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Competitive Paper & Plastic Packaging Demand (million pounds)
% Annual Growth
Item 2000 2005 2010 00/05 05/10
Total* 22,916 23,620 25,660 0.6 1.7
Paper 12,448 11,830 12,030 -1.0 0.3
Plastic 10,468 11,790 13,630 2.4 2.9
© 2006 by The Freedonia Group Inc.; *includes only 18 competitive markets

The Future of Paper Vs. Plastic

CLEVELAND, OH — In 18 selected markets where plastic and paper compete as packaging materials, plastic is expected to increase its share of the market to 53% (in pounds) in 2010. This is the finding of a new study from The Freedonia Group, which notes this percentage actually understates plastic's share, since less plastic is required than paper in most applications due to its lighter weight.

Plastics' market share will expand at a slower pace than in the past decade, as a number of packaging applications are now fairly mature in terms of the share controlled by plastic. The forecast is for plastic packaging to outpace paper in growth packaging through 2010 in all competitive markets covered in this study and to expand almost 3%/yr through 2010.

The most rapid gains in market share are expected in soy and other nondairy beverages and pet food applications. Frozen foods, fruit beverages, and detergent markets also are expected to see increases in plastic packaging.

Robust growth in plastic is expected for single-serving plastic milk bottles, driven by conversion from half-pint gable-top cartons to plastic bottles in quick-service restaurants and school lunch programs.

Marginal gains or declines are predicted in most competitive markets for paper packaging, though the study sees above-average opportunities in foodservice, dairy and soy milk applications, and organic milk. While most dairy applications for paper are mature, higher demand for ice cream novelties, especially reduced-fat and bite-sized varieties, will support folding carton opportunities.

For more on Paper Versus Plastic in Packaging, call 440/684-9600 or visit www.freedoniagroup.com.

Oops!

The photo on the cover of the April issue of PFFC (also featured on ppCMM 4-5 of that issue) should have been that of the Donald E. Stephens Convention Center in Rosemont, IL, the new home of CMM Intl. Inadvertently, the photo that appeared is that of McCormick Place. We regret the error.

Isoten Products Now Part of Webex

NEENAH, WI — Webex has acquired the Isoten vacuum roll product line from Coating and Converting Resources (CCR), Sussex, WI. The line includes vacuum tension rolls, vacuum chill rolls, and vacuum belts.

The acquisition includes all Isoten entities, including brand rights, product and parts inventory, and all proprietary designs and technical documentation.

Tim Oliver, product applications manager for the Isoten line at CCR, joins Webex as full-time Isoten customer service manager. CCR president Lee Fennema will be actively involved in supporting customer transitions during the acquisition period.

Store Brands Popularity Grows

NEW YORK, NY — The Private Label Mfrs. Assn. (PLMA) surveyed more than 1,000 shoppers and found that the popularity of private label products is growing with American consumers, and these products are appealing to more affluent shoppers.

Store brand products now account for more than $50 billion in annual sales, and virtually one in five items sold in US supermarkets, drug stores, and mass merchandisers today is a store brand.

According to the new PLMA report, almost seven of ten shoppers in the study said the private label products they buy are as good as, if not better than, their national brand counterparts. This is a substantial increase from five years ago.

The study also indicates the popularity of store brands in grocery stores is having a halo effect on other store formats, and store brands are poised to spread beyond supermarkets and specialty food stores into non-grocery outlets such as Home Depot, Staples, or even the Internet.

For more information contact Dane Twining at 212/972-3131 or e-mail at This email address is being protected from spambots. You need JavaScript enabled to view it..

Private Equity Firm is Acquiring

LONDON, ENGLAND — MidOcean Partners, a middle market private equity firm with offices in New York and London, has acquired various companies comprising the Europackaging Group, a customer-focused international manufacturer, distributor, and consolidator of packaging products and other key goods not for resale.

As part of the transaction, the current owners of Europackaging will retain a significant minority stake in the business. Terms were not disclosed.

Says Graham Thomas, partner of MidOcean, “…Under the stewardship of the current owners and an outstanding sales and management team, Europackaging has developed into a global ‘one-stop shop’ for supplying and fulfilling packaging and other goods not for resale for leading retailers. We see enormous opportunity in extending the presence into all goods not for release, using the impressive platform and network of the existing business.”

Consolidation Aids Reporting

CHICAGO, IL — The Channeled Resources Group has consolidated all of its businesses into one entity, the Channeled Resources Group (CRG) of Chicago. The change, which became effective January 1, ends separate reporting for Channeled Resources, MaraTech Intl., and Recycling Solutions.

The consolidated company will, however, continue to market distinct product lines, including Channeled Resources release liners, MaraTech value products, and the environmentally compliant solutions for nonrecyclables by Recycling Solutions.

Hueck has New Owner, Name

WALL, NJ — Hueck Foils, a converter of foils and films for the North American healthcare and food industries, has been acquired by the Constantia Flexible Packaging Group, headquartered in Vienna, Austria. Hueck now will be known as Constantia Hueck Foils.

New product offerings will include innovative child-resistant blister lidding foil and embossed foils for brand protection.

Looking Ahead to drupa 2008

CHICAGO, IL — The next drupa promises to be the largest edition yet in the long history of the giant print media fair, reports show organizer Messe Düsseldorf. Scheduled for May 29-June 11, 2008, at the Fairgrounds in Düsseldorf, Germany, drupa will feature approximately 1.8 million sq ft of net exhibition space (roughly equivalent to 40 soccer fields) and more than 1,800 exhibitors. Paper, Film & Foil CONVERTER is proud to be a cooperating media partner with drupa. This means in addition to periodic updates in the magazine, PFFC will provide show information on our website (www.pffc-online.com) and in our semi-monthly subscription newsletter (E-Clips) as well. So start thinking drupa 2008 — it's not too early to begin making plans for this important industry event!

Knight Adds Jones to the Fold

CHICAGO, IL — Knight Packaging Group has acquired H.J. Jones-Sons Ltd. of London, ON, Canada, a designer of carded and folding carton packaging including specialty products such as “stretch pak” film cards, blister cards, and gable-top cartons. Knight's other business unit is Knight Paper Box Co., Chicago. The acquisition is said to give the company an expanded product line, deeper production capabilities, and access to new geographic markets and segments. Michael Jones, president of H.J. Jones, and his brother Douglas, VP, are the fourth generation of the family managing the business and will continue to run H.J. Jones in their respective positions.

Shiny New Machine

OPP Film SA, Lima, Peru, specializes in the production of a wide range of BOPP films used primarily in flexible packaging applications. The converter, a company with high standards (it is AIB-certified at an “Exemplary Level” for its quality standards), recently ordered a K5000 high-performance metallizer from General Vacuum Equipment [the first installed in South America] for its new production facility in Pilar, 50 km north of Buenos Aires.

“The new investment will substantially increase our operations in plastic film metallizing,” says Jamil Zaidan, managing director and owner of the OPP Film Group, “so it was extremely important that we invested in the best equipment available to produce the highest quality metallized film for our discerning customer base. We are confident we have made the right decision with the General K5000. We have seen it in action, and we have also seen the high quality coatings it can produce. This is an exciting step forward for our company.”

The metallizer is 2,850 mm wide and is expected to be in full production toward the end of 2007. It will increase the company's production capacity to approximately 100,000 metric tonnes of BOPP film/annum.
Supplier Information:
Bobst Group — PFFC-ASAP 320.

www.bobstgroup.com

Connemara in Expansion Mode

BOLINGBROOK, IL — Connemara Converting, a converter of specialty paper, film, and board products, announces a 90,000-sq-ft expansion and the installation of a Marquip Sheet Wizard board/paper precision sheeter. The sheeter, featuring Marquip's dual rotary knife technology, allows Connemara to produce large-format sheets (65 × 82 in.) of text and board grades and complements two existing sheeters. It offers cut-to-register mark sheeting capacity. The company also has added a Pemco 66 automatic ream wrapping line targeting the demand for digital format sheets — both paper and film — in cut size sheets to 12 × 18 in.

AIMCAL Innovations at CMM

FORT MILL, SC — The Assn. of Industrial Metallizers, Coaters and Laminators will host a New Technology and Innovation session in the AIMCAL Theatre on the show floor at CMM Intl. to be held June 4-7 at the Donald E. Stephens Convention Center in Rosemont, IL.

The session will comprise peer-reviewed and accepted presentations and is open to all CMM exhibitors, AIMCAL members, and nonmembers. The exhibitors whose technology is accepted will have the opportunity to give a presentation during the event. Sessions will be held Monday, Tuesday, and Wednesday in the afternoon. To submit technology/innovation for consideration, visit www.aimcal.org/associaton/CMM2007/theater.asp.

In other CMM news, show producers report the following additional exhibitors have signed up since the preshow planner (see PFFC, April 2007) went to press:

  • Anderson & Vreeland, Booth 242
  • Filmquest Group, Booth 2513
  • Meyer Laboratory, Booth 1250
  • Northern Pump, Booth 2024
  • Styers Equipment Co., Booth 240
  • Web Systems, Booth 2947

Sun to Market DataLase Inks

WIDNES, CHESHIRE, UK — Sun Chemical has signed a license agreement to sell DataLase inks. Once exposed to a low-power CO2 laser, the inks react chemically, turning from white to black. Brand manufacturers can use the laser to write data such as date codes or bar codes onto their packaging materials.

Film Gets Accreditation

ENGELWOOD CLIFFS, NJ — Clarifoil North America reports its Clarifoil cellulose acetate film, used for carton windows, print lamination, p-s labels, and tapes, now is accredited under EN 13432, which covers “Requirements for packaging recoverable through composting and biodegradation.” This accreditation is said to be recognized internationally and to be equivalent to the American ASTM D6400 standard. Produced in Derby, UK, Clarifoil is made from wood pulp produced from sustainable forestry. Reportedly, it will enhance and protect print quality and finish in a wide range of major packaging market sectors, including perfume, health/beauty products, and drinks.

Several Shows, One Fee

PARAMUS, NJ — When the Converting and Package Printing Expo (CPP) returns to Las Vegas for its third edition, it will be bolstered by the support of both the Packaging and Label Gravure Assn. (PLGA) and the Intl. Bottled Water Assn. (IBWA). Scheduled for October 15-17 at the Las Vegas Convention Center, CPP is produced and managed by H.A. Bruno.

PLGA and IBWA join more than a dozen associations and industry groups taking part in the event. PLGA will be an exhibitor and will feature its annual award recipients.

IBWA will provide an expanded educational seminar program for botteled water professionals covering new technologies, processes, marketing and sales techniques, and industry trends. It also will debut a Tabletop Trade Show.

For more information on CPP, contact Leo Nadolske at 201/543-5060 or visit www.cppexpo.com.

Again co-locating with CPP will be Pack Expo, sponsored and produced by the Packaging Machinery Mfrs. Inst. Pack Expo Las Vegas 2007 will feature more than 1,200 exhibiting companies occupying more than 500,000 net sq ft. Pavilions will include Containers & Materials; The Showcase of Packaging Innovations; Brand Security; RFID; and Contract Packaging. For more information on Pack Expo, call 703/243-8555 or visit www.packexpo.com.

One admission fee will cover entrance to all exhibits and pavilions of both CPP and Pack Expo, plus the co-locating Process Expo, which will focus on developments in food and beverage processing technology.

Clarification

SOUTH BEND, IN — In PFFC's March 2007 Buyers Guide, Basic Adhesives is listed as an industry supplier. In fact, as reported in the January 2007 issue on p21, Basic Adhesives was acquired by Royal Adhesives and Sealants, South Bend. Parties interested in contacting Basic Adhesives are asked to contact Royal directly at 800/999-4583 or visit www.royaladhesives.com.

Montalvo Celebrates 60 Years

By Deborah Donberg

Associate Managing Editor

GORHAM, ME — When you call the Montalvo Corp., you hear the voice of managing director Edwin Montalvo in the recording.

“I did that because I can't stand voice mail systems, but they're a reality of business today,” says Ed Montalvo. “I wanted to say to people, if you're not getting the answer you need…, you can call me directly, and I'll make sure you get some answers. … You've got to keep your customers happy, or you're not in business long,”

That philosophy goes a long way toward explaining why Montalvo Corp. is celebrating its 60th anniversary this year.

Ed Montalvo's father, Edwin J. Montalvo Sr., started in 1947 as a manufacturer's representative for the central Atlantic states. Much of the product was as it is today — brakes and clutches, tension control systems, web guides. While Montalvo sold to various industries, the converting industry was the mainstay from the beginning.

Ed Montalvo Jr. explains how the company changed from a manufacturer's rep. to a manufacturer: “My dad was an engineer and was good at solving problems. He identified a deficiency in the brake and clutch area early on, and he developed and patented a product to address that deficiency.”

When a large customer put in its own factory sales force and took a lot of business away, Ed Montalvo Sr. decided it was time to manufacture his product. “It was 1968 and he was 56 at the time,” says Ed Montalvo Jr. “He could have retired, but he liked working. So he launched a new career. He was in production by late 1970, though it was really an office in operation in New York with subcontractors in New Jersey.”

Ed Jr. finished college in 1973 and planned to sell life insurance. “I told my dad I'd help him out for a couple of months, which has turned into 30-plus years!”

When the Montalvos decided to do the actual manufacturing themselves, they chose Maine, a place where they had summered for years. In 1976 Ed's sister Midge joined and is now also a managing director. Ed Montalvo Sr. died in 1985.

In 1993 Montalvo Corp. bought out Danarota, a distributor it had been working with in Denmark, as well the other half of the joint venture it had formed with Danarota to do electronics development. Already in business was Montalvo AS, a small company formed to do some manufacturing in Europe.

Ed Montalvo believes consolidation is one of the biggest changes he has seen in the industry. “The landscape doesn't look anything like it did 25 years ago, for suppliers or converters. But it's also a very different environment technologically — 30 years ago we weren't dealing with DC/AC drives, PLCs, and so on.…We are moving more and more toward a digital market. Integration of control systems and machines is big on our list.”

While expressing concerns about off-shore materials and manufacturing, Montalvo says his company is dealing with the Asian market by becoming very active in China.

He says some of his company's service concept is borrowed from L.L. Bean, another Maine company known for its customer service. “We don't want someone to have one of our products and be left alone. We look at our customers as being partners with us.”

It's a philosophy that's worked for Montalvo Corp. for a long time — 60 years to be exact.

Radiation Curing the Hot Topic

By Deborah Donberg

Associate Managing Editor

LOS ANGELES, CA — The wide range of applications for UV and EB curing was the agenda of RadTech Intl.'s uv.eb West 2007, a conference and exhibition held March 6-7 at the Sheraton Gateway LAX Hotel. Though billed as a West Coast event, uv.eb West's more than 520 attendees came from 36 states and 13 countries.

Several sessions were of special interest to converters, including an overview of the marketplace and the technology. David Harbourne of Fusion UV Systems covered the growth (6% growth rate is seen through 2010) as well as changes in applications. He expects decorative applications for UV/EB to remain an important but mature sector, while functional uses for the technology are growing and likely will surpass decorative uses in time.

Don Duncan of Wikoff Color gave an interesting presentation on UV hybrid inks for litho applications. He said they allow companies such as folding carton converters to UV-coat inline without special rollers or blankets.

Other sessions addressed EB curing for food and non-food packaging and troubleshooting UV/EB inks.

For more information visit www.radtech.org.


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