Beyond The Headlines: German aluminum industry “crisis,” DS Smith partners with Amazon Web Services

22 Sep 2023 --- This week in packaging, Aluminium Deutschland warned that the German aluminum industry is “still in crisis mode” amid supply and pricing concerns. Also, DS Smith announced Amazon Web Services as its cloud provider to accelerate digital transformation and support sustainable solutions. Meanwhile, Britvic invested in its Ballygowan, Ireland facility to increase production by over 20%.

In brief: Market fears
The European Parliament added aluminum to its list of strategic raw materials as part of the Critical Raw Materials Act. This recognition highlights aluminum’s importance in various technologies essential for the Green Deal and the EU’s transformation. However, the German aluminum industry faces challenges, with a survey by Aluminium Deutschland revealing a poor supply and price situation for many companies. Approximately 40% expect the situation to worsen in the coming months and three-quarters consider Germany’s industrial competitiveness low. To address these issues, the trade association members are urging governments to find solutions and promote the availability of affordable green energy.

French supermarket chain Carrefour placed price warnings on products affected by “shrinkflation” to pressure consumer goods suppliers, including Nestlé, PepsiCo and Unilever, to mitigate inflation. The move comes ahead of contract negotiations set to take place soon. According to Charles Haverfield, CEO of US Packaging and Wrapping, US consumers are also concerned about this phenomenon, as reflected in rising inflation figures.

Britvic investment will provide additional bottling capacity for the equivalent of 50 million fully recycled and recyclable bottles.In brief: Business and partnerships
DS Smith chose AWS as its cloud provider to drive innovation, efficiencies and environmental sustainability. The partnership aims to leverage data for growth and efficiency, focusing on real-time monitoring of manufacturing capacity and supply chain management to meet sustainability targets. DS Smith plans to build a Data Factory on AWS, integrating data from machinery, facilities, logistics and products to gain actionable insights. AWS will also support DS Smith with cloud skills training and development programs. The collaboration aligns with DS Smith’s sustainability goals, including achieving net zero GHG emissions by 2050 and reducing emissions by 46% by 2030.

Britvic Ireland invested €6 million (US$6.4 million) in its Ballygowan facility in Newcastle West, Ireland, to expand production capacity by more than 20%. The investment will enable additional bottling capacity equivalent to 50 million fully recycled and recyclable 500 ml bottles of Ballygowan mineral water. The bottles are made from 100% recycled and recyclable plastic (rPET). The move comes in response to growing consumer demand for Ballygowan mineral water, which has seen double-digit solid volume growth compared to pre-pandemic levels. 

Nulogy and OMP, two companies specializing in supply chain solutions and planning optimization, expanded their partnership to offer enhanced digital transformation experiences to additional industries, including life sciences and chemicals. Their combined multi-enterprise solution integrates OMP’s Unison PlanningTM platform with Nulogy’s collaboration solution, enabling real-time collaboration between global enterprises and their external suppliers. This expansion aims to provide cross-enterprise visibility and improve supply chain agility for industries beyond consumer packaged goods and food & beverage. The partnership allows companies to streamline communications and collaboration across complex supplier networks.Nulogy and OMP Expand Partnership to Deliver Digital Transformation Experience to Life Sciences and Chemical Supply Chains (Image credit: CNW Group/Nulogy Corporation).

Dart Container entered a strategic equity partnership with Red Leaf Pulp, a Canadian company specializing in converting wheat straw residuals into market pulp and bio-products. This partnership grants Dart exclusive rights to use Red Leaf’s alternative fiber for its molded fiber foodservice packaging. The collaboration will also provide Dart with significant capacity from Red Leaf’s upcoming conversion facility in Regina, Saskatchewan, scheduled for completion in 2026. The terms of Dart’s investment in Red Leaf have not been publicly disclosed. Dart aims to expand its environmentally sustainable packaging offerings through this partnership.

Schott, a manufacturer of high-tech materials based on specialty glass, introduced lightweight microelectronic packages designed for aerospace applications. These packages offer the same level of protection for avionics while reducing weight by up to two-thirds compared to traditional electronic packaging made from kovar. They are designed to meet the demands of the commercial aerospace market, where lightweight and durable materials are essential. The packages are suitable for protecting sensitive electronics used in aviation and space missions, such as radio frequency designs, DC/DC converters and sensor components. With these lightweight packages, Schott aims to help reduce costs and make aviation and space missions more efficient.

Schott’s latest microelectronic packages are lightweight and durable enough to withstand demanding environments, while delivering reliable, long-lasting protection for avionics (Image credit: Schott).In brief: Events 
European glass packaging manufacturer Vetropack will showcase its Echovai lightweight glass technology at the BrauBeviale 2023 trade show, from November 28-30, in Germany. Vetropack says Echovai bottles are 30% lighter and more robust than standard bottles, facilitating up to 20% more loops per bottle and reducing weight during transport, saving raw materials and CO2 emissions. The company is collaborating with stakeholders in Austria, such as Brau Union, Logistikverbund Mehrweg, the brewers’ association and their members, to develop a 0.33 L returnable bottle made of Echovai glass, aiding the country’s mandatory reusable quota from 2024. The technology is nominated for the Bundespreis Ecodesign, Germany’s highest federal award for ecological design.

AIMPLAS, the Plastics Technology Centre, is set to host the second edition of PLASREC, the International Seminar on Plastics Recycling, on November 15-16. The event will address the significance of plastic waste recycling and recovery in a circular economy model, emphasizing the transformation of waste into new resources and sustainable raw materials. PLASREC will feature 26 speakers across six sessions discussing collection and sorting innovation, mechanical and chemical recycling technologies, sector challenges and advanced techniques. The event will also highlight successful recycling projects and initiatives.

By Radhika Sikaria