Industry Liquor Packaging Sub Industry Wine, Pisco and other
Transcription
Industry Liquor Packaging Sub Industry Wine, Pisco and other
I.C. Amorim S.A. Industry Liquor Packaging Sub Industry Wine, Pisco and other liquors Location Santiago, Chile Size (sales) US$ 12,1 million (2003) Purchasing potential US$ 100 thousand annually Specific Business Opportunities Machinery for packing bottles in boxes A) Company Description Amorim is a Portuguese company that produces and distributes corks worldwide. Amorim Chile works together with Industria Corchera S.A. Both began as cork supply companies for wineries and now are sub-contracted by important wineries and liquor companies to package their products. They work with pile proof covers, pox élan discs, cork, aluminum and plastic covers in addition to promotion and representation of packaging machinery brands for the winery industry. They are currently working on entering the pharmaceutical packaging market. In November 2000, Concha y Toro S.A. (the largest winery in Chile) purchased 49,6% of Industria Corchera S.A.. Today, Concha y Toro and Amorim jointly own 99,68% of the capital stock of Industria Corchera. B) Principal Products Produced and How Are They Packaged Product Brand Package Wine Concha y Toro Glass bottles and corks (PVC and cork) with labels C) Installed Packaging Machinery Current Machinery Brand Units Origin Average Specification Used Capsule machine Age Ramondin Capsulas 1 Spain N/A For Bottles D) Recent Purchases of Packaging Machinery Machinery Brand Country Equipment for printing Azevedos Portugal (ink) on corks Industria E) Future Packaging Machinery Ordering Plans Amorim is planning to buy packaging machinery to improve their packing process, specifically for placing wine bottles in cardboard boxes, sealing, and placing on pallets. F) Purchasing Policies and Financial Arrangements Amorim is flexible, depending on specific requirement and needs. G) Factors that Influence Purchasing Decisions A combination of specific needs versus quality, technology and price. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers They like working with Bucher from France, Diemme (Germany) and Sipren (Italy). In general terms, Amorim prefers working with French and Italian suppliers because they have frequent contact and years of experience working with them. I) Trade Show Attendance / Trade Publication Information European trade events related to the wine industry. J) Specific Interests Amorim’s specific interest is in wine packaging machinery, and as mentioned above is specifically interested in machinery for packing wine bottles in boxes and placing on pallets. K) Contact Information Company Name: Amorim, Industria Corchera Contact: Enrique Bombal Position: Packaging manager Address: Jorge Cáceres 220, La Cisterna - Santiago Telephone: (56 -2) - 5255655 Email: [email protected] Fax: (56-2) 5255555 Carrozi Industry Food Sub Industry Pasta, flour, cookies, chocolates, caramels, desert mix, tomato sauces, instant Location Santiago, Chile Size (sales) US$ 450 million Purchasing potential US$ 500,000 Specific Business Opportunities Vertical Machines and Flow Pack-type machines. A) Company Description: Carozzi is one of the largest food conglomerates in Latin America with over US $450 million in total sales. Carozzi offers more than 2,000 products through their different divisions. Their products can be found in more than thirty countries around the world, their most important markets being: Brazil, Japan, Central America, Mexico, Peru, Paraguay and the United States. Carozzi has production plants in Chile, Peru and Argentina, in addition to a Commercial and Distribution Office in the United States. Tiger Brands, one of the leading companies in the South African food industry, is their strategic partner and a driving force behind the Company's development in new countries and markets. Carozzi currently exports to over thirty countries worldwide invoicing over US $45 million. B) Main Products Produced and How Are They Packed: Product Brand Package Pasta Carozzi Automatic Packaging: Plastic film wrap; plastic bags Cookies/Crackers Costa Automatic Packaging: Plastic film wrap Tomato Sauces Carozzi Automatic Packaging: Small cardboard boxes; plastic pouches; aluminum cans Instant Sprim Automatic Packaging: Paper Beverages pouches Dessert Mixes Caricia Automatic Packaging: Paper pouches Flour TG; Carozzi; Mariposa Automatic Packaging: Paper bags C) Installed Packaging Machinery: Current Brand Units Origin Machinery Average Specification Age Used UNMOLD MACHINE N/A KNOBEL 1 MACHINE 1 unit package Swiss DOSAGE For medium and double molds in N/A COMAS 1 Argentina PACKAGIN For filling packages N/A G TECNOPAC MACHINE K 1 Argentina PACKAGIN For packing food products N/A G ROBERT MACHINE BOSCH 1 Brazil MACHINE AQUARIUS 1 Holland N/A For packing pasta MOLDING SPOONER MACHINE VICARS 1 England N/A Revolving for 1 unit packages COOKIE WERNER& BREAKER PFLEIDERE MACHINE R 1 Germany N/A For cookie packages For filling forming and sealing thermo sealer bags. WRAPPING D) Last Purchases of Packaging Machinery: Machinery Brand Country Packaging machine flow pack type, TYLUS model with system NGNS and NPNB MASIPACK Brazil Wrapping machine for chocolate MASIPACK Brazil Horizontal wrapper machine with LPF-4 loader. SIG Brazil Horizontal wrapping machine, flow-pack type. SIG Brazil Mold machine for candy industry. Used, year 1993. MAZZETTI Italy E) Future Packaging Machinery Ordering Plans: Over the next three years Carozzi stated that they plan to spend US$500,000 on packaging equipment. They did not specify which type of machinery they will purchase, but they did mentioned that they are interested in vertical machines and flow-pack type Machines F) Purchasing Policies and Financial Arrangements Carozzi normally requests the following payment agreement: 15% at the time of purchase, 70% at the time of delivery and 15% after installation. G) Factors that Influence Purchasing Decisions Carozzi stated that the influencing factors for purchasing packaging machinery are quality, familiarity, confidence in the provider, and the price/quality balance. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers: The providers of Carozzi’s foreign machinery are primarily contacted at trade shows. Even if the foreign company has representation, Carozzi prefers to communicate and negotiate directly. According to them, this is enables them to negotiate more effectively and generally produces better results for them. Carozzi currently has providers that do not have representation in Chile but they did not provide the names of these providers. Carozzi uses the Internet very little when locating a supplier of their packaging equipment. It is used only when it is required that they know more about a particular machine. That is, an internet search is performed when they are using a machine on a project that is outside the normal parameters of their packaging operation. For Carozzi, Canadian and North American packaging machinery is reliable but expensive. Carozzi stated that Canadian and North American packaging equipment suppliers tend to have bad negotiating dispositions and are generally not well-known. Carozzi stated that European packaging machinery is well-known, technologically sound, and reliable. Furthermore, they stated that European suppliers hold open negotiations. Carozzi recommended that North American manufactures of packaging equipment (versus European) should adjust to the reality of Latin America in their products offered, their methods of negotiating, and in their prices. They should become closer to their potential clients in Chile with visits and information to improve their product or service. I) Trade Show Attendance / Trade Publication Information Carozzi usually participates in Interpack (Dusserldorf) and Ipack Ima (Milan). They have also attended industry trade shows in Chicago, Las Vegas, Sao Paulo and Barcelona. J) Specific Interests Carozzi stated that over the next three years the demand for packaging equipment will be focused on vertical machines and flow pack-type machines. The principal providers of their receptacles (manufacturers or converters) such as bottles, film, etc. are Alusa, Edelpa, Carter Holt, Plásticos HyC, and Marinetti. K) Contact Information Company: Empresas Carozzi Contact: Ricardo Cornejo Position: Plant development engineer Address: Av.Presidente Jorge Alessandri Rodríguez 5201 Km.23 Longitd.Sur, San Bernardo, Santiago Telephone: (56-2) 3776400 Fax: (56-2) 3776645 Email: [email protected] Concha y Toro Industry Sub Industry Location Size (sales) Purchasing potential Specific Business Opportunities Beverage Wine Santiago, Chile US$ 46 million Total investment 2002 US$9.6 million Packaging machinery for Tetra brik and glass bottles of 1,500 ml, 1 liter, 750 ml, 375 ml and 187 ml. A) Company Description: Founded in 1883, Viña Concha y Toro is one of Chile's largest producer and exporter of premium wines. Its exports represent 27% of Chilean wine exports, and its volume sales account for 24.6% of the domestic market. In 2003 revenues totaled US$ 258 million with earnings per ADR of US$2.18. The Company exported 7,369,000 cases valued at US$ 145 million. Export revenues now comprise around 70% and include sales of Concha y Toro UK, marketing and a sales subsidiary established in the UK to bolster the Concha y Toro brand in the region. The company’s largest export markets are U.S., the U.K., Sweden, Canada and Denmark. The Company's product portfolio has wines in the premium segments such as: Almaviva (produced together with Baron Philippe de Rothschild), Don Melchor, Amelia, Terrunyo and Marques in the Ultra Premium class, Trio and Casillero del Diablo in the Super Premium category, and Sunrise and Frontera in the Popular Premium niche. Viña Concha y Toro cultivates approximately 10,000 acres of wine producing vineyard lands in Chile and Argentina. Under the ticker symbol VCO, in October 1994 Concha y Toro became the first winery to be listed on the NYSE. Funds from the placement were destined to vineyard and cellar expansion and improvements in Chile and were also used for starting business in Argentina. In 1997, Concha y Toro formed a strategic alliance with Baron Philippe de Rothschild. Its aim was to produce a Chilean, Grand Cru Classé equivalent, Primer Orden wine. B) Main Products Produced and How Are They Packaged: The Company has bottling plants in Pirque and Lontué. The Pirque bottling plant, located 28 kilometers from Santiago, is the company’s principal bottling plant, and all of the company’s premium, varietal, varietal blend and sparkling wines are bottled there. The plant has four bottling lines accommodating bottles of 1,500 ml, 1 liter, 750 ml, 375 ml and 187 ml capacities. The facility in Pirque is equipped with the most advanced bottling and labeling equipment available, and has an installed capacity of 9.9 million liters per month when operating three eight hour shifts per day, six days a week. The company’s bottling plant in Lontué, located 200 kilometers from Santiago, which principally packages popular wines for the domestic market, bottles wine in five liter glass jugs and in 0.5 liter, 1 liter, 1.5 liter and 2.0 liter Tetra Brik packages which are made of several layers of paper, aluminum and polyethylene. Similar packages are used worldwide for juice, milk, wine and other products. The Tetra Brik packaging line is completely automated. The Company has a license from Tetra Pak Chile to utilize the Tetra Brik technology and purchases pre-printed unassembled packages from Tetra Pak Chile. The Lontué plant.s Tetra Pak packaging machines have an installed capacity of 13.0 million liters a month based on three shifts operating eight hours a day, six days a week. A small quantity of wine, 0.8% of total revenues, was sold in bulk form in domestic and export markets. Product Premium Wine Brand Don Melchor, Amelia, Terrunyo, Marqués de Casa Concha, Casillero del Diablo, Trio and Late Harvest. Sunrise, Concha y Toro and Frontera. In some export markets, under the brand names Tocornal, Cono Sur and Maipo. Tocornal, Clos de Pirque, Exportaciün, Fressco and San José. Varietal and Varietal Blend Wine Popular Wine Package Glass bottles of 750 ml, 375 ml and 187 ml. Glass bottles of 1,500 ml, 1 liter, and 750 ml capacities Five liter glass jugs and in .5 liter, 1 liter, 1.5 liter and 2.0 liter Tetra Brik packages which are made of several layers of paper, aluminum and polyethylene. C) Installed Packaging Machinery Current Brand Machinery Used Units Origin Average Age Specification Pallet machinery OCME 1 Italy Automatically lines up empty bottles for transportation. Capsule machine BERTOLASO 2 Italy For PVC capsules in bottles. Bottle filler and capsule system. D) Recent Purchases of Packaging Machinery Machinery Brand Country Filler machine for BAG-INBOX SMURFIT France packages. 280 3 liters bags per hour E) Future Packaging Machinery Ordering Plans. Viña Concha y Toro said that is permanently developing new formats, updating the presentation of its products and investing in the latest technology and production techniques for enhancing premium and super premium wines. Company investments in 2002 to reposition its operating assets, modernize, to provide new facilities for expanding and improving production capacity and to acquire land for vineyards totaled Ch$6,934,131,000 (US$9.6 million). They preferred not to give us details on their future equipment purchasing plans. F) Purchasing Policies and Financial Arrangements Concha y Toro usually pays for purchased machinery in annual installments. G) Factors that Influence Purchasing Decisions Principally quality and price. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers Principal suppliers of packaging materials are: Cristalerías de Chile S.A. (bottles), Tetra Pak de Chile Comercial Ltda. (Tetra brick packaging), Industria Corchera S.A. (corks and packaging machinery some times) and Envases Impresos S.A. (labels). Concha y Toro has a quality control department which controls the raw materials used in each bottling plant and tracks the product up to the point of sale through a system of computer coding for each bottle and case produced. The Company also uses electronic monitoring equipment to ensure that bottles are filled to the correct level. All of the winery’s premium and export wines are bottled in new bottles. To reduce pollution and costs, the Company uses recycled bottles for almost all of its remaining bottled domestic wines. Cristalerías, a principal shareholder of one of the company’s main competitors, Santa Rita, supplies almost all of the company’s bottles. The company obtains the remainder of its bottles from other Chilean and Argentine manufacturers. Corks for most wines are produced in Spain and Portugal but are finished by Chilean firms. The Company owns 49.84% of the principal cork supplier, Industria Corchera. The Company imports champagne corks from Germany. Labels are produced in Chile, the United States and Canada. Chilean companies supply cases and capsules (the tin, plastic or aluminum covering for the neck of a wine bottle). In most cases, the Company does not have contracts with its suppliers. The Company believes that, except for bottles and Tetra Brik packages, alternative sources of supply are readily available. The Company believes that it could find alternate suppliers for bottles and Tetra Brik packages, but it could be adversely and materially affected in the short-term. New bottles and preprinted, unassembled Tetra Brik packages are priced in U.S. dollars. Changes in the Chilean peso to U.S. dollar exchange rate could increase the cost of components and have a material adverse effect on the Company. Regarding packaging machinery, they prefer Italian brands and in general European brands over American or Canadian. The winery said that they are generally more acquainted with European products, which influences their buying decisions. I) Trade Show Attendance / Trade Publication Information International: Interpack, Germany (http://www7.interpack.com/) and Ipack Ima, Milan, Italy (http://www.ipack-ima.it) National: Expo Retail, Feria del Empaque y Embalaje, every other year. (www.expotrade.cl) Trade Publication: Industria del Alimento magazine (information related to the food and beverage industries) and Vas- Revista del Packaging magazine (Packaging information). J) Specific Interests Investments will be aimed, in part, at the construction of storage and wine making facilities for the production and bottling of all wines with an emphasis on premium and varietal wines. The company expects to continue planting vines, and developing the corresponding infrastructure needed on certain properties owned by the company in Chile, as well as in Argentina. Sales in the popular wine segment are concentrated in wines packaged in Tetra Brik packages. Tetra Brik sales represents approximately 58% of all Chilean sales by volume in the popular wine segment. K) Contact Information: Company Name: Viña Concha y Toro Contact: Juan Pablo Herreros Position: Production manager Address: Nueva Tajamar 481, Piso 15, Las Condes – Santiago Telephone: (56-2) 4765000 Fax: (56-2) 4765000 Email: [email protected] ECUSA (Embotelladoras Chilenas Unidas S.A.) Industry Beverages, Chocolate Sub Industry Carbonated beverages, beer, wine, pisco, chocolate Location Reñaca, Chile; Santiago, Chile Size (sales) CCU’s annual revenues: US$ 650 million Purchasing potential Annual budget depends on growth in volume and changes in packaging mix Specific Business Opportunities Secondary packaging machinery A) Company Description: With a broad array of products, including soft drinks, mineral water and juices, Embotelladora CCU (ECUSA) has become Chile’s second leading soft drink bottler and the leader in the mineral water market. ECUSA has been active in the soft drink business since 1916, and in the mineral water sector for over four decades. In 1994, ECUSA created an independent group to facilitate all mineral water and soft drink activities. Embotelladoras Chilenas Unidas S.A. arose from a strategic partnership between CCU and BAESA, the bottler of PepsiCo’s brands in Chile at the time. In 1999, CCU acquired BAESA’s share of the company, achieving its current 100% ownership position. Embotelladora CCU has its own brands of mineral water and soft drinks, in addition to being a multiple licensee offering diverse brands. Soft drinks are licensed from Schweppes and from PepsiCo and juices are under license from Watt’s. Together, these brands make up a broad and attractive portfolio of products which have achieved great popularity among Chilean retailers and consumers. In January of this year, Ecusa and Empresas Lucchetti S.A. created a joint venture which acquired the access of Calaf, a traditional candy and confectionary company with more than a century of History. Calaf products are sold together with soft drinks, with the potential to reach more than 90,000 clients. During the first months of operation, important synergies have been obtained between Calaf and ECUSA. This new challenge offers interesting growth potential to ECUSA in the ready-to-eat market segment. B) Main Products Produced and How Are They Packaged: Product Brand Package Beer Cristal, Escudo, Royal, Six pack, in bulk (boxes Morenita, Dorada, Aysen of 24 units), carton Licensed: Heineken, boxes of 12 or 16 Austral, Kuntsman bottles, glass bottles, and cans. Banded cartons. Fruit Juices Watts Flexible packages, tetra pack and plastic bottles. Soft Drinks Pepsi, 7-up, Crush, Canada Thermo controlled Dry, Blitz, Pop, Kem, Show, plastic, plastic bottles, Gatorade cans and Gatorade in glass bottle. Bottled Water Cachatun;, PorVenir Thermo controlled plastic and plastic bottles. C) Installed Packaging Machinery: Current Machinery Brand Units Origin Average Specification Used Age Inspector Machine Detector MIHO Bottle Impurities DAVID Several Germany N/A Detector KRONES Several Germany N/A Ultrasonic D) Recent Purchases of Packaging Machinery: From 2002 on, they have been buying more replacements and parts for their machinery than machinery itself. Machinery Brand Country Bottle inspector machine THERMEDICS DETECTION INC. Argentina Bottle inspector machine MIHO DAVID Germany E) Future Packaging Machinery Ordering Plans: Their annual budget depends on growth in volume and changes in their packaging mix. F) Purchasing Policies and Financial Arrangements: The buying conditions used by ECUSA are normally direct payment; the period of credit granted (terms of credit) depend on the amount purchased. It is usually 15% upfront, 65% 60 days after departure and the remaining at the time of the reception of the goods. G) Factors that Influence Purchasing Decisions: Technology: Equipment should be compatible with the equipment that they already possess. The equipment should support the production process in terms of quality, velocity, security, low costs for parts. The parts should also be easily obtained and the suppliers should provide good post-sales service with representation in Chile. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers: ECUSA uses different forms of distribution channels including direct import, representatives, and local agents. The principal providers of their receptacles (manufacturers or converters) are Cristalerías of Chile, Plastiverg, Plásticos Montesa, Plasco, Tetra Pack and Sig Combibloc. ECUSA claims that equipment from the European market (quoted in Euros) is more economical than the equipment from the American market. The European market in general offers more flexible machinery according to ECUSA. I) Trade Show Attendance / Trade Publication Information: The Internet is used as a search mechanism. Possible suppliers are contacted directly at seminars and trade shows, followed by visits to representatives. J) Specific Interests: Secondary packaging machinery K) Contact Information: Company Name: ECUSA (Embotelladoras Chilenas Unidas S.A.) Contact: Jorge Roblero Position: Imports manager Address: Avda. Pdte. Eduardo Frei Montalva 1500 Renca - Santiago Telephone: (56-2) 4274000 Fax: (56-2) 4274256 Email: [email protected] Embotelladora Andina Industry Beverage Sub Industry Carbonated beverages, mineral water and juices Location Santiago, Chile Size (sales) 1st quarter 2004 US$81,8 million Purchasing potential N/A Specific Business Opportunities Packaging machinery for 237 cc (glass and Pet); 2.5 Returnable Pet bottle and 8oz. glass bottle A) Company Description: The Coca-Cola Company operates in over 136 countries world wide through approximately 1.500 bottling companies. Embotelladora Andina Chile is one of the most important Coca-Cola bottlers in Latin America. Embotelladora Andina covers the Metropolitan Region, San Antonio and Cachapoal provinces. It is leader in the national market of carbonated beverages with an average annual production of 567.800 million liters and 66% market share. In addition to having the franchise to produce and commercialize Coca-Cola products, Embotelladora Andina participates in non returnable plastic packages production through Envases CMF S.A. and in can packaging, in addition to working with Envases Central together with other bottling companies. The company also transports its products through Transportes Andina Refrescos. Embotelladora Andina has 11 branches throughout Chile, Brazil y Argentina. In Chile, Embotelladora Andina S.A. produces and distributes the following products licensed by The Coca-Cola Company: Coca-Cola, Coca-Cola Light, Fanta Naranja, Fanta Light, Sprite, Sprite Light, Nordic Mist, and Quatro Balance. The Company also produces juice & mineral water products licensed by The CocaCola Company through its subsidiary Vital S.A., which is distributed by Coca-Cola bottlers throughout Chile. B) Principal Products and How Are They Packaged: Product Brand Package Carbonated beverage Coca Cola and Coca Cola Glass, Plastic bottles PET Light and Cans. Returnable and non returnable Carbonated beverage Fanta Nranaja and Fanta Glass, Plastic bottles PET Light and Cans. Returnable and non returnable Carbonated beverage Sprite, Sprite Light and Glass, Plastic bottles PET Sprite Zero and Cans. Returnable and non returnable Tonic Water and Ginger Nordic Glass and Plastic bottles Ale PET. Returnable and non returnable Carbonated beverage Quatro Glass, Plastic bottles PET and Cans. Returnable and non returnable Mineral water Vital (carbonated, non- Glass and Pet bottles carbonated and “soft gas”) Fruit nectars Nectar Andina glass and Pet bottles Artificially flavored drink Kapo sachets and Pet bottles Fruit juices Andi Frut Tetrapack, cans and Pet bottles C) Installed Packaging Machinery Current Brand Units Origin Machinery Average Specification Age Used Crown machine (Capsular) EMITEC 1 Argentina 20 units per second. Automatic. For Bottles Load machine TYGARD 1 USA with hook. Filling, closing, Production capacity 3.22M3. AUXIEMBRA 1 Spain 20.000 units per hour. For covering and bottles of 1,5 and 2,0 labeling Liters. machine D) Last Purchases of Packaging Machinery Machinery Brand Country Packaging machine for glass and plastic SMI Italy packages. 45 packages per minute E) Future Packaging Machinery Ordering Plans. According to Andina, their current equipment is well maintained and sufficient to sustain normal operations for the foreseeable future, so they do not plan to purchase new or used equipment in the near future. F) Purchasing Policies and Financial Arrangements They prefer to pay in installments over a period of one year. G) Factors that Influence Purchasing Decisions Depending on the specific needs of the company. Generally, importance is given to the relation between quality, price and previous experience with a particular manufacturer. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers Embotelladora Andina associated with CMF S.A. and Multipack S.A. Both companies manufacture, process, acquire and market all types of containers and packaging for Andina. All purchasing decisions, preferred brands and business arrangements with equipment suppliers are discussed with them. Andina also works with Cristalerías Chile S.A. for all glass bottle packages, Wenco S.A for plastic cases and Comberplast Ltda. for bottle caps Other packaging companies they work with include: Alusud Embalajes Chile Ltda., Crown Cork de Chile S.A., Food Pack S.A., Envases Impresos S.A. and Italprint S.A. The principal suppliers for production materials of PET bottles are: Ink Naz Dar K.C., Packing Smurfit S.A., Nemsa, Enrique Zeni y Cía. SAC. I) Trade Show Attendance / Trade Publication Information Andina did not specify any particular trade events or publications. J) Specific Interests Their interests are focused on their new products: 237 cc (glass and Pet); 2.5 Returnable Pet bottle and the strengthening of the array of returnable formats through the Ref Pet 2.5 lts. and the 8-oz. glass bottle, both for the Coca-Cola flavor. K) Contact Information: Company Name: Embotelladora Andina S.A. Contact: Leopoldo Falconi Position: Finance manager Address: Avda. Carlos Valdovinos 560, San Joaquin - Santiago Telephone: (56-2) 4622486 Email: [email protected] Fax: (56-2) 5509342 Laboratorio Chile Industry Sub Industry Location Size (sales) Purchasing potential Specific Business Opportunities Pharmaceutical OTC and prescription medicine Santiago, Chile 160 million units sold annually (no $ sales were offered) US$400,000 (annual budget) in packaging machinery New machinery needed for new manufacturing plant to be completed in 2007 A) Company Description Laboratorio Chile was formed in 1896 by three pharmaceutical store owners. In the 1940’s, several entities related to the Chilean government became the company’s principal shareholders. A widespread privatization campaign in the 1980’s transferred 100% of Laboratorio Chile’s capital to the private sector. From the 1990’s and forward, Laboratorio Chile has been growing and launching new products, among them several in the OTC category, in addition to beginning to export pharmaceutical products to over 15 countries in Latin America. In June 1994, ADR’s with an IPO of US$26.4 million were placed in the New York stock exchange (NYSE), leading to increased growth, including the purchase of Armstrong and Syncro Laboratories in Argentina. In 2001, IVAX Corporation (IVAX) bought 100% of Laboratorio Chile’s stock. IVAX is a multi-national pharmaceutical corporation dedicated to research, development, manufacturing, marketing and distribution of branded (proprietary), brand equivalent (generic) and veterinary products. Its headquarters are in Miami, Florida. B) Principal Products Produced and How Are They Packaged Product Prescription/Antibiotics Brand Auxxil® 500 mg, Levofloxacino 500 mg./comp., Lodipres® 12,5 mg, Carvedilol 2,5mg./comp, Amobiotic BID Susp/90/50ml, Amoxicilina 1000 mg., Amobiotic® 1 g , Amoxicilina 1Gr., Pre-Clar® 500 mg, Claritromicina 500mg. Calcefor D Forte Package Packaged with 30 pills/case. 1000 P/SUSP 90/50ML, packaged with 20 pills/case. Prescription/Anti-infections/ Anti-viruses OTC/Vitamins Vironida/Aciclovir Packaged with 35 or 5 pills, 800mg. Esvit C 100 mg/100 mg/500 mg/2000mg Cardboard box with 100 pills and plastic jars with 100, 20 and 10 pills. Vitamins in packs of 10, 30 and 20 pills. OTC / Anti Infection mouth and throat OTC / Analgesic Freshmel® 5 mg, Tos Noscapina, Multisabor. Kitadol Anti louse Launol Ophthalmologic solution Red Off Aqua, Plus and 0,0125% Plastic tubes with 14 and 20 pills each. Glass jars of various sizes. 125 mg cardboard boxes with 6 suppositories. 80 mg packages with 16 chewable pills. 500 mg 24 and 30 pills in cardboard box. 1 and 60 sachets of powder. 60 ml plastic jars/ 20 sachets of 15 ml and plastic jars of 60 and 120 ml. Plastic jars, 15 ml. Prescription/Vitamins and mineral supplement/ Calcium supplement/Vitamins Packaged with 60 Capsules (Vitamin D3 400 U.I. /cap., calcium carbonated 1.250 mg. /cap.) C) Installed Packaging Machinery Current Machinery Used Electric casing machine Blister packaging machine Blister packaging machine Printer Filling, closing and sealing machine Folding machine Brand Units Origin Average Specification Age CAM 1 Peru N/A 15-70 cycles per minute. Electric. Casing for medicine. Blister feeding system for cardboard boxes. CAM 1 Italy 3 years O.M.A.R. 4 Italy N/A RL&ASA CAM 1 Argentina 3 years 1 Italy N/A Capacity 1200 blisters per hour. Operated manually (lab use). Printer. Electro-mechanic. GUK FALZMASCHINEN 1 Germany N/A For cutting and folding. D) Recent Purchases of Packaging Machinery Machinery Brand Country Filler Machine. 1200 plastic pomes per hour DUBASA Argentina Labeling machine. 100 cylinder jars per minute ETIPACK Italy E) Future Packaging Machinery Ordering Plans Laboratorio Chile made substantial investments in equipment during 2001 and 2002, when they were acquired by IVAX. During 2001 they bought packaging machinery worth US$381,804 and in 2002 they added US$42,557. Currently they are working on the construction of a new US$25 million plant which should be completed by 2007, and will need to be equipped with new machinery. F) Purchasing Policies and Financial Arrangements Now that Laboratorio Chile is part of IVAX, they take advantage of IVAX’s global purchasing power to negotiate favorable terms with existing equipment suppliers (many of whom are European). G) Factors that Influence Purchasing Decisions The most important factors for Laboratorio Chile are the quality of the machinery (generally judged by their own experience with the equipment), price, and the supplier’s brand reputation. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers Laboratorio Chile prefers Italian brands because of their combination of quality and price. They have had good experiences working with these brands, and are not actively pursuing replacement suppliers. I) Trade Show Attendance / Trade Publication Information The following trade events and publications were mentioned by Labchile: Interpack, Germany (http://www7.interpack.com/), Interphex, New York, USA (http://www.interphex.com) and Feria del Empaque y Embalaje, Chile (www.expotrade.cl) Publication: VAS- Packaging Magazine. J) Specific Interests By 2007 they will need to have purchased new machinery to equip their entire new manufacturing plant. K) Contact Information Company Name: Laboratorio Chile S.A. Contact: Hernán Pfeifer Position: General Manager Address: Avda. Marathon 1315, Ñuñoa - Santiago Telephone: (56-2) 3655000 Fax: (56-2) 3655052 Email: [email protected] Laboratorios Prater Pharmaceutical (also personal care, Industry saccharine and contraceptives) Sub Industry OTC and prescription medicine Location Santiago, Chile Size (sales) US$ N/A Purchasing potential US$ N/A Specific Business Opportunities Manufacturing equipment, blisters, mixers and capsule packagers A) Company Description: Laboratorios Prater has over 15 years of experience not only in the pharmaceutical market, but also in the personal care and massive consumption markets. In the personal care market they produce Etienne products: makeup, lotions and perfumes; Eminence, a cosmetic line for men with deodorants and perfumes and Biocel products to avoid hair loss. In the massive consumer market, they produce Lifestyles condoms and Naturalist saccharine. Prater Laboratories operates two manufacturing plants located in Santiago and has over 430 employees. B) Principal Products Produced and How Are They Packaged: Product Brand Packaging Multi-vitamin Infor and Valcron 30, 60 and 120 blistered capsules in cardboard boxes. Antihistaminic Fasarax, Alledryl and 20 and 10 mg capsules from 10 to 30 Rigotax pills blistered. Pediatric drops of 100 ml. Syrup 5mg/5ml -60ml, 10Mg/5Ml120ml. Small glass jars in cardboard boxes. Pain Killers and Anti- Merpal inflammatory Drops: 20ml in glass jar. Suppositories: 12,5mg per 5 suppositories, blistered and packed in cardboard box. Inject: 75mg/3ml-3 blisters. Gel: Pomes 30 and 60 grs. Capsules: 100mg-8 capsules. 75mg-10 capsules, 50mg-10 pills. Cardboard boxes and glass small jars. Fitofarma line Sominex 20 and 60 capsules. (Tranquilizer, anti- Ciplazin 30 capsules. depressive and vessel Noklatar 30 pills in cardboard boxes. Ulcrux 7, 14, or 28 capsules in a cardboard dilatator’s) Gastrology box. Dermatology Scar-t, Novadrel, Plastic pomes, tubes, aluminum jars Novacetol, Disopranil, with spray and all in cardboard Transplantar, boxes. Tranversal, Cariamil, Biogel and Biolane Cardiology Vasiolat Capsules in cardboard box. OTC (Over the Counter) Tocalm, tucsan, Glass jars in cardboard boxes. Coldstat, Crevet, Capsules in cardboard boxes. Claragine, Gasopax, Plastic jars. Grisux Tests Coryma and Hepy test Sachet in cardboard boxes. C) Installed Packaging Machinery Current Brand Units Origin Average Machinery Specification Age Used Casing CAM 1 Italy N/A 3600 cases per hour, cardboard cases machine D) Recent Purchases of Packaging Machinery Machinery Brand Country Blister Machine BLIPACK Argentina E) Future Packaging Machinery Ordering Plans. Prater is interested in machinery for plastic bottles and jars, specifically related to PET bottles. But they do not have a specific purchasing plan for the moment. F) Purchasing Policies and Financial Arrangements According to Laboratorios Prater, the more credit (monthly installments) offered, the better. G) Factors that Influence Purchasing Decisions Price and brand reputation. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers Prater laboratories claims to prefer European or Argentinean brands over American or Canadian, due to a lack of knowledge of American and Canadian products. I) Trade Show Attendance / Trade Publication Information Executives interviewed stated that they prefer reading catalogues and publications from ASILFA (Pharmaceutical Association) to attending shows. J) Specific Interests Manufacturing equipment, blisters, mixers and capsule packagers K) Contact Information Company Name: Laboratorios Prater Contact: Peter Stuedemann Position: General Manager Address: Avda. Pedro Aguirre Cerda 5291, Cerrillos - Santiago Telephone: (56-2) 8707500 Email: [email protected] Fax: (56-2) 5574336 Lever S.A. Industry Personal Care Sub Industry Soap, shampoo, deodorant, lotions and mouth hygiene products. Location Santiago, Chile Size (sales) 1st quarter 2004 US$ 12 billion (Holding) Purchasing potential US$ 100 million for 2004 Specific Business Opportunities Flexible, stand-up pouches as an alternative to rigid plastic packages and spray valves. A) Company Description: In 1962, Lever S.A. started its operations in Chile. Currently it has two categories: Personal care and house cleaning with international brands such as: Axe, Rexona, Omo, Lux and Dove among other local brands such as: Cif, Quix, Vim and Le Sancy. Lever is part of Unilever, one of the biggest sellers of massive consumer products in the world, which also operates Unilever Bestfoods S.A. in Chile (please see our report on Unilever Bestfoods). Its headquarters are located in London and Rotterdam and has operations in over 90 countries, with more than 500 companies and approximately 300.000 employees. Unilever in Chile currently participates in the following industries: personal care, house cleaning, food and ice cream. The latter two are industries served by Unilever Bestfoods. Unilever will undergo major structural changes in Chile in July 2004. Unilever Bestfoods will divide into Unilever Foods Chile and Unilever Ice Cream, and Lever will become Unilever HPC Chile. B) Main Products Produced and How Are They Packed: Product Brand Package Soap Le Sancy, Dove and Lux Solid soap in cardboard box and wrapped in plastic film or paper. Liquid Soap in plastic bottles with and without dispenser. Shampoo and conditioners Linic, Organics, Sedal Plastic bottles Body and face lotions Dove and Ponds Plastic pomes and bottles. Sachets. Some in cardboard boxes as secondary package. Mouth Hygiene Pepsodent Toothpaste: Plastic tubes in cardboard box. Brushes and floss: Wrapped in plastic and cardboard packages. Mouth washes: Plastic bottles Deodorants Dove, Rexona and Axe Plastic packages and aluminum can with spray. C) Installed Packaging Machinery Current Machinery Brand Units Origin Used Covering machine Average Specification Age DEPUCKER 1 Italy 2 Years Electric engine, 180 packages per minute 1 Taiwan N/A 100 units per minute, electric, for oval RONCHI Labeling machine DASE-SIN plastic bottles Filler Packaging machine for toothpaste NORDEN 1 N/A N/A Filling capacity from 30 to 130Grs. Filler Packaging MASTERFIL 1 England N/A machine for bar 1 Unit per 60 GPM speed. Automatic, electric, for 10 to 100 ml. Tubes deodorant Packaging machine IWKA 2 N/A N/A 300 Units/minute for toothpaste pomes D) Recent Purchases of Packaging Machinery Machinery Brand Country Transporter machine Flexlink USA for deodorant packaging E) Future Packaging Machinery Ordering Plans Lever has said that during 2004 they will invest US$ 100 million, primarily for expanding its plants and other smaller projects. Regarding packaging machinery, their interest will be focused on machinery related to aluminum cans, specifically to aerosol valves and flexible, plastic stand-up pouches. F) Purchasing Policies and Financial Arrangements As a multinational company, Lever has special international arrangements with its suppliers as they often operate under international Unilever policies. They use their significant buying power to negotiate favorable terms. G) Factors that Influence Purchasing Decisions The suppliers are selected by quality, service and commercial (price) criteria. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers: They prefer Italian brands such as Senzani and Depucker Ronchi. They did not mention anything about business agreements; they said it depends on the specific situation. I) Trade Show Attendance / Trade Publication Information They do attend trade shows and receive catalogues and information by mail. They did not specify any particular trade event or publication. J) Specific Interests Lever said that their specific interest will be in new aerosol valves integrated into the package designs that eliminate lids and flexible, stand-up pouches as an alternative to rigid plastic packages K) Contact Information: Company Name: Lever S.A. Contact: Ernesto Labatut Position: General Manager Address: Carrascal 3551, Quinta normal - Santiago Telephone: (56- 2) 6812511 Email: [email protected] Fax: (56-2) 6812127 Laboratorios Maver Ltda. Industry Pharmaceutical Sub Industry Mostly OTC (Over the Counter) pharmaceutical products. Location Santiago, Chile Size (sales) US$ N/A (information not made available by Maver) Purchasing potential 2004 budget: Between US$100 thousand and US$160 thousand. Given their every-other-year purchasing schedule, 2005 should be greater because equipment was last purchased in 2003. Specific Business Manufacturing equipment, capsule packaging Opportunities machinery, blisters, and mixers A) Company Description: Laboratorios Maver was founded in 1923. Today it is the Chilean leader in OTC pharmaceutical production and sales. Maver sells over 48 brands of OTC products, in addition to personal care and food products. Maver produces over 255 different products and produces almost all of the products that it sells (with the exception of Hawaiian Tropic, whom it represents in Chile). B) Main Products Produced and How Are They Packaged: Product Brand Package Pain and fever Tapsín Blisters, jars, sachets and cases. Antacid Disfruta 110gr jar and sachets. Natural weigh loss Adelgazul 360gr cereal, packaged in medication aluminum flexible bag inside a cardboard box, 20 and 50 tea bags inside a cardboard box and marmalade in a 300 gr. jar. Antiseptic mouth- Oral fresh wash Plastic bottles and laminated in display boxes Healing cream Neneglos 120,80 and 40 gr. pomes Tranquilizer Armonil Blister, plastic small jar (drops) and glass jar. Pain killer and anti- Dolorub inflammatory Lotion pomes, patches and pills. Packaged in blisters, pomes and cases for display. Special toothpaste Caristop 100 gr. pomes, mouth wash of 0.05% in 300ml, and 0.2% in a 200ml jar. Antiseptic mouth Oralgene wash Pome 60 gr. 25 mts floss and jars of 120ml (1%) and 500 ml (12%) Pain Killer Obleas Chinas 100 and 200 unit cardboard boxes. Tanning lotion Hawaian Tropic Plastic bottles Face cleaning Mediklin Wet Tishues, patches, remover strips, protector base and liquid soap. Decongestant Vopolatum 18gr. Can, 1,5gr. Inhalator and chap stick. C) Installed Packaging Machinery: Current Brand Units Origin Machinery Average Specification Age Used Cleaner Machine Cleaning and drying TOVER-F 1 Argentina N/A packaging machine/air. TOVER-F 1 Argentina N/A Jar and bottle filler machine Filler Machine Wrapper Case wrapper machine for Machine MAI S.A.-F Capsule KIRBY Machine 1 Argentina N/A pharmaceutical use LESTER-F 1 USA N/A Capsule machine TOVER-F 1 Argentina N/A Dosage machine Dosage Machine Sticker, gluer machine. 15 liters capacity for abrasive Sticker Machine PRISCELL-F 1 Brazil N/A application. D) Recent Purchases of Packaging Machinery (2004): Machinery Brand Country Metal Detector Machine SYSTEMS SCIENTIFIC USA Dispenser Pumps/pulverizer machine. SMITH CONTAINER USA E) Future Packaging Machinery Ordering Plans: 2004 budget: Between US$100 thousand and US$160 thousand. As mentioned above 2005 budget is expected to be higher. Specific packaging purchasing plans were not offered by Maver. F) Purchasing Policies and Financial Arrangements: Maver prefers to pay for equipment in installments, although they mentioned that they are flexible depending on product/price. G) Factors that Influence Purchasing Decisions: First and foremost, Maver cares about the presentation quality and volume. Other concerns include price and compliance with the GMP norm of the WHO, especially for primary packages such as the pommel or pomander (Secondary packages, boxes or cases). The Internet (mostly “window-shopping”), trade shows, and trade fairs all serve to influence purchasing decisions as well. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers: Maver prefers working with companies that have representation in Chile because they provide after-sale service. They are leery of buying machines which do not provide local service, regardless of the warranty offered. Argentina and Brazil are currently entering the market with quality equipment. A Maver representative stated that Italy is the best as far as quality versus price. He also prefers machinery manufactured in Canada or USA. He listed Germany as a quality manufacturer but mentioned that they are generally expensive. The Maver representative also recommended that American and Canadians send representatives who can speak Spanish. Furthermore, they should offer equipment that makes sense for the Chilean market, that is, small and medium sized. In the pharmaceutical industry there is a limited supply of American machinery according to Maver. I) Trade Show Attendance / Trade Publication Information: Maver’s executives attend as many trade fairs as possible. Among those mentioned by executives who participated in interviews were Interphex of New York, Interpack, (Germany), “Feria Internacional del Empaque y Embalaje Chile” and the “Feria Expo Retail Chile.”, both local trade events. They are interested in attending all those that have information on pharmaceutical packing anywhere. One trade publication mentioned by Maver executives is “Informativo Asilfa”, a Spanish language pharmaceutical trade publication. J) Specific Interests: Manufacturing equipment, capsule packaging machinery, blisters, and mixers. K) Contact Information: Company Name: Laboratorio Maver Ltda. Contact: Carlos Rivera Position: Technical Director Address: Lota 2267,Of.303, Providencia - Santiago Telephone: (56-2) 3724100 Fax: (56-2) 6510526 Email: [email protected] Nestlé Chile S.A. Industry Food Sub Industry Nestlé Chile manufactures 1,500 products, ranging from breakfast cereals and ice cream to pet food. Location Santiago, Chile Size (sales) US$ 550 million sales in 2003 (Nestlé Chile S.A.) Purchasing potential Nestlé Chile’s 2003-2008 equipment purchasing budget is US$150 million. Specific Business Opportunities Machinery for final manufacturing line (“end of process”). A) Company Description: The Nestlé brand appeared in the Chilean market in 1934, when the local company “Sociadad Industrial Lechera Miraflores” began to manufacture condensed milk under the Nestlé brand name. In 1945 Lechera Miraflores purchased two more plants in addition to Sociedad Nacional Lechera Graneros, becoming Chiprodal S.A.C.I. In 1986, Chiprodal S.A.C.I. became Nestlé Chile S.A. Today, Nestlé Chile directly employs over 4,000 people. Nestlé Chile produces most of its products with Chilean raw materials. From 1995 to 2002 the company invested US$179 million in manufacturing equipment. According to Fernando del Solar, Nestlé Chile’s Managing Director, Nestlé Chile is planning to invest US$150 million from 2003 to 2008 in equipment in order to double its exports to US$100 million annually (2002 export sales were US$42 million). This will involve expanding production facilities at several of the seven plants in central and southern Chile. Due to Nestlé’s modern technology and substantial foreign investment volume, the company has helped Chile become one the most developed countries in Latin America in processed food production. B) Principal Products Produced and How They Are Packaged: Product Brand Package Instant Coffee Nescafé and Ecco Cans and sachets Cereal Basic 4, Chocapic, Cluster, Flexible aluminum bag Cornflakes, estrellitas, Crunch, and cardboard boxes Fiber One, Fitness, Gold, La lechera, Milo, Nesquik, Trix and Sucosos Powdered Milk Nido Cans and flexible Ice Cream Savory Flexible bags Refrigerated Goods Maggi Flexible bags Powdered Juices Libby’s Flexible bags Condensed Milk Nestlé Cans and flexible C) Installed Packaging Machinery: Current Brand Units Origin Machinery Average Specification Age Used EXTRUDER MACHINE NESTLÉ 1 USA N/A Stainless steal, for cereal NESTEC 1 Germany N/A Production of metal packs. AUTOMATIC MACHINE C77-10s-73 model, to cover with plastic caps can CLOSING MACHINE LAURENT 1 France N/A food. C31s/192/233 model, plastic caps for canned CLOSING MACHINE LAURENT 1 Mexico 3 years food. Mfvb/60 model, with vibrator system for UNLOADING BUHLER MACHINE MIAG 1 Mexico 13 years unloading grains in silos. FRAMEC 1 Italy N/A Automatic. ICE CREAM DISPENSER MACHINE SOLID DOSE MACHINE For condensed milk GUERIN 1 France N/A production. 1 France N/A Automatic. CERMEX OUEST PACKAGING CONDITIONN MACHINE EMENT PACKING BISIGNANO MACHINE S.A. 1 Argentina New package filling. BURT 1 Mexico 14 years 408/d model, used. NALBACH 1 France 14 years For filling food cans Revolving, series # 651 for LABELING MACHINE FILLING MACHINE S-5050 model, with shakers and dosage devices for raw materials. 500 lt MIXING MACHINE PAPEMEIER 1 Swiss N/A capacity. Non-stop dosage system. 50-60 unit per-minute CASES FILLING MACHINE ROVEMA 1 Spain N/A capacity. For introducing cereals already packed in bags and PACKING MACHINE LANGEN 2 Canada N/A SEPARATING MACHINE For solid and powder METALMAG 16 Brazil N/A SERTER MACHINE in boxes. material. 41-l/12131191 model, for ANGELUS 1 France 11 Years sealing cans. ANGELUS 1 USA 11 Years For sealing cans BUHLER 2 Swiss N/A Automatic 1 USA N/A Continuous action. SERTER MACHINE CEREAL FLAKES ROLLING MACHINE VIBRATINGTRANSPORTIN MATERIAL G MACHINE HANDLING D) Recent Purchases of Packaging Machinery: Machinery Brand Country CENTRIFUGE MACHINE WITH DRYING COLUMNS NESTLÉ Germany AUTOMATIC BAG-FILLING MACHINE, INDUSTRIAL USE NESTEC Italy CHOCOLATE MANUFACTURE MACHINE RIDA Argentina E) Future Packaging Machinery Ordering Plans: Depending on market evolution. They are currently focusing on flexible-package fillers. F) Purchasing Policies and Financial Arrangements: Nestlé often pays 30% in advance, (which they claim suppliers often ask for) with the balance payable 60 days after the delivery of the merchandise. Sometimes Nestlé Chile also operates through foreign Nestlé purchasing offices. G) Factors that Influence Purchasing Decisions: Depending on the type of product and expected volume. Nestlé Chile uses their experience, contacts with colleagues in the industry, trade events, and the Internet to evaluate possible suppliers. If the equipment is for new products, Nestlé Chile calculates projected sales in addition to return on investment, which depends on the existence of local technical support among other things. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers: Nestlé Chile buys via direct import and from local representatives. They receive preferred pricing from their principal international suppliers due to Nestlé’s global purchasing power. A Nestlé Chile executive mentioned that Canadian and Americans manufacturers have a reputation for producing solid and simple equipment. German firms tend to produce high quality machines at higher prices, while Italian manufacturers have lower prices while maintaining a sufficient level of quality. The Nestlé executive recommended that Canadian and American manufacturers of packaging equipment follow the European model, which is to say strong local representation with technical support and maintenance of solid, long term relationships with Nestlé executives. I) Trade Show Attendance / Trade Publication Information: Nestlé Chile mentioned that Interpack in Germany (http://www7.interpack.com/), and Hispack in Spain (http://www.hispack.com) are among the most important trade events, which they attend regularly. J) Specific Interests: Nestlé Chile is specifically interested in “end of process” machinery, or machinery for the final manufacturing line. K) Contact Information: Company Name: Nestlé Chile S.A. Contact: Lorenzo Chavalos Position: Project Engineer Address: Roger de Flor 2800, Las Condes - Santiago Telephone: (56-2) – 3384000 Fax: (56-2) 2316953 Email: [email protected]é.com Sanibel Amenities Industry Personal Care Sub Industry Cosmetics for hotels, hospitals and airlines Location Santiago, Chile Size (sales) N/A Purchasing potential N/A Specific Business Opportunities Laminated plastic film A) Company Description Sanibel develops cosmetics and accessories for hotels, hospitals and airlines. The cosmetic products vary from shampoos, bath products and mouthwashes, to shoe polish. Each product is presented with a logo and a brand. Sanibel has its own brand but also offers the possibility of private labeling. All Sanibel’s products are produced with raw materials approved by the F.D.A. (Food and Drug Administration, U.S.A.). B) Principal Products Produced and How Are They Packaged Besides the cosmetic products listed below, Sanibel also offers accessories for hotels, hospitals and airlines with either Sanibel’s brand or the name of the client printed. Some of the accessories are: Shower cups, sewing sets, shoe shining materials, shoe polish, laundry bags, combs, tooth brushes, razors, nail files, and tissue. Product Brand Package Soap Sanibel Amenities / hotel, hospital or airline’s 30-40-50-100 ml. PVC or polyethylene package. brand name. Cases in different sizes and shapes. Sanibel Amenities / hotel, hospital or airline’s 30-40-50-100 ml. PVC or polyethylene package. brand name. Cases in different sizes and shapes. Sanibel Amenities / hotel, hospital or airline’s 30-40-50-100 ml. PVC or polyethylene package. brand name. Cases in different sizes and shapes. Sanibel Amenities / hotel, hospital or airline’s 30-40-50-100 ml. PVC or polyethylene package. brand name. Cases in different sizes and shapes. Sanibel Amenities / hotel, hospital or airline’s 30-40-50-100 ml. PVC or polyethylene package. brand name. Cases in different sizes and shapes. Shampoo Conditioner Lotion Perfume Tooth paste Shaving lotion Bath salts Bath oil Powder Sanibel Amenities / hotel, hospital or airline’s Polyethylene package. brand name. Cases in different sizes and shapes. Sanibel Amenities / hotel, hospital or airline’s 30-40-50-100 ml. PVC or polyethylene package. brand name. Cases in different sizes and shapes. Sanibel Amenities / hotel, hospital or airline’s 30-40-50-100 ml. PVC or polyethylene package. brand name. Cases in different sizes and shapes. Sanibel Amenities / hotel, hospital or airline’s 30-40-50-100 ml. PVC or polyethylene package. brand name. Cases in different sizes and shapes. Sanibel Amenities / hotel, hospital or airline’s 30-40-50-100 ml. PVC or polyethylene package. brand name. Cases in different sizes and shapes. C) Installed Packaging Machinery Current Machinery Used Brand Origin Sealing machine P.& D-F Italy Average Age Specification N/A 6,000 units per hour D) Recent Purchases of Packaging Machinery Machinery Brand Semi Automatic Labeling machine Universal Country USA E) Future Packaging Machinery Ordering Plans Sanibel did not want to give provide information about their purchasing plans. F) Purchasing Policies and Financial Arrangements The company did not feel comfortable talking about this subject. G) Factors that Influence Purchasing Decisions As Sanibel is a small company compared with other multinational companies in the sector, the price is the key factor for them. Italian machinery is preferred, but they are open to any offers from other packaging machinery manufacturers. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers Sanibel said that they prefer Italian brands mainly because of their price. They said they do not have specific “arrangements”, they negotiate on a per-purchase basis with the supplier. I) Trade Show Attendance / Trade Publication Information The usually attend the national “Feria Internacional del Empaque y Embalaje Chile”, which is carried out every other year. (www.expotrade.cl) J) Specific Interests In general terms, Sanibel is interested in laminated plastic film equipment, labeling machines and equipment related to PET plastic jars. K) Contact Information Company Name: Laboratorio Sanibel Ltda. Contact: Lucía Tomas Position: General manager Address: Los Canteros 8511, La Reina – Santiago Telephone: (56-2) 2732727 Email: [email protected] Fax: (56-2) 2750390 Soprole Industry Food Sub Industry Dairy Location Santiago, Chile Size (sales) US$275 million (2003) Purchasing potential US$50 million (2004) Specific Business Opportunities Flexible cartons and packaging A) Company Description: • Soprole produces and markets over 200 products. It represents over 30% of the dairy market and is the leading brand in yogurt, deserts, cheese, liquid milk, and butter. • In 2000, Soprole decided to centralize the administration, distribution and commercialization of all Soprole, Dos Alamos, and Lácteos Pirque brands under the name of Comercial Santa Elena. • In 2003 the company had an operating profit of US$18,256,250; 24% higher than 2002. After-tax profits were US$11,035,937; 62% higher than 2002. • Investments Dairy Enterprises S.A. or Fonterra (from New Zealand) controls Soprole with 56.84% ownership. Soprole has approximately 1.475 employees. B) Main Products Produced and How They Are Packaged: Soprole launches over 20 new products a year. Soprole has over 200 products, such as those listed below: • Liquid milk • Deserts • Powdered milk • Yogurt • Margarine • Cream • Cheese • Butter • Juice Product Brand Package Dairy products Soprole, Dos Alamos, Lacteos Cardboard packages for Pirque. UHT (Ultra High Temperature), films for cheese, milk in plastic bottles, bags, cardboard boxes and tetrapack. Calcium enriched milk Huesitos Tetrapack, plastic bottles, and yogurt and plastic pomes. Yogurt Yoguito, PetiFort, Dannon, Plastic pome 130gr. Dannonino Low fat milk, yogurt Next Plastic bottles and pomes. and butter. Cultivate milk: 1 lt and 240 ml., 500 ml Yoghurt, and milk: 1 lt. Deserts Uno al día, Manjarate, 1+1. Plastic pomes formed by plastic plates. C) Installed Packaging Machinery Current Brand Units Origin Machinery Used Average Specification Age N/A Automatic. For preformed PACKERS Wrapping machine VITZ 2500 packages per hour. packages of 750 Grs. 1 Argentina 50 Bottles per minute. Bottle PACKERS Labeling machine VITZ 1 Argentina N/A 0,50 and 1 LT. Automatic Labeling machine DASE-SING 1 Taiwan N/A 250 Bottles per minute. Electric 50 Units per hour. Electric. 1LT- PACKERS Labeling machine VITZ 1 Argentina N/A 0,5LT. Filler machine 90/100Packages Packaging machine MASIPACK 1 Brazil N/A Per Minute. Electric. 40mm Bags 3600 pacakges per hour. Automatic for preformed pacages Wrapper machine PACKERS 1 Argentina N/A of 750 grs. D) Last Purchases of Packaging Machinery: Year 2003. Machinery Brand Country Packaging machine for covering or labeling BUANLIR Uruguay Bottle labeling machine Control 600-15 type KRONES Germany Bottle cover machine: Covering machine CA 8/360 ETS.ANDRE France Filling machine For 240ML Bottles ETS.ANDRE France E) Future Packaging Machinery Ordering Plans: Soprole is generally looking for machinery related to flexible plastic packages and cardboard packages. F) Purchasing Policies and Financial Arrangements: The company prefers to work with local representations for communication reasons (language). In terms of financial arrangements, Soprole often provides Letters of Credit to suppliers. G) Factors that Influence Purchasing Decisions: Price and technical characteristics are the most important factors for Soprole. It does not matter to the company where the machine comes from, as long as it has a fair price and meets technical requirements. For research purposes, while using the Internet to increase technical product knowledge, Soprole still prefers catalogues and magazines for general sourcing purposes. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers: According to Soprole, German packaging machinery companies are more serious and have a reputation for being meticulous and prestigious. Canadian and American equipment are unknown commodities for them. Soprole says that companies from these two markets need to send more information and establish a presence locally. They said that there is almost no information about their machinery here. Therefore, given the expectations from Chilean companies to know their suppliers well, it is not surprising that Sorprole does not purchase a great deal of U.S. and Canadian machinery. Given the recent signing of the US-Chile Free Trade Agreement and the existing agreement with Canada, companies from the U.S. and Canada should make a concerted effort to increase their product awareness at Soprole. I) Trade Show Attendance / Trade Publication Information: According to Soprole, the most important trade event for packaging manufacturers in Chile is the Feria Internacional del Envase y Embalaje. This and several other important retail trade events are listed at www.expotrade.cl . Trade magazines mentioned by Soprole are “Vas- Revista del packaging” (Packaging magazine) and “Noticiero Fepach” (Food industry magazine). J) Specific Interests: Machinery for plastic and cardboard flexible packages. K) Contact Information: Company Name: SOPROLE (Sociedad de Productores de Leche S.A.) Contact: Rodolfo Miranda Position: Import manager Address: Diagonal Santa Elena 2605, San Joaquín – Santiago. Telephone: (56-2) - 4203000 Email: [email protected] Fax: (56-2) 5520555 Unilever Bestfoods Chile S.A. Industry Food Sub Industry Salad dressing, mustards, ketchups, sauces, bouillons, flavorings, noodle snacks, meal kits, ready-to-mix sauces, tea, ice cream, margarines, meal replacements, soy milk and soy juices. Location Santiago, Chile Size (sales) Unilever Chile annual sales (approx.): US$ 1.2 billion. Purchasing potential N/A (They were not forthcoming with purchasing information) Specific Business Opportunities Flexible packaging machinery A) Company Description In Chile, Unilever began diversifying its business in 1987, buying several different companies in the process. A brief chronology is as follows: • 1989 Unilver buys Coprona S.A. (Oil and margarines) • 1990 Unilver buys Oils of the Compañía Industrial (Brands: Chef, Cristal, Dixie). • 1992 Unilver buys Dos Alamos, (Cheese, butter and powder milk) • 1992 Unilver buys Mega Chile S.A. (industrial Oil) • 1993 Unilver buys Bresler and Panda, both ice cream companies • 1995 Unilver buys Frigosam (tea) • 1996 Unilver buys C.A.I. of Malloa S.A. • 1997 the companies: Frigosam, Coprona and Malloa merge, becoming Malloa Alimentos S.A., a company producing tomato sauces, cans, tea, margarines, mayonnaise and oil, among others. In January 2001, the Unilever food division merged with Bestfood, combing under one company such well-known brands as Knorr, Hellmann´s, Maizena, Ades (Bestfoods) and Lipton, Bonella, Chef (Unilever). Today Unilver Bestfoods is one of the world’s leading suppliers of fast moving consumer goods in foods, homecare and personal care products. B) Principal Products Produced and How Are They Packaged Product Brand Package Salad dressing, mustards, Hellmann's, JB, Malloa, Doña Flexible pack packages and ketchups and sauces Clara, Elak plastic bottles. Tomato sauce also packaged in cans. Bouillons and flavorings noodle Knorr and Maizena Cardboard boxes, aluminum snacks, meal kits and ready-to- film, flexible packages, plastic mix sauces bags. Tea Lipton, Club, Emblem Paper bags in cardboard boxes. Ice cream Heart (Bresler) Plastic boxes, plastic bags, cardboard wrapped. Margarines, Fat, Oil Becel, Bonella, Dorina, Banda Plastic pomes, aluminum film. Azul Fat Astra, Palmin Paper and aluminum film. Oil Chef, Cristal, Mazola, Cada día Plastic bottles. Meal replacements Slim·Fast Beverages: cans Bars: Plastic bags Soups: Flexible package Meals: cardboard box Soy milk and juices Ades Tetrapack Arvejas Doña Clara Can C) Installed Packaging Machinery Current Machinery Used Brand Margarine packaging BISIGNANO Units Origin Specification 1 Argentina 1 box (40 packages) of 500gr. machine per minute. Thermo-codifier / thermo-graphic Self-adhesive labeling KRONES 1 Germany 3500 Bottles per hour for oval machine D) Recent Purchases of Packaging Machinery bottles. Machinery Brand Country Casing machine for fat and margarine. MAINAR Argentina Transporting machine for food processing plant. RAPISTAN Brazil E) Future Packaging Machinery Ordering Plans The company does not want to share its purchasing / ordering plans, but did mention that they improvise according to the market trends and innovation. F) Purchasing Policies and Financial Arrangements Unilever is not forthcoming with this type of information: They only mentioned that their policies are “flexible” and that they prefer payment plans that include installments over periods of more than 12 months. G) Factors that Influence Purchasing Decisions The principal factors that influence Unilever Bestfood’s purchases are: cost, history, lead time and flexibility. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers: Their suppliers are almost exclusively local representations with whom they have an established relationship. They have American and European machinery, but did not comment regarding what types of machinery or their level of satisfaction with the equipment. I) Trade Show Attendance / Trade Publication Information Executives interviewed at Unilver Bestfoods Chile said that the company does not attend packaging-related trade events and did not mention specific publications. J) Specific Interests Laminated packaging machinery K) Contact Information: Company Name: Unilever Bestfoods Chile S.A. Contact: Mauricio Silva Position: Manufacturing leader and excellence manager Address: Panamericana Norte 5981, Conchalí – Santiago Telephone: (56-2) 6552100 Email: [email protected] Fax: (56-2) 6232373 Watt’s Industry Food Sub Industry Juices, margarine, ketchup and grease Location Santiago, Chile Size (sales) NA Purchasing potential US$300 thousand per machine Specific Business Opportunities Flexible packaging machinery A) Company Description Watt's Alimentos S.A. was founded in the 1960’s, initially producing and selling fruit derivative products. In 1978 the company began to produce their own raw materials, which made Watt’s expand its product mix from traditional fruit derivatives such as marmalade to margarines, fat and oil. This trend continued over the past 25 years, and today Watt’s produces pastas, prepared plates and cured meat associated with new brands in addition to their traditional product mix. An example of this trend is their association with Loncoleche S.A., in 1996, which brought Watt’s into the dairy business. Currently, Watt's is part of the holding Santa Carolina S.A., with business activities spanning the production and sales of margarines, fats, oil, mayonnaise, marmalade, sweets, fruit pulps, juices, fruit concentrate, tomato sauce, ketchup, pastas, prepared plates, cured meat, and dairy products. B) Principal Products Produced and How Are They Packaged The current trend is moving away from Tetra-Brik packages and towards flexible packaging such as the Doy pack. This trend is fueled by the lower price of flexible packaging compared to others. Product Fruit Division Brand Watts and Baby Watts Package Marmalades: Flexible package. Juices and Nectar: Tetra-Brik, flexible and plastic bottles. Tomato Sauce: Flexible, tetra-Brik and can. Ketchup: Flexible, Doy pack. Quince Jam: plastic film. Dairy Loncoleche and Calo UHT Milk (Ultra High Temperature): Tetra-Brik, plastic bags and plastic bottles. Manjar (Caramel, sweet milk boiled): plastic pomes and flexible plastic bags. Yogurt: Plastic pomes Cream: Flexible Doy pack, plastic pomes. Butter: Plastic pomes, aluminum film. Powder Milk: Can and cardboard boxes with aluminum bag. Cheese: plastic bags and plastic film. Pastas Il Gastronomico Fresh Pastas: in trays with modified atmosphere such as: Ravioles, Agnolottis, Tortellonis, Tortellinis, Gnocchis, Fettuccines, Pancutras, etc. Fresh Pastas: Wholesale: for institutions and restaurants such as: Ravioles, Tortellini, Fettuccines, Lasagna etc. In modified atmosphere bags. Frozen breaded cheese (empanadas): For fast food restaurants. In boxes of 54 and 216 units. Cured meat Felco Glacé, York and cooked ham, salami, pork sausage, hot dogs: vacuumed sealed. Oleaginous Sureña, Belmont, Click, Margarines, fat, grease: Mostly aluminum Superior and Calo film. Mayonnaises: Doy pack. Oil: plastic bottles. C) Installed Packaging Machinery Current Machinery Used Filling machine Brand Units Origin DUPONT 1 Canada Averag e Age N/A Automatic packaging machine Packaging machine KING KONG RR 1 Argentina N/A 1 Argentina N/A Specification For forming and sealing bags. Comprised of formation plaques and feeding tubes with a filling nozzle. Mechanic for margarine packaging. Nº.5265 with cylinders ENAISI304. D) Last Purchases of Packaging Machinery Machinery Thermo former automatic machine 8000 packages per hour Brand Country BISIGNANO Argentina Automatic packaging machine for bottles and other packages CRAMSA Argentina E) Future Packaging Machinery Ordering Plans Watt’s is planning to purchase packaging machinery for juice, mayonnaise and ketchup. Their budget is approximately US$300 thousand per machine (they did not disclose the number of machines they’d like to purchase). F) Purchasing Policies and Financial Arrangements Watt’s normally pays in installments, negotiated at the moment of purchase. The most commonly negotiated payment plan is 3 or 4 installments of equal value, although this depends entirely on purchasing volume. G) Factors that Influence Purchasing Decisions According to Watt’s, their experience (or lack thereof) with the equipment is the key factor. They do not want equipment that requires great deal of maintenance. The company likes to work with local representatives who visit Watts’ offices on sales calls or who send information via mail. They also occasionally respond to catalog advertisements or information obtained at trade fairs. They do not use the Internet to source packaging machinery. H) Comments on Preferred Brands and Existing Business Arrangements with Packaging Equipment Suppliers According to Watt’s, German manufacturers are famous for having superior durability and quality. Italian equipment is known for having machines designed for more domestic uses, smaller and principally for pastes. They have worked with Canadian compressors for hydrogen, (Electrolaiser) and with U.S. made machinery related to crackers (Vicar and Baker Perkins). They prefer US or German made equipment for high volume, continuous functions. The company would recommend that American and Canadian companies have more local representations and/or send more information directly to the packaging office at Watts. I) Trade Show Attendance / Trade Publication Information Watts attends trade events related to packaging in Chile and Argentina. They generally send representatives to attend and to discuss interesting prospects with management upon return. J) Specific Interests Watts is specifically interested in equipment related to flexible containers. K) Contact Information Company Name: Watt's Alimentos S.A. Contact: Juan Carlos Mante Position: Package and process chief. Address: Avda. Pdte. Jorge Alessandri 10501, San Bernardo - Santiago Telephone: Email: (56-2) 4414000 [email protected] Fax: (56-2) 4414149