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BIZCHINA / Overseas Investment

Tetra Pak eyes plant investment in Hohhot

(Shanghai Daily)
Updated: 2007-03-29 14:17

Food packaging giant Tetra Pak International SA plans to invest 60
million euros (US$79.97 million) in a packaging material plant in Hohhot,
capital of Inner Mongolia Autonomous Region, to boost production capacity
in one of its largest markets.

The new plant will begin construction in the middle of this year and is
set to start operations in the fourth quarter of 2008, it said in a
statement. The new plant has a capacity of eight billion packages
annually and will produce carton package materials including the Tetra
Brik Aseptic and Tetra Fino Aseptic.

With this Hohhot plant, the Sweden-based company's total investment in
China will total 250 million euros.

"This factory will primarily serve our customers in the north, freeing up
capacity in our southern factories for customers in adjacent regions,"
said Hudson Lee, Tetra Pak China's managing director. "With a larger
production footprint, we will offer faster delivery and increased
flexibility for customers all over China."

Tetra Pak estimates the Chinese dairy industry to grow an average of 15
percent over the next five years.

The packaging company runs four other factories in the country, one each
in Shanghai, Beijing, Kunshan in Jiangsu Province and Foshan, Guangdong
Province.

(For more biz stories, please visit Industry Updates)

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