Equipment

Treofan is to exit the polylactic acid (PLA) film market because growth in the take-up of the biodegradable film derived from corn starch has been slower than anticipated.

As of 31 December, the firm, Europe's largest BOPP film manufacturer, will no longer produce the Biophan brand and has sold its production line in Mantes La Ville, France, to Polyfilms.

Treofan and Polyfilms have also agreed a licence agreement that will allow Polyfilms to produce PLA using Treofan technology and serve customers from January 2008.

Biophan European sales manager Carey Ashworth said the current 10-15% growth rate for PLA materials was slower than envisaged.

The French line can produce 3,000 tonnes of PLA per year but Ashworth said Treofan had hoped the market would grow to 6,000 to 10,000 tonnes, which would have been enough to justify investment in a new bespoke line for PLA.

"We don't see the market being there in the next two years to give us the potential to invest," he said.

He said there had also been problems with sourcing the resin and uncertainty from the packaging industry about which bioplastics to use.

Innocent Drinks decided earlier this month to stop using PLA, although Marks & Spencer is to continue with it as part of plans to switch all its packaging to recyclable or compostable materials by 2012.

Ashworth said Treofan would retain the Biophan brand and name and "maintain a watching and developmental brief".

Polyfilms president Jerome Bardini said it would not have been easy for Treofan to invest in a new line for PLA, but "what's small for Treofan is big for Polyfilms".

"We will improve and upgrade the line to optimise the production of PLA to create enough capacity to grow the market," he said.

Bardini added that the same production and research and development team would remain at the Mantes la Ville site.

"We have a business plan for PLA, we believe in this film and have ideas to grow and meet the needs of the market. We are committed to the project," he said.