Converting

The UK operations of two of the world's biggest packaging groups will be affected by major restructuring programmes announced in late February.

South African group Nampak is considering the sale of its European packaging operation, which includes 16 sites in the UK and produces medical packaging, plastics and cartons.

Amcor, the Australian group, said it would restructure its European flexible packaging operation, which includes 11 plants in the UK, and sell part or all of its European PET business, which includes a site in North Wales and in-plant in Sidcup.

At the same time, it is to build a new flexibles plant in Poland, for a multinational customer, and a tobacco packaging plant in the Ukraine.
Tim Rothwell, packaging analyst at Lansdowne Capital, accused Amcor of being in "strategic disarray" over its plans for the PET division, which it only bought in 2003.

"They are retrenching on all the moves they've made in the last four or five years," he said.

Amcor holds a 13% share of the European PET market, but many firms have in-plant operations in competition. It will reveal details of the flexibles restructuring in April.

Nampak, meanwhile, is to focus its attention on the South African market, where it holds a 45% share.

Along with the 16 sites in the UK, its European business has plants in Belgium, the Netherlands, France, Italy, Ireland, Germany and Luxembourg.

US group Chesapeake, which owns Field, has also announced a new venture in Eastern Europe, in Hungary.