Huhtamäki produces packaging solutions for food and beverages and personal care products. Credit: T. Schneider via Shutterstock.

Huhtamaki, a sustainable packaging solutions provider, has announced the consolidation of its Flexible Packaging manufacturing sites in the United Arab Emirates (UAE).  

The company will maintain its Jebel Ali factory and expand the Ras Al Khaimah site.  

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Huhtamaki will gradually initiate the transition during the second half of 2024.  

According to the company, the consolidation is intended to enhance manufacturing efficiency, boost competitiveness, and lay a robust foundation for future growth in the region. 

The move is in line with Huhtamaki’s strategy to expedite strategy implementation announced in November last year. 

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The company expects the changes to materially support its profitability and efficiency. 

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It anticipates efficiency improvements to yield savings of around €100m ($103.38m) over the next three years.  

The planned consolidation does not constitute a significant portion of Huhtamaki’s sales or profits.  

In the second quarter of 2024, the company will record consolidation-related costs totalling approximately €4m.  

These costs will be booked as items affecting comparability.  

With its headquarters in Espoo, Finland, Huhtamaki operates across 37 countries with 107 locations globally.  

The company makes packaging solutions for food and beverages and personal care products and ensures hygiene and safety.  

These solutions also promote accessibility and affordability while helping to prevent food waste. 

Earlier in March this year Huhtamaki revealed plans to consolidate its production within the fibre foodservice Europe-Asia-Oceania segment in China. 

Additionally, in April, the company announced the closure of its production facility in Port Klang, Malaysia, as part of its ongoing efforts to streamline operations and enhance global efficiency.