CCL, Taisei Kako to construct tube manufacturing and decorating plant in Thailand

25 March 2013 (Last Updated March 25th, 2013 18:30)

Canadian packaging solutions provider CCL Industries has announced the signing of a binding agreement to build a new plastic tube manufacturing and decorating plant in Bangkok, Thailand, in partnership with Taisei Kako.

Plastic tube

Canadian packaging solutions provider CCL Industries has announced the signing of a binding agreement to build a new plastic tube manufacturing and decorating plant in Bangkok, Thailand, in partnership with Taisei Kako.

According to CCL, the partners will invest a total of $5m in equity to start the joint venture company, in which each will own 50%.

Initial capacity will be provided through equipment transfers from CCL's existing and Japanese company Taisei Kako's tube operations.

CCL Industries president and CEO Geoffrey Martin said the new operation will concentrate on selling tubes besides labels to its existing customers in the Home & Personal Care sector in South-East Asia, while exporting products in the same sector to Taisei Kako's customers in Japan.

"We are very pleased to have found such an advanced technology company as Taisei Kako to help us build our tube business in Asia," Martin said.

The development also serves as an opportunity for CCL to expand its tube business into the important emerging market for these products globally.

Taisei Kako, which produces speciality plastic containers for the personal care and pharmaceutical markets, has nine plants located in Asia to address the needs of customers requiring cosmetic, medical and pharmaceutical packaging.

The company has a fully automated manufacturing system with improved digital inspection technology.

CCL, which is a converter of pressure sensitive and film materials for label applications, caters to global customers in the consumer packaging, healthcare, automotive and consumer durable segments.


Image: CCL and Taisei Kako will construct a plastic tube manufacturing and decorating plant in Thailand; Photo: Courtesy of audfriday13.