Vetropack Group will invest over CHF 400 million in a new plant in Boffalora sopra Ticino for the Italian market.

Production is expected to start in Boffalora sopra Ticino near Milan in the second quarter of 2023.

The new, high-tech site offers more flexibility in production with higher capacities and a focus on sustainable processes.

As the previous site in Trezzano sul Naviglio would not meet Vetropack's goals in terms of quality and sustainability in the long term, the group decided to build a new production facility in Boffalora sopra Ticino, approximately 25 km away.

Johann Reiter, CEO of Vetropack Holding said: "The Italian market is of great importance to us and, with its many global brands, plays a central role in our strategy."

The production plant is being built on the site of the former Reno De Medici paper mill and covers an area of 347,000 m2, of which 170,000 m2 will be used for production facilities.

Like in the old plant, two furnaces will be put into operation at first. Compared to the previous site, however, the manufacturer expects an increase in production capacity of around 70%.

The infrastructure is geared towards capacity expansion, as Vetropack anticipates positive market development in Italy and beyond in the medium term.

All 301 employees of the previous site have been offered a transfer.

At the Boffalora site, Vetropack will invest in high-performance and smart technologies which facilitate more flexible, customised, and resource-efficient operations.

Christoph Burgermeister, Project Manager at Vetropack, said: "Thanks to modern equipment and processes, we can produce more flexibly and better meet the increasing demand for high-quality packaging, even in smaller volumes – so-called semi-specials.”

A series of measures will also reduce potential environmental pollution considerably.

The demolition material from the former paper mill on the site is being repurposed in the construction of the new plant.

Water used for production and exhaust heat from the blast furnaces is reused as much as possible thanks to recirculation systems, and emissions are greatly reduced with the help of the latest filter systems.