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Paper is the main portion of this packaging material, covered with a thin film of plastic, on one side. This can be placed in the compost (green) cart. The plastic will not compost, but once the paper decomposes, the small wad of plastic would be screened-out and might be re-composted, or may be screened out and go to the landfill.
There are basically no commercial alternatives to the qualities of plasticized paper. The plastic is laminated to the paper, to create a liquid resistant barrier. At one time this might have been a wax barrier substance (on paperboard containers), but cheap (fracked), and more efficient plastic has replaced that barrier, in most cases.
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