Linpac (Featherstone, UK) is investing more than €8 million in new extrusion and thermoforming capacity at one of its Spanish plants to address the growing demand for PET and rPET. The fresh food packaging manufacturer is looking to deliver a greater range of lighter, more cost-effective and sustainable products.
The installation of a fourth extruder at its Pravia, Spain, site will allow the food packaging manufacturing site to increase its capacity by 25% in order to meet demand from retailers and packers across Europe who are switching from EPS and PP to PET packaging.
Ricardo Cabeza, Managing Director of Linpac Southern Europe, said: "The new extruder will extend our capabilities and enable us to offer a wider variety of products to customers, ensuring they receive the best packaging for their application."
The addition of the new thermoforming capacity will allow the site to ramp up annual production to 630 million trays—an increase of 80 million.
The investment stems from a growing demand from retailers and packers across Europe for PET and rPET, which are used as food packaging material due to its versatility, lightweight nature, barrier and food safe properties, as well as its recyclability.
The investment is part of a three-year strategy with an estimated total of €14.3 million allocated for Linpac Spain through 2018.
Mr. Cabeza added: "This investment will help to increase capacity, quality assurance and delivery of innovation, as well as greater flexibility in meeting customer needs for high quality products which address their environmental concerns.
"We pride ourselves on delivering reliable, high quality, rigid and flexible packaging solutions to leading retailers, packers and distributors around the world. This investment will secure our future in the region as a leading innovator in the European fresh food packaging market."