding pressure to manufacturers that produce paper-based packaging. These constraints have reduced the availability of handled paper bags while demand continues to rise.
Policy changes have also played a role in shifting demand. California’s ban on certain plastic bags earlier this year has led more retailers and shoppers to rely on paper alternatives. The transition has increased consumption of paper bags, placing additional strain on suppliers already facing raw material and production limitations. Analysts note that when policy shifts occur quickly, supply chains may require time to adjust capacity and sourcing strategies.
Experts say the combination of tariffs, supply restrictions, and regulatory changes has created a convergence of factors affecting packaging availability. Increased demand for paper-based packaging, coupled with constrained lumber supply, has forced some retailers to adopt temporary alternatives such as handle-free bags to maintain store operations.
The situation also highlights broader supply chain challenges related to sustainable packaging transitions. As companies move away from plastic materials, demand for paper and other alternatives has surged. Without corresponding increases in manufacturing capacity and raw material sourcing, shortages can emerge, particularly for specific formats such as handled bags that require additional materials and production steps.
Safeway said it is working with suppliers to address the shortage and restore handled paper bags. However, the company did not provide a timeline for when the handled versions may return. In the meantime, stores are continuing to offer paper bags without handles as the primary option while monitoring supply availability.
Retail analysts say the adjustment may remain temporary, depending on improvements in raw material supply and production capacity. They add that similar packaging constraints could appear in other regions if demand for paper alternatives continues to grow faster than supply.
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