SIG Combibloc, part of the New Zealand based Rank Group, reports that at its Brazilian packaging plant an extrusion line has now been put into operation that laminates unprocessed cartonboard for the company's carton packs on-site. This major milestone completes the modular investment and building project in Campo Largo, near the city of Curitiba in Brazil's Paraná state. The first rolls of packaging material are already rolling off the belt fully laminated.

 

This ambitious building project in Brazil was launched in 2010, when SIG Combibloc began construction of its first packaging plant in South America. In mid-2011, the packaging plant was put into operation. With the production line installed, the pre-laminated packaging material used to make the carton packs was printed, cut to size, stamped, and sealed.

 

In the second stage of construction, an extrusion line has now been added, which from now on will laminate the unprocessed cartonboard with polymers and aluminum on-site in Brazil.

 

The inner polymer layers of an aseptic carton pack form a liquid barrier for the products that later will be filled in it; the outer layer keeps moisture out. The razor-thin aluminum layer protects the food and beverages packaged in the carton packs from light, oxygen, and external odors.

 

Ricardo Rodriguez, director and GM, South America at SIG Combibloc, said that "with this fresh major investment of around EUR 40 million for the installation of the extrusion line, SIG Combibloc has laid the groundwork to be optimally prepared to meet the ever increasing demand for aseptic carton packs. We can now produce the packaging material needed for our carton packs in South America, on-site in Brazil. The extrusion line will laminate around 250 million meters of packaging material each year."

 

Brazil is currently South America's largest market for long-life beverages and foods in aseptic carton packs. World-wide, Brazil's demand for carton packs puts it in second place, right behind China. According to estimates by the Canadian Research Institute, sales of aseptic carton packs totaled more than 14 billion units in Brazil in 2013. Forecasts suggest this will climb to 21 billion carton packs by 2019, equivalent to a further increase of around 7% per annum.

 

Rodriguez added that "we've captured this market by offering our customers a real alternative, unique added benefits and a tailor-made service. We managed to end the 2013 financial year with growth of 40% compared with the previous year—that's an excellent result. We've been able to win new customers and to further consolidate our contacts with existing customers, on both a regional and a national level. And the prospects for 2014 are looking good as well."

SIG Combibloc is one of the world's leading system suppliers of carton packaging and filling machines for beverages and food. In 2013 the company achieved a turnover of EUR 1,680 million with around 5,100 employees in 40 countries.