DS Smith boosts Portuguese operations with €50m investment

The investment includes the acquisition of fluting machines for the company's Oporto and Leiria sites.

Luke Martin July 30 2024

Packaging giant DS Smith has injected more than €50m ($54.2m) into its Portuguese facilities over the past three years, underscoring its commitment to sustainability and innovation.

The investment, aimed at enhancing service capabilities for Iberian customers, has seen significant upgrades to technology and renewable energy infrastructure across multiple sites in the country.

Key projects include the acquisition of fluting machines for the Oporto and Leiria sites and the optimisation of a corrugator unit in Lisbon.

To meet the growing demand for heavy-duty packaging solutions, DS Smith has also installed a large processing machine capable of handling products for the industrial and agricultural sectors.

Meanwhile, e-commerce customers are benefiting from new machinery producing padded paper envelopes, a sustainable alternative to plastic bubble wrap.

A focus on reducing environmental impact has led to the installation of solar panels at the company's packaging facilities in Esmoriz, Leiria, and Lisbon, expected to cut carbon dioxide emissions by a total of 34% annually.

DS Smith's Portuguese operations encompass six factories, two recycling mills, and a kraft paper mill.

The company has also invested €145m in its Viana do Castelo kraft paper mill as part of a wider development programme.

“This significant investment in the packaging plants in Portugal reflects our commitment to promoting technological and product innovation locally and to contributing to the evolution of our units,” said Américo Rocha, general manager, DS Smith Packaging Division. 

“The new resources allow us to increase the diversity of our offer, as well as our differentiation in the marketplace, with sustainable, innovative, and optimised packaging solutions for the entire supply chain.”

Rocha added that the investment aligns with DS Smith's broader strategy to support its customers in reducing plastic use and carbon emissions.

“We are focused on making a meaningful contribution to the long-term economic and social development of our local communities,” he concluded.

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