A new report titled “Labels” from The Freedonia Group, Inc., estimates that demand for labels in the U.S. is projected to increase 3.8% annually to $19.7 billion in 2019. The report adds that since labels serve a breadth of applications, gains will be fueled by overall economic expansion, population increases, and a healthy outlook for consumer spending. Solid growth in the dominant pressure-sensitive segment will reflect versatility of applications as well as suitability for value-added products such as smart labels. The maturing of some applications along with increasingly intense competition in primary packaging applications with other label types, especially heat-shrink and in-mold labels (IML), will moderate growth. Among competing label technologies, heat-shrink and IML are expected to experience the most rapid growth through 2019. Analyst Esther Palevsky also notes that though they will remain “an important component of the label mix, glue-applied labels will face further losses to pressure sensitive labels, even in traditional strongholds such as wine, spirits, and specialty beverages.”
Smurfit Kappa Group has significantly strengthened its presence in Western France with the acquisition of two Europac sites in Brittany.
The packaging leader has acquired the Caradec Box Plant in the Morbihan County and the Saint Pol de Léon site in the Finistére County, reinforcing its capabilities in the fruit and vegetable sector.
Smurfit Kappa has a strong track record in producing innovative and sustainable packaging solutions for the agriculture sector so the Caradec Box Plant is a natural fit with the company.
Smurfit Kappa will now have a stronger link to the Brittany food markets and welcomes 200 employees to its worldwide community of employees.
Speaking about the new acquisition, Smurfit Kappa COO of Corrugated Europe, Edwin Goffard, said: “This latest acquisition is part of our integrated strategy and supports our continued drive to open up new opportunities.”
Jean-Christophe Bugeon, CEO of Smurfit Kappa France added: “We are delighted to welcome the Caradec employees into our company. More and more retailers and growers are seeking more sustainable packaging alternatives for fresh produce and we can add an even wider choice of premium solutions to our offering.”
Smurfit Kappa has got proven experience and expertise in providing packaging for fresh produce.