Daily Newsletter

23 August 2023

Daily Newsletter

23 August 2023

Chinese packaging manufacturer picks UK for expansion

The Chinese packaging manufacturer opted for the UK after evaluating sites in France, the Netherlands and Belgium.

Mohamed Dabo August 22 2023

Sunhope Packaging Machinery (Zhenjiang) Co has made a strategic move to establish a factory in the United Kingdom after evaluating potential locations in France, the Netherlands and Belgium.

A collaboration with Scottish Development International (SDI) and InvestFife played a pivotal role in identifying and securing the new site, located at the Southfield Industrial Estate in Glenrothes.

The move by the Chinese company was in response to the growing global demand for paper bags. Sunhope is a prominent producer of paper bag-manufacturing machinery and associated equipment in China, and has a substantial presence in South Asia.

The Glenrothes site: a strategic choice

The selection of the Glenrothes site was guided by its proximity to existing Sunhope customers and its convenient access to major road networks in Central Scotland and to Edinburgh Airport.

This site will undergo a comprehensive refurbishment, primarily handled by local Fife businesses, transforming it into a modern facility and demonstration hub.

It will serve as a showcase for Sunhope's machinery to potential customers from the UK, Europe, the US and beyond. The factory will also function as a training centre, offering extensive training packages for customer-facing personnel, demonstrating production processes, and showcasing Sunhope's machinery in action.

The UK division of the company

Sunhope is not only committed to its expansion but also to sustainability. The company has successfully secured grant funding through Business Gateway Fife to support its endeavours in building a green and sustainable business.

Alongside net zero grants, Sunhope has benefited from specialised business advice from Business Gateway Fife and Scottish Enterprise.

Hiring to begin soon

The UK division of the company will be named Sunhope Packaging Machinery (UK). Managing Director Andy Lindsay expressed his gratitude for the support received from SDI, InvestFife and Business Gateway Fife.

The full refurbishment and modernisation of the new factory are nearing completion, with phase two involving the arrival of machinery and equipment from China during the autumn of 2023.

Recruitment efforts will soon commence to assemble a production team, with a focus on machine technicians who will handle installations and servicing, and provide training both locally and globally.

Sunhope also has plans to offer a sourcing service for customers seeking assistance in procuring suitable raw materials, aiming to streamline the supply chain and ensure access to high-quality materials tailored to their specific requirements.

APAC region dominating the flexible packaging market

The global flexible packaging market will be valued at $112.4 Billion in 2023 and is expected to grow at a CAGR of 4.1% by 2030, per GlobalData. The increasing demand for packaged food and beverages is one of the prominent factors driving the market growth. The APAC region has emerged as the market leader (>50% share in 2023) due to easy availability of packaging material and low labor costs.

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