With the UK plastic packaging market annually contributing around £11bn [1] to the national economy and employing over 85,000 people, it is clearly an important
industry, representing around 3% of GDP. Global plastic packaging producer RETAL has recently made the strategic decision to expand its salesforce in the UK and Eire, bringing in experienced negotiator Steve Harvey to help navigate its journey. Emma-Jane Batey reports.
An interesting collision of macro-trends sees increased globalisation and a focus on sustainability at the same time as a renewed appreciation for personal recommendations and honest communication. While it is possible to work with manufacturers on price or volume, or with smaller producers that deliver the personal touch, global brands and smaller brands that think big want it all. For brands that value all these at the same time, it can be hard to find a plastic packaging partner that ticks all the boxes.
RETAL serves customers in over 60 countries thanks to 19 production facilities worldwide and it has recently made the decision to expand its sales network to include the UK and Eire. Logistically-close production means that standard and custom preforms and closures can be delivered in volume in a matter of days, with just in time service and a dedicated single point of contact. RETAL Lithuania Sales Director Rimvydas Bazinys shares how the company plans to utilise its close contacts and ability to deliver agile solutions to food and beverage brands in the UK. “For many years we focused on each specific geographical area or a special performance such as multilayer properties, but as we have been increasingly working with global players and successfully delivering their orders to locations where we do not have production facilities, we realised that it is our portfolio, our people, and our production capabilities that matter the most.”
Rimvydas notes that ‘we can quickly deliver from RETAL plants to the UK; from Lithuania we can deliver to the UK in just four or five days’, so clearly the physical location of the production site is not the most crucial element of a mutually-beneficial situation. He continues, “Closures in particular are especially small, light and easy to transport, and we work with a large number of global food and beverage brands to create closures for products including juice, carbonated drinks, mineral water and milk. Our proven experience of working closely with global brands across local, national and international markets means we know how to respond to demand for increased standardisation within a specific market.”
Read online at Inside Europe (page 6)
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Watching the dramatic aerial footage of the Ever Given stuck diagonally in the Suez Canal in March may have not immediately made viewers think of plastic packaging, but this was just the latest event to impact the price of resin - an issue that refuses to go away. So how are plastic packaging producers handling the price fluctuation in order to smooth the waves for their customers, and protect their businesses? Emma-Jane Batey reports.
The price of resin is not generally dinner party conversation. But not only are we not having dinner parties at the moment, nor can we ignore the fluctuating price of resin. And not just for social small-talk reasons; it impacts on us all, as packaging professionals and as consumers. The reason resin pricing has hardly been in the broadsheet headlines until now is that, essentially, it muddled along fine until 2020, and even relatively fine until 2021. Sure, it’s had its ups and downs, but haven’t we all?
But the grounding of the Ever Given on 23rd March 2021 was the media-friendly wake-up call that brought the issue of global shipping and our reliance on it to a wider audience. The sight of that very-nearly 400 meters-long container ship, one of the world’s largest, and its 20,000 containers stacked up like Lego bricks, wedged in the world’s busiest shipping channel, holding up at least 360 vessels behind it, showed how one force majeure can create a devastating international ripple effect.
And yet the grounding of the Ever Given, which was essentially over within nearly eight days, was not the only force majeure to impact on the global price of resin in recent months. February 2021 also saw Storm Uri hit Texas, with the major petrochemical producing region of Houston particularly badly affected. The resulting power outage caused over $195 billion in damages, paralysing the petrochemical industry locally and resulting in huge repercussions nationally and internationally.
All this before we even mention Coronavirus. Safe to say that the last year hasn’t been Easy Street for plastic packaging producers, if it has been for anyone other than antibacterial gel manufacturers.
Aleksandr Levchenko, head of procurement and logistics at packaging producer RETAL, explains how maintaining transparency with suppliers and customers continues to be a crucial element in mitigating the impact of the fluctuating price of resin. “There are enough challenges when everything is running smoothly, so when crisis after crisis happens, it is time for us to really pull together. But it is not a time to panic.
"We make commitments to our customers and we must honor them; we have to be flexible about buying cargo in bulk and be able to communicate with real-time data to know what we have, what we’re getting, and when we’re getting it.”
Read full-text article online at Packaging Europe
Keeping a global partnership local Producing more than 30 million beverage items annually across more than 60 manufacturing sites worldwide, Refresco lays claim to being the world’s largest independent bottler.
The company, which has grown rapidly thanks to a series of acquisitions over the past two decades, has a global partnership with PET preform specialist Retal that is tailored to suit regional markets.
“Maintaining quality is expected across all aspects of working with global partners, but that doesn’t mean that everything is the same everywhere,” says Gennadiy Khmelevskiy, global key account manager at Retal. “The details specific to local markets are important, as is knowing the preferences of each team in different locations.”
Retal produces PET and rPET preforms and HDPE closures for Refresco. The partnership, which began when Retal successfully tendered for a project with Refresco Benelux, hinges on being able to produce and provide the right product at the right volume.
Offering the correct technical solution with the best priceperformance ratio is, of course, imperative, Khmelevskiy says, but it’s what goes beyond this that makes the partnership. “As a dedicated sales and service person, it’s particularly important for me to diagnose any painpoints in the business and find an agile service solution that heals that pain. I also rely on our excellent service team, who can get to any Refresco business unit within 24 hours.”
Khmelevskiy is Retal’s single point of contact for Refresco and regularly communicates with Martijn Tempelaar, Refresco’s senior central purchasing manager, to ensure projects are progressing as agreed. “Keeping open communication with my Refresco contacts means that I stay aligned with Refresco’s headquarters in Rotterdam [in the Netherlands], as well as understanding the evolving needs of each business unit.”
Tempelaar agrees that being able to create solutions that can be quickly adapted for other locations helps to make a profitable partnership for both parties. “It is far easier to work with a smaller number of partners and repeat whatever elements of the project can be repeated, so we’re focused on the aspects that need to be changed. Building up trust is a longterm priority for us, and I trust the Retal team.”
Read in digital edition of Plastics in Packaging (page 21)
The global pandemic has highlighted the need for a reliable supply of PPE to the healthcare professionals and essential workers that the rest of us rely on to keep our lives running as smoothly as possible. The materials used in these products are crucial, delivering comfort and protection to those that need it most, so the development of anti-virucidal films specifically for face shields is welcome.
As the understanding of COVID-19 evolves, the demand for products that support essential workers at this time are changing too, particularly as the wider public is largely ready to get back to the ‘old normal’ now that we’ve had enough of the ‘new normal’. Reliable, practical PPE has been in incredible demand over the past year, and this is likely to continue, as our appreciation for how quickly a virus can have such a devastating impact on our daily lives is evident.
Although the initial scrabble of face masks and hand sanitiser has passed, we now see a great opportunity for the development of added value PPE that deliver on more than just emergency care. Rather, there is a chance to make keeping our essential workers safer in greater comfort.
One such project is the development of plastic film for face and eye shields with anti-virucidal properties integrated into the film at RETAL Baltic Films, which has recently gained funding from the European Union Funds Investment Operational Programme under its ‘aid for tangible investments in COVID-19 R&D projects’ initiative.
The RETAL Baltic Films team prove the potential benefits of a plastic film with anti-virucidal properties in the complex epidemiological situation regarding the spread of the SARS-CoV-2 virus and the incidence of COVID-19 specifically with regard to the protection of medical staff.
General manager Viktorija Griziene explains: “In the early days of the pandemic we quickly modified our existing APET film for food and beverage applications so it could be used for face shields, which we happily donated for the production of face shields and now also produce commercially. We have integrated an anti-fog capability which is highly appreciated by essential workers who often have to wear their masks for many hours at a time, so the transparency and anti-fog aspects are crucial. We are now working on taking our face shield film to the next level by integrating anti-virucidal properties to give an additional level of protection.”
Read full-text article online at Medical Plastics News
The macro-trend of operational excellence has unlimited interpretations when it comes to its micro-integration. To be able to purposefully and accurately define and manage a project that has clear goals is the function of project management, with operational excellence usually at its heart.
So how does that manifest itself in a global manufacturing company that is dedicated to high volumes and high quality – in a sector where regulations are changing? Emma-Jane Batey reports.
Operational excellence is defined as creating value for customers and shareholders thanks to the execution of its operations in the most efficient, effective manner. The idea being that two comparable businesses can have a clear winner depending on who works in the most excellent manner. At a time when globalisation means we can buy almost anything from almost anywhere, that excellence is what makes the difference – and wins the customer.
But what does operational excellence mean on a day-to-day basis? Is it just something that people say because they’ve heard someone else say it in a meeting, or do they actually know how to turn that zoomed-out concept into the hundreds of tiny actions it requires from an engaged team that know what they’re doing?
It’s said that the best time to start a pension is when you started working, and the second-best time is today. The circular economy is rather similar, in that ideal time to start would have been ages ago, and the next best time is now. Thankfully, we can look at how Sweden has done it. Rather than thinking ‘oh, it’s too late for the rest of us now’, we can just jump in and do the right thing from now on.
Let’s imagine that Sweden is our circular economy mentor. Let’s learn from how Sweden manages to recycle over 2 billion bottles and cans every year. Let’s copy how Sweden has integrated its deposit scheme in events arenas, shopping centres and grocery stores. Over 85% of all consumer packaging of cans and PET-bottles for beverages in Sweden is recycled, let’s do that too. There’s even a verb in Swedish - panta - that specifically means recycling packaging in collection points. We may or may not need a new verb.
A 36-year head start
A key element in the successful infrastructure that supports recycling in Sweden is Returpack, which was founded in 1984. Responsible for the Swedish deposit systems for metal cans and recyclable PET bottles for ready to drink beverages, Returpack is a privately owned company, owned by 50 percent by the Swedish Brewery Association (Sveriges Bryggerier), and by 25 percent each by the Swedish Food Retailers’ Federation (Livsmedelshandlarna) and the Grocery Store Association (Svensk Dagligvaruhandel).
An active supporter of Returpack is Spendrups Bryggeri AB, the biggest and most prominent Swedish family-owned and independent brewery, itself established in 1897 and today managed by the fourth generation of the founding family. Producing around 4 million hectoliters of beverages each year, Spendrups has contributed to building up globally recognised beer brands such as Heineken on the Swedish market, and its own sparkling water brand, Loka.
As a company that values both its heritage and its legacy, Spendrups is perfectly positioned to give an insight into how plastic packaging can be sustainable, with the advantages of being part of Sweden’s progressive infrastructure sits comfortably alongside its own dedication to long term responsibility.
Anna Lidström, Head of Sustainability at Spendrups, explains how the company’s philosophy and actions are in tune with how the Swedish beverage industry has had a circular approach to packaging for over 100 years. Lidstrom says, “The family spirit is strong at Spendrups; the long-term vision is that the company is supposed to be handed to the next generation, and so to do that properly, we must work in a way that is sustainable as well as profitable. We work in a circular manner through increasing use of recycled material in our packaging, striving to make our packaging 100% recyclable and utilising reusable packaging wherever possible.”
Read full article online at Sustainable Plastics
Retal’s US plant, Retal PA in Donora, PA, reports increased productivity across their operation. CEO and president Darius Janulionus, who took over the running of the fast-growing plant from his role as production director for Retal Lithuania, says, “Of course we all know that 2020 was full of challenges, and 2021 is still not plain sailing, but thanks to the strength and hard work of our team, we can happily say that we have achieved better than hoped for results. We have seen increased productivity across our operation, which is largely due to the team working together, utilising opportunities to share our expertise and listening closely to our customers’ changing needs. Staying agile has been crucial.”
The sales team is led by chemical engineer Bob Phillips, a well-known face in the US plastic packaging industry, alongside sales coordinator Brittany Brooks and latest recruit Vlad Nyemstov. Biochemist Brittany worked in the RPA quality laboratory prior to joining the sales team and brings knowledge about preform production. The latest addition to the RPA sales team is Vlad Nyemstov, an Ukraine native who has lived in the US for five years. The Programming Engineer joined Retal in the middle of February.
Read online at PetPlanet
The packaging industry offers a microcosm of the corporate world when it comes to career opportunities. The broad range of careers available in plastics packaging manufacturing allows for extensive professional development, in a sector that is proudly embracing the vocal demands of the brands and consumers that are its active stakeholders. Not to mention the fact that the manufacturers themselves are keen to be sustainable from both a business and an environmental perspective.
This joint focus of responsibility allows for interesting careers across the various functions of a plastics packaging converter, as Anthony Langel, finance manager for Retal PA – the Pennsylvania, US facility of global plastics packaging producer Retal – knows only too well. Langel joined the company in 2019, having spent the majority of his early career in financial consulting to the IT industry. With a finance degree and an MBA that focused on the industrial sector, Anthony has more than a decade of experience in professional environments.
But what made him move into the packaging industry? “My initial finance career developed through consulting for small businesses that did not have their own financial department, which gave me a great insight into all aspects of finance for commercial operations as well as a real ‘in at the deep end’ experience! I valued the chance to learn quickly and to speak directly with the people at the head of the businesses I was consulting for, as this meant I saw the workings of a range of types of company, from real estate to construction, to industrial.”
This close contact with decision makers has given Langel the chance to see how businesses can be more profitable, and how to action that in practical ways. He explains: “I have an affinity for cost accounting; revenue vs net costs, gross margin issues…lots of businesses can look at the money they’re bringing in without looking at the value. For example, with one client I realised that they were paying a per diem on payroll for armed security guards, yet this brought with it additional costs of insurance and added risk, and yet the need for armed security was not necessary. I like to find real world examples of how money is being spent and analyse if that is the most effective way; where figures cross over with value.”
Langel initially contacted Retal after seeing a job advert for a finance manager that he only had seven of the requisite 10 years’ experience for. Although not initially called for interview, the HR manager saw his clear career progression and set up an interview for a position when the previous finance manager left.
“I feel like we both benefited as I was able to show how keen I was to be part of a global business and the HR manager could see that I was positive and ready to learn more about the specifics of their business,” adds Langel.
Read online at Plastics in Packaging
While plastic bottles get the all the media attention and infrastructure investment, plastic films are quietly sitting there, being useful and, sometimes, recycled.
With only 9 % of all plastic films currently being recycled, the less visible cousin of the plastic bottle has a valuable role to play in the circular economy, particulary with regards to consumer understanding of standard recycling collections.
With nearly 5 million tonnes of packaging films produced worldwide every year and only just over 9 % being recycled, it's no wonder that alternatives such as compostable and biodegradable films are widely touted as the best thing since the bag that prevously wrapped sliced bread. But the convenient consumer disconnect of buying 'more responsible' packaging vs what happens to it after they put it with the rest of their recycling means that vast problems are stored up for recycling collection schemes a little further down the chain.
Read online at Susntainable packaging News (p.60-61)
Global plastic packaging manufacturer Retal is actively working with a leading food and agri-business to manufacture a PET preform that helps to extend the shelf life of its popular refrigerated drinking yoghurt in Africa.
To achieve this, Retal is adding ColorMatrix Lactra SX Light Blocking Additive to its monolayer PET bottles for the multi-national producer’s refrigerated drinking yoghurt specifically for the Nigerian market. The PolyOne additive is claimed to block 99.9% of light, thus protecting the dairy product.
Read online at Dairy Industries