News – 01-SEP-04

Film extruder expands into multi-layer

Toronto-based film manufacturer New Solution Extrusion has ordered a new 3-layer blown film extrusion line. The line, which is expected to be in operation by the end of October, marks the company’s entry into multi-layer manufacturing. New Solution Extrusion manufactures a variety of films for the pet food, beverage, food, biscuit, chemical and horticultural markets.

The new 71 in.-wide line, manufactured by Macchi S.p.A., incorporates leading-edge technology, including an automatic die, Kundig sensor and software for automated adjustment of film thickness and reduction of point-to-point gauge variation. The line also incorporates Macchi’s Co-Ex Flex space-saving extrusion platform, featuring three extruders mounted parallel on a single base.

Manufacturers/apprentices could gain from proposed tax credit program

First announced in the 2004 Ontario budget, the proposed Apprenticeship Training Tax Credit would refund 25% of salaries and wages paid to an eligible apprentice in a qualified skilled trade. The tax credit would increase to 30% for small businesses — those with payrolls not exceeding $400,000.

Employers would qualify for up to $5000 per year per eligible apprentice. The maximum credit would be $15,000 over the first 36 months of an apprenticeship. Industrial trades covered by the proposed program include general machinist, tool and die maker, electrician, millwright and precision metal fabricator.

The government will consult with stakeholders to review the effectiveness of the tax credit prior to December 31, 2007. For more information contact Boni Fox Gray at the Ministry of Finance at 416-212-2155.

Exporter confidence strong

Manufacturers and exporters are increasingly bullish about foreign sales growth, according to the latest survey by Export Development Canada. The latest Trade Confidence Index (TCI) reading is 75 out of a possible 100 points, an increase of 0.2 points from the 74.8 registered in the fall of 2003. About one-third of exporters responded that their outlook for international trade opportunities was positive and almost half stated that they were projecting sales to increase. With respect to hiring, 36% of Canadian businesses surveyed said they planned to add staff in the next six months.

“The economic situation now is really as good as it gets,” said the EDC senior vice-president and chief economist Stephen Poloz. “Indeed, world economic growth will moderate to a more sustainable pace next year as interest rates rise to more normal levels.”

The survey suggested that the dollar remains a concern with Canadian companies, with 64% saying they view the value of the dollar as pivotal to their success in foreign markets.

Construction awards expanded

The Toronto Construction Association’s 2004 Innovative Product / Technology Award (TIPTA) is now open to the public for competition. The TIPTA is annually awarded for innovation and creativity in the construction industry; especially for the introduction of new and advanced technologies into the market place. Past winners include Royal Group Technologies’ Royal Building System. For more information, contact Roger Willoughby at 905-764-2611.

Moldmaking federation gathers for first AGM

The founding member associations of the Canadian Machine, Tool, Die and Mould Federation are holding their first annual meeting at the Oakwood Inn in Grand Bend, ON, on September 24-26.

The Federation consists of the CTMA, CPMA, CAMM and CPIA Mould Makers Council. This year’s event will include Annual General Meetings for CTMA and CAMM, as well as a combined Federation AGM for member companies from all of the affiliated associations.

For information, contact Julie Macfarlane at the CTMA office, 519-653-7265 or info@ctma.com.

Imperial PlasTech signs distribution agreement for Eastern Canada

Pipemaker Imperial PlasTech (Peterborough, ON) has announced a distribution agreement with industrial wholesaler Marcel Baril Group which it expects will result in record sales for the company in Eastern Canada. “We’re thrilled to team up with Marcel Baril Group,” says Imperial CEO Stamatis Astras. “Their long-standing presence and reputation in Eastern Canada matches our high-end marketing strategy.”

As part of the agreement, Marcel Baril and Imperial PlasTech will offer a wide range of plastic products for municipal, construction and mining applications.

Marcel Baril Group is based in Rouyn Noranda, QC.

Recycler and film producer team up

A cooperative venture to recycle used stretch film has been announced by Sigma Stretch Film (Belleville, ON) and Sun Valley Worldwide (Delray Beach, FL), a global recycling and environmental services company. Under the NextLifeT program, Sun Valley will purchase used stretch film and recycle the material into resin. Sigma will promote and market the NextLifeT program to its sales forces and customers.

The project aims to reclaim millions of pounds of stretch film that may otherwise have gone to landfill.

Sigma has five locations in North America, and is said to be the largest producer of industrial stretch film in the US and Canada.

CPIA and IMI join forces to help Quebec businesses

Stimulating innovation and enhancing the competitiveness of small- and medium-sized plastics businesses is the aim of a new strategic agreement between the Canadian Plastics Industry Association, Quebec Region, and the National Research Council’s Industrial Materials Institute in Boucherville, QC.

The two organizations will work together to encourage Quebec SMEs to adopt new productivity-enhancing technologies. They seek to accomplish this by: carrying out R&D for new products; supporting specialized training; validating technology prototypes for marketing; facilitating sustainable development; and supporting strategic and competitive information.

The Industrial Materials Institute (IMI) is an internationally recognized R&D centre with extensive knowledge of plastic materials and processes. It also emphasizes knowledge transfer and industry partnerships.

In light of the closer ties with IMI, CPIA Quebec will move its offices into the IMI building in Boucherville in February 2005. Boucherville is located about 10 km east of Montreal.

CAW seeks to unionize Toyota

The Canadian Auto Workers union has renewed its efforts to unionize Toyota Motor Manufacturing Canada Inc. The initiative comes three years after a CAW campaign that nearly resulted in a vote at the Cambridge, ON plant, according to a report in The Globe and Mail. According to CAW officials, workers at the Toyota plant are growing increasingly concerned over a number of issues, such as an increase in the number of contract workers.

Jefferson Smurfit courts wine industry from Mississauga bag-making plant

“Well done, but lads, we’re only starting.” Those were the words of Tony Smurfit, president and CEO of international packaging supplier Jefferson Smurfit Group, to the crew which started up Smurfit’s North American production facility for Bag-in-Box packages recently in Mississauga, ON. Smurfit is a strong player in wine cask (bag inside a box) category in Europe, and has plans to boost its presence in the North American market from a local base. The bag-in-box concept, which can be used for wine or other liquid foods, consists of a multi-layer bag fitted with a plastic tap and enclosed in a corrugated cardboard box.

Smurfit Bag-in-Box Canada is the culmination of four years of market development for Christophe de Carbonnires, managing director of the Canadian operation. Among Smurfit’s North American customers are Ontario winemaker Vincor International and the SAQ, Quebec’s liquor sales agency. Worldwide, Smurfit expects to sell 80 million bags this year.

The 24,000 sq. ft. Mississauga plant has a single converting line at the moment, but there are plans and space for two more lines to accommodate market growth. The bag-making machine is supplied by Maverick of South Africa, and the plastic taps, trademarked Vitop, are made by Smurfit in Italy. The film is generally
a co-extruded EVOH. De Carbonnires notes that the company is seeking a local supplier for the film.

Sales of wine in the cask format have been growing steadily for the past decade. Smurfit reports average growth of this market is 34% per year. In Canada, according to the Association of Canadian Distillers, approximately 252 million litres of wine were sold last year; 11% of that was in casks.

The bag-in-box concept is also used for food-service applications. Scholle (Baie d’Urf, QC), Seville Packaging Inc. (Mississauga) and DuPont’s Enhance Packaging Technologies (Whitby, ON) are other major players in this market.