Swedish food packaging and processing company Tetra Pak has completed a €65m upgrade of its packaging material plant located in Ponta Grossa, Brazil.

The project aims to meet all domestic and export demands in the region, increasing the plant’s capacity by 70% to 13 billion packs. The Ponta Grossa plant will be able to produce a wide range of packages and sizes, including Tetra Brik Aseptic 1000 Edge, Tetra Gemina Aseptic 1000 and Tetra Top formats.

Tetra Pak North, Central and South America cluster vice president Paulo Nigro said that the company produced around 25 million packs a month when it started operations in the country 57 years ago, which represents just half-a-day’s output at present.

"Brazil is the second-largest market for Tetra Pak globally," Nigro added.

"Our success has been enabled by the growth of the dairy and beverage industry in the countries we serve."

The upgrade commenced in 2012. According to Tetra Pak, domestic demand for carton packaging in Brazil has been growing at a compound annual growth rate (CAGR) of 5.5% since 2007.

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Driven by the 100%-juice category, the drinks segment grew by 20% in 2013. Other markets such as Andean and Caribbean countries in Latin America are also growing and demanding increased production capacity in the region.

Image: Ponta Grossa packaging material plant in Brazil. Photo: courtesy of Tetra Pak International S.A.