UPM Raflatac expands its asset platform in Poland to meet labelstock demand growth in Europe

The approximately 35 million EUR (38.8 million USD) investment in additional coating capacity, supported by related reel handling and slitting capacity additions, is intended to ensure continued service and quality for UPM Raflatac customers. Production on the new line is planned to commence in the first half of 2018.

UPM Raflatac executive vice president Antti Jääskeläinen described the investment as ‘significant’ in meeting the demand growth of the supplier’s customers in Europe, adding: ‘It further leverages our unique competences, end-use specific product offering and industry leading, optimally located operating platform in Poland.’

Operations at the UPM Raflatac Wroclaw labelstock factory started in 2008 followed by the nearby UPM Raflatac Nowa Wies factory in 2012. Located in Western Poland, the two factories employ today close to 600 people and form a significant UPM Raflatac labelstock production hub.

‘One of the trends driving labelstock demand is the fast growth of e-commerce, an end-use requiring increasing amounts of labeling material,’ continued Jääskeläinen. ‘Also the packaged food trends together with the general private consumption growth continue to be important drivers.

‘We have successfully responded to the demand globally, which is also reflected in our annual top line growth rate of about six percent in recent years.’

UPM Raflatac’s Wroclaw plant runs entirely on electricity from renewable sources, as reported here.