Plastic Container Blog

This plastics company has grown rapidly thanks partly to it’s dry liners it has made for bulk containers.  Read more about this company and what they have to offer here

Sky’s the limit for TC plastics co.

By AL PARKER
Special to the Record-Eagle

TRAVERSE CITY — Much of Michigan’s economy has lagged over the past few years, but since 2004 a Traverse City plastics company has experienced tremendous growth.

Established in 1999 by owner David Peterson, Plascon Group supplies businesses with a variety of plastic and manufacturing needs, ranging from traditional films, bags and dry storage containment liners to innovative flexible food packaging and green plastic products.

The company not only offers clients the materials they need, but also provides machinery and sets up complete turn-key manufacturing programs.

Since 2004, the company’s growth has been impressive — now encompassing five divisions, each offering different products or services to clients across the United States and Canada. In four years, the number of employees exploded from two to 34. In 2007, the company posted $14 million in sales.

“The company began in 1999 offering turn-key programs to the state of Michigan to employ inmates,” explained chief operating officer Jennifer Rastelli.

A few years later, Plascon struck up a working arrangement with Grand Traverse Industries, which provides employment and training to persons with disabilities. Plascon helped set up manufacturing programs for GTI, which makes plastic bags, toilet tissues and corrugated boxes. GTI also provides all liners for the Michigan Department of Corrections.

“I’d be hard-pressed to find a better business partner whose mission lines up so well with our own,” said Steve Perdue, GTI’s president/CEO. “They’re dedicated to helping us create jobs for folks with disabilities. It’s a win, win, win.”

Other notable Plascon clients include Disney World, Harrah’s, Munson Healthcare, Northwestern Michigan College, Turtle Creek Casino and prison systems of New York and New Jersey.

One of Plascon’s most recent successes is its new line of biodegradable plastic bags. In January, Plascon introduced an innovative line of biodegradable items that have no toxic by-products. The company’s green products have been tested to successfully biodegrade between nine months to five years under most environmental conditions.

Plascon’s packaging division was launched in 2004 and produces durable cook chill bags, in which food can be chilled, frozen, stored and distributed, then reheated right in the plastic bag for easy preparation.

Another Plascon division is Plasport, which specializes in making dry liners for bulk containers and other storage and packaging products. Plasport’s president is Steve Duchon, who became a partner with Peterson in March of this year.

A study has been conducted that meausred the life cycles of platic pallets and wood pallets and the results show that the all plastic pallets have a significantly less impact on the environment.  Click here to read more about the specifics of this study.

Study: Plastic Pallets Better for Environment
An independent study comparing the environmental impacts of iGPS’ all-plastic pallet and the typical pooled multi-use wood pallet has documented that iGPS’ pallet has a significantly lower environmental impact.

The analysis, conducted by Environmental Resources Management, is the first study to measure the total life cycle impact of both iGPS’ plastic pallet and the typical multi-use wood pallet.

The study measured environmental impacts, taking into account pallet durability and useful life, material composition, trip distances and weight. The ranges of environmental impact differences between iGPS’ pallet and the typical multi-use wood pallet, using conservative and more realistic assumptions for the impact categories studied, were:

• Abiotic depletion: 25% - 35% less impact
• Global warming: 65% - 70% less impact
• Ozone Layer Depletion: 91% - 92% less impact
• Photochemical oxidation: 60% - 65% less impact
• Acidification: 60% - 65% less impact
• Eutrophication: 75% - 80% less impact
• Aquatic ecotoxicity: 50% to 55% less impact
• Terrestrial ecotoxicity: 90% to 92% less impact

It may not be the best it’s ever been, but the material handling industry is expected to continue to do well despite the sagging economy.  Click here to read more about this.

Economic Forecast: Patches of light amidst scattered gloom for materials handling
Some industries will prosper, others will continue to struggle into the year ahead
Tom Andel — Logistics Management, 8/19/2008
Economic activity in the manufacturing sector expanded in early summer, following four months of contraction. In fact, the overall economy grew for the 80th consecutive month, according to a recent Manufacturing ISM Report on Business.
The report noted that manufacturers’ inventories increased in June as the Inventories Index registered 51.2%, which is 3.2 percentage points higher than the 48% reported in May. This was the first month of inventory expansion following 25 consecutive months of inventory liquidation. An Inventories Index greater than 42.4%, over time, is generally consistent with expansion in the Bureau of Economic Analysis’ (BEA) figures on overall manufacturing inventories (in chained 2000 dollars).
Among the nine industries reporting growth are:
·     paper products

·     computer and electronic products

·     petroleum and coal products

·     food, beverage and tobacco products

·     chemical products

·     primary metals

·     furniture and related products, and

·     fabricated metal products.

The industries reporting contraction are: wood products; electrical equipment, appliances and components; transportation equipment; machinery; nonmetallic mineral products; apparel, leather and allied products; and plastics and rubber products.
Do these numbers constitute any kind of long-term trend?
“I think it’s safe to say the petroleum industry won’t be going into recession in 2008, nor will chemical, and food and beverage,” says Norbert J. Ore, C.P.M., chair of the Institute for Supply Management Manufacturing Business Survey Committee. “Electronics and electrical equipment are good and materials handling is getting some of what these people are getting. There’s still a lot of industrial capital expansion taking place in power plants, refineries and energy making facilities.”
However, Ore adds, until we see those industries that are on the bottom start to pick up, the economy probably won’t change much.
Indeed, the latest Material Handling Equipment Manufacturers (MHEM) Forecast released by MHIA last month reports that prospects for 2009 have changed for the worse from this time last year. Instead of a rebound, it now appears that the contraction forecasted for 2008 will continue into 2009. For this we can thank the housing market contraction, oil price impact, reduction in corporate profits, and flagging consumer and investment confidence.
“Not one of our leading indicators clearly predict a turn in 2008 or 2009,” MHIA sources noted.
MHIA’s outlook for 2008 and 2009 calls for a mild market contraction. MHEM New Orders grew 8.3% in 2007. MHIA’s forecast is for modest growth in 2008 leading to a contraction in the 5% to 7% range continuing in 2009 with a possible recovery in late 2009 or early 2010.
MHEM Shipments expanded 8.9% in 2007. Buoyed by a currently healthy backlog, Shipments will continue to grow at healthy rates in 2008 and contract 5% to 7% in 2009 and 2010.

MHEM Consumption grew 5.3% in 2007. MHIA forecasts that Consumption or Domestic Demand (shipment plus imports less exports) will grow slightly in 2008 and contract 2009. Exports grew 23% in 2007 and are forecasted to grow 18% in 2008 and slow modestly in 2009.

This show in Boston is creating a green event that will show a wide array of environmentally friendly practices.  Click here to read more about the details of the show and what it has to offer.

Natural Products Expo East Brings Its Green to ‘Beantown’
Plans in place for environmentally responsible practices 

BOULDER, Colo., Aug 14, 2008 (BUSINESS WIRE) — Natural Products Expo East/Organic Products Expo-BioFach America ( www.expoeast.com), to be held October 15-18 in Boston, Mass., will make a lighter impact on the environment this year by implementing several sustainable practices. More than 1,200 exhibitors and 25,000 overall expected attendees of the East Coast’s largest natural, organic and healthy products trade show will experience, and take part in, choices that honor the environmental commitment of the industry.
“Natural Products Expo East is creating a green event that has a broad and thoughtful array of environmentally friendly practices,” said Dan Ruben, executive director of Boston Green Tourism. “By doing so, they are demonstrating the kinds of practices that are very important to our future.”
This year, show organizers are implementing a comprehensive greening plan that includes the following:
– A program that encourages and recognizes exhibiting companies to reduce their environmental impact at the show through trash diversion, travel offset and sustainable booth design.
– The use of recyclable, biodegradable and sustainable materials whenever possible, including jute attendee bags and signage created from 90 percent recycled and fully recyclable materials.
– Utilization of bulk containers and reusable or compostable service ware and cups for all food service.
– 32,000 compostable badge holders instead of the plastic standard, which will divert about 810 pounds of plastic from the landfill — the equivalent of 16,200 plastic bottles.
– An extended onsite recycling program that includes traditional recycling, shipping material recycling and composting.
– The “Travel Green and Save Green” program, which will fund travel for up to 1,000 people traveling 300 miles on public transportation. The program will reduce 884 tons of carbon emissions (see BEF Carbon Calculator: http://www.b-e-f.org).
– A renewable energy sponsorship that, through the purchase of Green Tags, will provide 122,780 kWh of clean, renewable energy credits to offset the energy used during the show
– A paperless press room
“By partnering with the Boston Convention and Exhibition Center, our trade show vendors and our exhibitors, this year’s show will prove to be our greenest yet, and will set the standard for improvement in the years to come,” said Erica Stone, show manager for Natural Products Expo East, produced by New Hope Natural Media, a division of Penton Media.
Reducing environmental impact is a major initiative for the trade show industry as a whole, and a joint project between major meeting organizers including New Hope Natural Media and the U.S. Environmental Protection Agency is working to define an industry standard for green meetings.
“Green Guru” recycling and renewable energy initiatives are produced in partnership with Nordic Naturals and WhiteWave Foods. For more information about Natural Products Expo East, including green initiatives, visit www.expoeast.com and click on ‘Green Efforts.’
Members of the media who provide editorial content may attend the show free of charge. Register online at www.expoeast.com/media. This show is open to a professional audience of manufacturers, buyers, retailers, media and service providers. It is NOT open to the general public.
New Hope Natural Media ( www.newhope.com), a division of the Penton Media Inc., is the leading media resource and information provider for the natural, organic and healthy products industry, with print, in-person/event, and e-business products and services. Penton Media is the largest independent business-to-business media company in the U.S., serving more than 6 million business professionals every month. The company’s market-leading brands are focused on 30 industries and include 113 trade magazines, 145 Web sites, 150 industry trade shows and conferences, and more than 500 information data products. Headquartered in New York City, the privately held company is owned by MidOcean Partners and U.S. Equity Partners II, an investment fund sponsored by Wasserstein & Co., LP, and its co-investors. For additional information on the company and its businesses, visit www.penton.com.

Arlington Packaging supplies a type of “bag-in-box” intermediate bulk containers (IBC).  They partnered with another company to provide emergency drinking water.  Click here to read more about this.

Arlington and Wincanton join forces to provide emergency water
Jane Ellis, packagingnews.co.uk, 13 August 2008

Arlington Packaging, the supplier of bag-in-box intermediate bulk containers, has partnered logistics firm Wincanton to provide emergency kerbside drinking water across the UK.

The Pewsey-based firm is supplying “many hundreds” of its 1,000-litre Combi 100% polypropylene IBC, which has four-way entry and can be stacked five-high, which will be used alongside Wincanton’s transport planning systems.

When used with the completely recyclable single-use polyethylene liner, the Combi is an alternative to traditional blue titan tanks used to provide water in an emergency.

It has a tough outer casing to protect against adverse weather conditions and can be packed flat to save space when not being used.

As the Combi is sealed and each liner is only used once, there is no need to swab test for contaminants, the firm said.

Arlington Packaging director Harry Fairbank said: “We are also supplying a 250-litre Combi, which is more easily recycled than plastic bottles and folds down to the size of a briefcase.”

Following last summer’s floods in the UK, water authorities have to ensure that they meet their legal obligations to ensure the provision of essential water supplies in an emergency.

Approximately 60% of British Comunbians are making the switch from plastic containers to glass or metal containers.
You can read more about this here.

Poll: People in BC leading the change from plastic bottles to glass and metal
VANCOUVER (NEWS1130) - A new poll shows people in British Columbia are leading the country in heeding warnings about possibly toxic plastic products. And close to 60% of us have started switching from plastic containers to glass or metal.

In April, the Canadian government listed bisphenol A (BPA) as a toxic agent. Citing studies alleging that BPA could have a negative impact in the early stages of child development, Ottawa ordered a gradual ban on the import and sale of polycarbonate baby bottles containing BPA.

The results of an Angus Reid survey show 68% of Canadians are worried about the possibility that products made of plastic contain toxic agents.

Mario Conseco with Angus Reid says approximately half of Canadians have already made the switch from plastic to glass or metal, and the numbers in B.C.are even higher. “Three in five respondents in B.C. say they have already taken steps to substitute plastic with glass or metal and this is the highest proportion in the country. So B.C. is clearly leading by example when it comes to the plastic controversy.”

Conseco says people in British Columbia tend to be more environmentally concious than the rest of the country. The poll also finds 85% of Canadians support the federal government’s decision to ban plastic baby bottles containing bisphenol A earlier this year.

Conseco says the poll also indicated a gender gap in the findings. “This is the key finding…59% of men say they are extremely or moderatly concerned about the possibility of something made of plastic containing toxic agents, and that number jumps to 77% for women. So women are clearly more concerned and they are the ones who are making changes now.”

Thanks to the advantages of plastics when it comes to packaging, the demand for plastic is supposed to increase 5.4% for the coming 4 years.  Click here to read more about this.

Cleveland 8/12/2008 07:26 PM GMT (TransWorldNews)

US demand for plastic containers will advance 5.4 percent annually through 2012 to nearly $32 billion, creating demand for 15.7 billion pounds of resin.  Gains will be bolstered by plastic’s many benefits relative to other packaging media, including light weight, shatter resistance, design flexibility, clarity, strength and effective barrier properties.  However, demand will be limited by increasing maturity in such key markets as soft drinks and household chemicals.  Growth in resin volume will be restrained by lightweighting and downgauging efforts aimed at reducing resin consumption.  Unit expansion will outpace volume increases as a result of consumer preferences for smaller, single-serving containers in large markets like food and beverages. These and other trends, including market share and company profiles, are presented in Plastic Containers, a new study from The Freedonia Group, Inc., a Cleveland-based industry research firm.

After reading this article, I’ve learned that these plastic pallets that are embedded with an RFID chip, can save you money.
Click here to read more about this.

 The Plastic Pallet Pool
August 8th, 2008

iGPS is a relatively new venture that is getting increasing attention in the supply chain industry.   For those who haven’t run into them yet, here’s a brief primer on what they are doing.

The  company rents pallets along the lines of the CHEP program.  The difference is that iGPS rents plastic pallets - imbedded with an RFID chip.

The traditional benefits of a plastic pallet are in full force: the pallets are roughly 30% lighter than typical wood pallets, providing attractive savings potential in freight and they are impervious to contamination.  Moreover, the iGPS pallets meet the GMA standards as well as ISO 8611-3 requirements and are capable of supporting loads up to 2,800 lbs.  They are rackable and provide comparable fire safety performance to wood pallets.

This option deserves exploration from operators across a broad range of industries, but, of course, the cost-benefits case needs to be made.  Like buying plastic pallets, renting them comes with a premium over their wooden counterparts.

Plastic bins along with most other packaging materials are being affected by the increase in oil prices.  Click here to read more about this.

High oil prices are driving up costs of not only gasoline and everything shipped by truck, but also the plastic bins and cardboard boxes that hold much of what you buy.
Petroleum is an ingredient in the display bins made by TRB Plastics of Lancaster. 
Consumers may not notice the rising costs of store displays and packaging materials because they don’t directly pay for them, but companies say they have risen dramatically.

TRB Plastics, a Lancaster manufacturer of such products as plastic bins for candy and pastries, and display racks for brochures, clothing and shoes, is one of the companies struggling with the problem.

TRB, a division of Merchandising Solutions Inc., has had to raise its prices, but its profits are still down.

Coping with the smaller profits can be painful, but raising prices too quickly can cause demand to slow.
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“We have to absorb some of the increase,” TRB President Tom Burns said.

Order sizes had dropped as the cost of raw materials and shipping increased, he said, but they have picked up again as companies made a “mental adjustment” to higher costs.

TRB isn’t alone.

Intertape Polymer Group, a Montreal-based manufacturer of paper and plastic packaging, announced 6 percent and 5 percent increases in masking and duct tape prices in July. It cited rising costs for plastic, paper and petroleum-based resin.
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Intertape’s products include industrial electrical tape and plastic bags filled with air used in protecting boxed products, among other packaging materials.

Oil prices, which hit a record high of $147.27 on the New York Mercantile Exchange July 11 — about 93 percent higher than the price in mid-July 2007 of $76.40 — are the main culprit.

“It’s getting a little rougher out here,” said Dave Husser, a Manheim resident and industrial consultant for Georgia-based Unisource.

Unisource makes a variety of packaging products, from pallets and corrugated boxes to label printers and shrink wrap.

The company sells tape, corner board and stretch film to Intelligencer Printing Co., 330 Eden Road, as well as paper and packaging materials to Acorn Press, 500 E. Oregon Road.

Husser said packaging prices are likely to rise further because of increasing energy and transportation costs and a growing demand in China for boxes.

How much prices will rise will likely vary from mill to mill, he said. Prices usually shift most in September and January, as demand rises in the lead-up to the holiday season and then subsides.

Linerboard manufacturers announced a $55 price increase, to $605 per ton, earlier this month. Linerboard is used to make corrugated cardboard, and the increase would translate to an increase of about 11 percent to 14 percent in the price of finished boxes, beginning this month.

The Fibre Box Association, the corrugated cardboard trade association, said that box shipments dipped 3.5 percent in June, slightly more than the average decline for the year.

Husser said Unisource hadn’t seen a slowdown, but he expected one in the fall.

“They’re really busy right now because everyone’s trying to avoid price increases,” he said. “After a while, you just don’t buy any more.”

Part of that may be due to companies’ attempts to economize.

“The Wal-Marts of the world have kind of made it an edict to try to reduce their packaging costs,” Husser said.

Companies are watching their “carbon trails,” he said. Some nut producers are using plastic bags instead of jars or bottles. More bags than bottles can fit into a delivery truck, reducing fuel costs.

Some companies are also using lighter packaging materials, substituting cardboard for wood so trucks can carry more product, he said.

For companies that produce plastics, however, reducing petroleum consumption isn’t an option because it’s the main ingredient of the product itself.

“We always try to get the best yield out of the materials,” Burns said. “We haven’t been able to cut back on raw materials.”

Some petroleum-based packaging, such as plastic seals on bottles, is being replaced by natural starches.

In addition to being cheaper than petroleum, natural starches biodegrade, making them more environmentally friendly. The problem is that they aren’t as durable as petroleum products.

“Most of the ones that are naturally based material are still in the developing phase,” Burns said.

He added that because most natural plastics are being developed in pellet form, they won’t help his business much. TRB uses sheets of plastic.

The company uses some recycled material, but not for display products.

“If it’s a utility material, that’s one thing,” Burns said.

Recycled plastic doesn’t have the same clarity as new material, he said, so TRB uses it only for opaque products.

Husser said consumers should brace themselves for sticker shock, in spite of companies’ efforts to cut costs.

“Everything that we buy today is going up in price,” he said.

You can save money by using corrugated plastic panels for your storage needs as well as your industrial packaging needs.
You can read more about this here.

Corrugated plastic panels could be the ideal solution to your industrial packaging and storage needs. Whether your needs are simple or complex, corrugated plastic can reduce your costs. Packnet offers complete in-house design and fabricating services. Die cutting, scoring, slotting, sonic welding and a variety of in-stock hardware such as handles, latches, straps and buckles all which make corrugated plastic the reusable, recyclable and versatile material every company could use. Corrugated Plastic offers the following advantages:

* Durable: Corrugated plastic panels are engineered to be much stronger than typical paper solutions; corrugated plastic containers can be reused many more times than cardboard or paper.
* Flexible Solutions: We can engineer custom corrugated plastic solutions that can solve a number of your handling and storage challenges. We can custom fabricate containers of unique size, shapes and colors to meet your packaging needs.
* Moisture Proof: Plastic will withstand water and other chemicals to ensure longevity in less than ideal environments. HDPP and HDPE available.
* Fiber Free: Corrugated plastic doesn’t shed; your product and storage area will have less contamination. The ideal material for cleanroom environments!
* Environmentally Friendly: Because of it’s durably, plastic containers can be reused many times; because plastic is recyclable, there is no waste to contaminate the environment.
* Printing Capabilities: Silk screen printing, digital printing and water based flexo-printing are some of the common methods of printing on corrugated plastic.
* ESD Protection: Corrugated plastic can be made conductive to reduce static build-up and protect ESD sensitive materials.

Prices include imprint charge.
• Panel is made of 4mm corrugated plastic.
• Panel available in (SF) Single Face - printed on one side only OR
(DF) Double Faced - printed on both sides of panel.
• Has I-Beam inner core center.
• Panel doesn’t warp.
• Panel is moisture proof.
• Strong but lightweight.
• #1 Stake sold seperately.