Business

Alcan Packaging is to build a new flexible packaging plant in the Czech Republic to supply the fast growing food market in Central Europe.

The global packaging group said it would invest €17m (£13.5m) in the plant in Novy Bydzov, which will be operational in the fourth quarter of 2009 and initially employ 100 people.

Alcan Packaging Food Europe president Michael Cronin said: "Our customers are growing and we will be able to better serve their needs and deliver reliable, innovative and high quality packaging materials and solutions."

Alcan Packaging Food Europe, a division of Alcan Packaging, which manufactures flexible packaging for food and beverages, reported sales of $2.3bn (£1.2bn) in 2007. It operates 31 plants in 18 countries and employs more than 7,000 people.

Alcan Packaging is owned by mining group Rio Tinto, which has been seeking a buyer for the company since 2007.