August’s top stories: Vitro secures $950m contract, Sonoco to acquire Weidenhammer

8 September 2014 (Last Updated September 8th, 2014 06:28)

Philip Morris International plans to sue the UK Government if it goes ahead with the implementation of the proposed law that requires plain packaging for cigarettes, while the US FDA has tightened gluten-free labelling rules. Packaging Gateway wraps-up the key headlines from August 2014.

August’s top stories: Vitro secures $950m contract, Sonoco to acquire Weidenhammer

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Philip Morris prepares to sue UK Government over proposed plain packaging law

Philip Morris International, manufacturer of Marlboro cigarettes, is preparing to sue the UK Government if it goes ahead with the implementation of the proposed law that requires plain packaging for cigarettes.

The proposed law mandates the packaging for cigarettes to include graphic health warnings and have no branding, in an effort to reduce smoking habits among consumers.

Last week, the Public Health of England released data that indicated that plain packaging could help to reduce premature deaths and to save around £500m for the country.

FDA tightens gluten-free labelling rules

The US Food and Drug Administration (FDA) introduced a new rule that foods labelled gluten-free must contain less than 20 parts per million of gluten.

Additionally, these foods must not contain wheat, rye, barley or any of their cross-bred hybrids, unless the gluten is removed from the grains.

Companies that label their products as free of gluten, without gluten, or no gluten but fail to meet the new requirements will be subject to regulatory action.

Henkel training base authorised in China

Henkel-1Adhesives company Henkel was named as a China Packaging Industry Training Base by the China Packaging Federation (CPF), the government body for the packaging industry.

The training certificates granted by the centre are attractive for packaging industry professionals as they are officially endorsed by the CPF.

China has only a handful of packaging industry training bases currently, which are operated by academic institutions, universities and large government-owned packaging groups.

Vitro secures $950m contract from Constellation Brands

Mexico-based glass manufacturer Vitro received a new contract from its client Constellation Brands to produce 7.3 billion beer bottles.

During the seven-year life of the contract, the estimated sales transaction is valued at $950m.

The deal is expected to triple the present volume of Vitro's production for the beer market.

Nordson unveils waste-minimising fluid dispensing system

Nordson-1Nordson EFD released the Optimum Clear Flex Piston dispensing solution that is capable of achieving consistency in results when dispensing viscous liquids.

Optimum Clear Flex Piston helps to reduce the bounce in the fluid by creating a tighter seal between the piston and the fluid than other pistons on the market. Pliable material used to make the new piston allows it to bend under pressure and create the tighter seal.

The seal tightness ensures that no air passes by the piston, avoiding piston separation and pulsing during dispension.

Duo UK to manufacture 100% recyclable sugarcane mailing bags

Polythene bag manufacturer Duo UK was selected by polymer distribution company Resin Trade to manufacture 100% recyclable sugarcane mailing bags from completely renewable sources.

The move is the latest in a series of green investments made by Duo UK.

Duo UK commercial director Anthony Brimelow said: "We're seeing a strong increase in demand for green products, driven partly from our clients' own corporate social responsibility policies and partly by clients reacting to their own customer demands."

Sonoco to acquire Weidenhammer Packaging for €286m

Sonoco-1US-based industrial and consumer packaging provider Sonoco agreed to acquire Weidenhammer Packaging, in a deal worth €286m.

Upon completion, the acquisition is expected to increase Sonoco's global consumer-related packaging and services business to approximately $2.8bn in annual sales.

It is also expected to increase Sonoco's net sales in Europe to approximately 21% of total sales.

BillerudKorsnäs invests $126m in mill expansion

BillerudKorsnäs, a Swedish manufacturer of renewable packaging material, invested around SEK900m ($126m) to expand its mills at Frövi and Rockhammar.

The investment will be used to increase the capacity and improve output quality at the two mills, which primarily produce cartonboard and liquid packaging board.

As part of the investment, Frövi mill will acquire a rebuilt board machine, while the Rockhammar pulp mill will receive a capacity upgrade.