Elopak announced that it will further accelerate growth by expanding its capacity at the announced U.S. production plant. The new production plant situated in Little Rock, Arkansas, USA is under construction and will now include two production lines.
When announced in June 2023, the production plant included a significant investment of around USD 70 million covering land, building and equipment. State-of-the-art technology will produce Pure-Pak® cartons for liquid dairy, juices, plant-based products and liquid eggs. Over 100 permanent jobs will be created and the new production facility is expected to start production in H1, 2025.
Since this announcement, the company has sold out the full production capacity for the first production line and is experiencing continued demand. Today’s announcement of a second production line will contribute with up to USD 110 million in revenues for an incremental investment of around USD 25 million. The second production line is expected to be in production in 2026.
Thomas Körmendi, CEO says: “I am pleased to announce the expansion of the new US plant with a second production line to continue to build on and accelerate the profitable growth in the region. This is a clear response to the continued strong demand that we see for Elopak as a reliable business partner. This is a new step towards realising our newly announced long-term ambition to become a 2 EUR billion company”.
“We have sold out the full production capacity for the first production line in the new plant, further strengthening and derisking the investment case for our expansion into the US. With the construction progressing according to plan and with a continued strong demand for our products, it is time to add more capacity to better serve existing and new customers in Americas”, says Lionel Ettedgui, EVP North America.
Elopak has announced that it will build a new plant in the USA to better serve its customers in the Americas and accelerate growth in the region. The new plant will allow Elopak to build on an already strong track record of organic and profitable growth driven by high customer demand in the region.
Elopak will invest around USD 50 million (including lease liability) in the new plant over the period 2023 – 2024. The investment will be financed by utilizing Elopak’s existing Revolving Credit Facility. The plant is expected to commence production in the fourth quarter of 2024 and will create more than 100 new jobs.
Lionel Ettedgui, EVP North America says: “Over the last few years, Elopak has delivered very strong profitable growth in Americas. The time has now come to increase capacity to further strengthen our organization and enable us to provide quality service to our customers in Americas faster and more efficiently.”
Thomas Körmendi, CEO says: “I am truly excited about this investment. This is a response to the strong demand that we are seeing for our innovative and sustainable solutions. It is a landmark investment for our company as Americas is one of the key building blocks of our strategy.”
WAPA, the World Apple and Pear Association, released the first apple and pear stock figures of 2022. The figures show that in Europe apple stocks increased by 5.1 % compared to 2021 to reach 4,308,683 T, while pear stocks decreased by 18.2 % to 661,587 T. In the USA, apple stocks as of 1 January 2022 stood at 1,674,042 T (- 2.7 % compared to 2021), while pear stocks reached 190,192 T (24.8 % above 2021).
WAPA, the World Apple and Pear Association, collects every month the stock figures for apples and pears from Europe and the United States. WAPA can reveal that European apple stocks stood at 4,308,683 T as of 1 January 2022, which is 5.1 % above the figure of 2021. This increase was mainly driven by Golden Delicious (up 19.5 % from 2021), Jonagold (+ 15.8 %), and Gala (+ 15.7 %), which compensated for the decrease in several varieties, most notably Granny Smith (- 12.5 %) and Cripps Pink (- 11 %). On the other hand, pear stocks stood at 661,587 on 1 January 2022, 18.2 % below the volume of 2021, mostly because of the large decrease in Italy.
In the USA, apple stocks in January stood at 1,674,042 T, down 2.7 % compared to 2021. This is due to a decrease among the largest varieties, such as Fuji (- 19.6 %), Honeycrisp (- 15.5 %), Red Delicious (- 12.5 %), and Gala (- 8.3 %), and despite significant increases for Cosmic Crisp (+ 147 %) and Pink Lady (+ 17.4 %). Pears stocks in the USA stood at 190,192 T, which is 24.8 % above last year.
Barentz International, a leading global distributor of life science ingredients, has expanded its activities in the dynamic world of taste and nutrition. The company proudly announces its acquisition of Chicago-based Ingredients Inc – a very successful family business in the USA, and a leading developer and supplier of high-quality ingredients to food and beverage, pet food and nutraceutical manufacturers.
Highlights:
The acquisition diversifies Barentz’ sources, enabling it to deliver a wider range of high-quality ingredient solutions in the USA market.
Ingredients Inc and Barentz share a proven track-record in developing, formulating, manufacturing and producing ingredients and custom-blends for their clients. Both companies add value by developing new ideas and innovative solutions through their expertise and network of specialized application laboratories.
With headquarters in Chicago, and serviced by a network of warehouses, Ingredients Inc strengthens Barentz’ national USA coverage.
A tough market, according to GEA experts Martin Zickler and Dave Medlar, where it is better to start planning from the back in order to make everything right from the beginning. That’s why they first built up the service network and a local assembly and then made a promise: GEA pumps will bring a new level of quality, efficiency and hygiene to the US dairy, pharmaceutical, food and beverage markets.
GEA acquired Hilge, a leading German pump manufacturer, in June 2015. Since then the company has been integrated into GEA and has benefitted from its engineering experience and global network of customers, suppliers and agents. Now that the pumps have received 3-A certification, the time is right to meet the US market head on.
Martin Zickler is the product manager for hygienic pumps, based in Germany. He worked with Hilge before the GEA acquisition. “The old company had no footprint in the USA,” he said. “But now that we have the backing of GEA and a comprehensive service and distribution network in the country, we are ready to take on the challenge.”
Michael Brandt is the business development manager charged with the job of making the US launch a success. He said that he had never had any doubts about the quality of the pumps and the opportunities for them in the US, but he had to make sure that the service and support structure was up to American standards before introducing them to the market.
Get ahead by looking back
“GEA pumps are strong, reliable workhorses but, for the American market, service is critical,” he explained. “We need to be able to respond quickly to our customers and provide a fast spares service. We also needed a reliable distribution network as customers need to know that if they require assistance, they can get the relevant expertise quickly.”
Dave Medlar, head of sales valves & pumps USA and his team have been working hard to get the support network in place before the product launch. “Of course, providing excellent service is always work in progress but I am now confident that we are ready,” he said. “We have a global reputation to maintain; when people buy a GEA product, they know it’s going to be supported well, also during the entire service life of a pump.”
Hygienic approach becomes a must-have
The GEA centrifugal pumps have a unique impeller design that sets them apart from normal centrifugal pumps. “We have pushed the impeller towards the front making it more efficient and the mechanical seal easier to cool. It mimics a closed impeller but can still be used in the pharmaceutical industry and wherever sanitary conditions are required,” said Martin. “This means the pump is easier to clean and can handle a much wider range of liquids.”
In addition, GEA pump housings are manufactured by deep drawing, not casting. This provides a much higher quality surface finish without blow holes in which bacteria can collect. Although this has been a feature demanded largely by the pharmaceutical industry in the past, the food and beverage market is increasingly requiring a more hygienic approach throughout all aspects of its production.
Engineering excellence that allows customization
Although the product’s unique features are impressive, and it has a great reputation for reliability, Michael sees an even stronger sales proposition in the engineering experience of the GEA group. “It’s like an engineer’s toolbox,” he said. “We know that all applications are different and it’s flexibility that our customers need. Because we are engineers, not just suppliers of components, we can adapt the pumps to fit virtually any application. This might include, for example, different fittings or mountings, a more robust design or even providing the pump on a trolley. We look at the application, then work out what the customer needs are.”
Citrus utilized production for the 2017-18 season totaled 6.13 million tons, down 20 percent from the 2016-17 season and 66 percent lower than the record high production of 17.8 million tons for the 1997-98 season. Florida accounted for 36 percent of total United States citrus production; California totaled 59 percent, and Texas and Arizona produced the remaining 5 percent.
Florida’s orange production, at 45.0 million boxes, is down 35 percent from the previous season. Grapefruit utilization in Florida, at 3.88 million boxes, is down 50 percent from last season’s utilization. Florida’s total citrus utilization decreased 37 percent from the previous season. Bearing citrus acreage, at 400,900 acres, is 9,800 acres below the 2016-17 season.
Utilized citrus production in California decreased 7 percent from the 2016-17 season. California’s all orange production, at 45.4 million boxes, is 6 percent lower than the previous season. Grapefruit production is down 9 percent from the 2016-17 season and tangerine and mandarin production is down 19 percent. Utilized production of citrus in Texas is up 9 percent from the 2016-17 season. Orange production is up 37 percent from the previous season but grapefruit production was unchanged. Lemon production in Arizona is down 35 percent from last season.
The value of the 2017-18 United States citrus crop decreased 7 percent from last season, to $3.28 billion (packinghouse- door equivalent). Total value of production for 2017-18 is lower for all citrus crops. Orange value of production decreased 9 percent from last season and grapefruit value is down 14 percent. Tangerine and mandarin value of production is 1 percent higher than last season but lemon value of production is down 6 percent. Beginning in 2016-2017, tangelos are included in tangerines and mandarins for Florida.
Overall comparisons discussed above are based on similar fruit types. The revised production and utilization estimates are based on all data available at the end of the marketing season, including information from marketing orders, shipments, and processor records. Allowances are made for recorded local utilization and home use. Estimates for the 2017-18 California Valencia oranges and grapefruit are preliminary, since the marketing season is not complete at publication time. Revisions to the utilized production estimates for all citrus for the 2017-18 season will be published in the April 2019 Crop Production. …