News

Sustainable packaging technology specialist Stanelco is relying on targeting "major converters" and widening its product base to bring its bioplastics business into profit.

Stanelco chief executive Paul Mines told Packaging News that the company has expanded its customer base from "one-product companies" to include "major converters".

It has focused on its bioplastics business over the past year and been rewarded with strong half-year sales of £7m compared with £3.3m in 2007.

The company has more than halved loss before taxation to £1.2m in the six months ended 30 June 2008, year-on-year and anticipates being in profit "quite soon".

Stanelco has licensing agreements for some of its packaging technology, including the design and manufacture of its Frogmat biodegradable cushion packaging to US film producer MonoSol. It reported profit of £98,000 in this area for the period.

The company has also expanded its product range and deals in paper coatings, cosmetic packaging, food packaging and more.

Mines said brands are now focusing on whether a plastic is sustainable and if it comes from oil as opposed to the previous focus on "composting and end of life".

In the first half of 2008, the BioPlastics team undertook 27 sets of customer trials, of which 21 have led to production orders of Bioplast materials.

"Over the last six months, the rate at which we are doing these has just accelerated," said Mines. "We have brought in a number of technicians to deal with that."

A keen area of development is heat stability and the company expects to bring grades capable of dealing with hot fill to market soon.

The company is currently investigating opportunities for growth.