First Packaging Asia News August 2019 by Rendy Dwi Widyaswoko

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Flexible Packaging

Packaging Asia News, August 2019

Table of Contents DRUPA 2020 Ready to â&#x20AC;&#x153;Embrace the Futureâ&#x20AC;?........................................2 FTA Forum-Transitioning From Brown Boxes To Multicolor Flexo.....................................................................................6 Propak Asia 2019.....................................................................................10 Bellisima Digitally Modulated Screening...............................................13 Pamarco Accurately Match Colors......................................................16 Korean Label Market...............................................................................18 Diklat Of The Minister Of Industry For Indonesian Graphic Vocational Schools..................................................................................27 Food and Beverage Beverage 4.0............................................................................................34 Advanced Technology Of The Italian Food Processing Machines For Indonesian Industry...........................................................................38 Food And Beverage Industry Projected To Grow At 9%.....................42 Morrison s The Frist Supermarket Ban Fruit Plastic Packaging............44 Halal Food and Beverage Market.........................................................46 Corrugated Asian Corrugated Summit 2019.............................................................50 ACCA Shanghai 2019.............................................................................56 SinoCorrugated 2019..............................................................................64 Conprinta Printing Technology..............................................................67

Dear Reader. . . Innovation is one of the keys to be the winner in this very fast changing world. Bellissima DMS claimed it is the ultimate in flexographic screening, delivers a previously unobtainable level of image reproduction. They utilizes innovative patented technology for flexo. Their stochastic rosette maximizes the ink-on-paper area and minimizes the amount of ink-on-ink to expand the available color gamut while eliminating color shifts due to misregistration. Mrs.Wannipa Bhakdibutr, President of OSOTSPA and President of Energy Drink Manufacturing Ass. on the last Packpro in Bangkok mentioned that we cannot stand still and we must change. We need to make investment for the right people, the right equipment otherwise and will left behind. Beverage in ASEAN market is still very good-there will be 53.5 billion liters of soft drink in ASEAN up 30% from 2015, Indonesia and Vietnam are the fastest growth. I attended FTA in New Orleans and indeed a good conference as always for fellow flexo. This time there was simulation how to detect problem on flexo printing (we will cover on next issue), In this issue we cover the transition from Brown Box to Multicor Flexo. Therefore, we also cover how Pamarco can accurately match colors. Next year Drupa will come back and as usual this is a must attend exhibition for anybody in the printing industry. On the corrugated side, we cover ACCA Shanghai as well as Sinocorrugated 2019 as well as the new Hybrid of Conprinta pre-print and the Asia Corrugated Summit in Wuhan within this month.

Happy Reading Tuti Buntaran

DRUPA 2020

Ready to “Embrace the Future” Once again, DÜSSELDORF will transform into the epicenter of the global printing and packaging industry, June 16-26, 2020, as more than 250,000 visitors and 1,800 exhibitors flock to drupa 2020. One year out, show planners are reporting that current booking status exceeds figures for the same period in 2015, with 1,800 contracting for space. Better than 30 percent of those hold the title “first-time exhibitor.” The motto for the 11-day event is set: “Embrace the Future.” Sabine Geldermann, director drupa, commented, “The global industry is in robust health overall. Clearly, there are significant differences in prospects across different regions and markets, as demand rapidly changes with economic conditions and evolving uses of print.” She

promised, “drupa 2020 will be accompanied by a high-caliber lineup of renowned, international speakers and special forums like drupa Cube, drupa DNA, Touchpoint Packaging and Touchpoint 3D fab+print that will provide high-quality knowledge transfer and inspiration.” Dynamite Demographics Supporting observations with facts, Geldermann issued the sixth drupa Global Trends Report, approximately one year out from show time. It revealed, “The global print industry as a whole is in a stable condition. Results remain positive overall, with some regions and markets, particularly North America, doing much better than others… The packaging market thrives, as does functional print.”

In packaging, documentation collected attested to five firm facts: 1. Revenues are on the rise 2. Prices are increasing 3. Margins are expanding 4. Utilization rates are booming 5. Suppliers share printers’ confidence Those findings and others were drawn from an annual survey, conducted in late 2018 and targeting 600 printers and 200 suppliers representing senior decision makers in attendance at drupa 2016. Polling and tabulation was performed by Printfuture (UK) and Wissler & Partner (CH). All data courtesy of drupaAmong the major conclusions reached: • Globally, 40 percent of printers saw their economic condition as “good” in 2018 • 13 percent of printers described their condition as “poor” • For suppliers, 36 percent pointed to “good” economic posture; 17 percent, “poor” • Both groups remain optimistic with upward of 50 percent expecting things to be better in 2019 • North America continued to enjoy strong growth in 2018 • Europe and Australia enjoyed steady growth • Asia, the Middle East and South/Central America were cautious • Africa was in decline 3

Richard Gray, operations director at Printfuture, stated, “Most panel members are positive overall about the future, despite very clear concerns about the economic and political prospects for 2019 and beyond. It is striking that many show an increasingly confident grasp of how to exploit the rapidly changing opportunities for print, as the wider markets make increased use of digital communications.” Most printers make money despite huge pressure on margins by increasing revenues through raising utilization while keeping overhead as stable as possible, he noted. “Globally, we even saw a small increase in prices, despite substantial increases in paper/substrate prices.” One interesting corollary: “Suppliers saw revenues and prices rise globally, but with an even sharper decline in margins.” In terms of capital expenditure: • 41 percent of printers spent more in 2018 than 2017 • 15 percent spent less • Expenditure grew in all regions except Africa • Packaging and functional print were very bullish, while those in commercial and publishing were more cautious • For printers, finishing equipment was the most common target in 2019, followed by print technology and then prepress/workflow/ MIS 4

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The packaging market saw a 5 percent growth in the proportion of SKUs specifying digital print across all applications, except for labels where the figure is already 40 percent

Pointing to challenges that some may deem “key constraints to growth,” Gray explained, “For most (printers and suppliers) it is ‘strong competition’ followed by ‘lack of demand’ with ‘lack of skills’ third. However, skills shortages are becoming more important and it was the No. 1 issue in North America and No. 2 in Asia. “What can printers and suppliers do to improve matters?” he asked rhetorically. The answer: “‘Reduce staffing/improve productivity,’ followed by ‘systems integration’ are the most common responses for printers. For suppliers, it is ‘new product launches,’ followed by ‘new sales channels.’” Queried on long-term technological disruption, both suppliers and printers chose “‘Automation and data exchange (often described as ‘Industry 4.0’) as having most impact. When asked about long-term threats to the industry, printers chose ‘digital media’ and suppliers chose ‘overcapacity.’”

XEIKON LAUNCHES PRESS AT DRUPA DURING THE RECENT XEIKON CAFE EVENT IN ANTWERP, BELGIUM, Benoit Chatelard, President of Xeikon, exclusively discussed with our freelance editor, Nick Coombes, on the company’s development work in the corrugated market. Although still very much ‘under wraps’, through the auspices of the Flint Group, which acquired Xeikon in 2015, the company is working on a high-speed inkjet press for the post-print sector of the corrugated board market. Offering single-pass production using Flint’s specially developed water-based inks, the target is for a 1600mm wide machine (and later 2400mm) capable of running at speeds up to 150m/ min (10,000 sheets/hour), and at the same time having a low capex level. “There is no point in competing directly with existing technology – we need to find

and supply niche markets that will benefit from our short lead times and ability to differentiate each box, if required,” he explained. With Drupa 2020 as a target for launch, Xeikon still has development work to carry out and Beta sites to identify. It is planned to show the machine with feeding and stacking units, and this will require establishing working partnerships with ancillary equipment manufacturers. “Our aim is to cater for board from 1.5mm to 11mm thickness, and essential to the whole operation will be installing the right workflow from software to delivery – so we still have plenty to do!” he concluded. By SEBASTIAN REISIG

TRANSITIONING FROM BROWN BOXES TO MULTI-COLOR FLEXO

THIS SESSION included presentations from a brand owner customer, two converters and a plate maker who, starting with the original idea at the converterâ&#x20AC;&#x2122;s customer to change how a product was printed, walked through the steps of delivering a high quality package or display at lower costs than the normal litho laminated corrugated process, as well as the personal stories from each speaker elaborating on their own journeys. Once upon a time a small group of people started printing flexo on corrugated box now it has many multi color flexo printing machines installed and more and more every year. THE CASE 3M use corrugated as shipping container, shipper display and display tray. The existing product print with Litho Laminate

(print 4 color process and 2 spot colors) and would like to change to flexo direct printing on corrugated. Michael John, design operations print quality manager at 3M Co then try to find a print partner who could take on the project and then hold meetings where that printer offered ideas on how to achieve its goals. Together, they reduced the number of spot colors, and identified challenges that included traps, fold rollovers and even tempering expectations. Before start with direct printing multicolor we must answer the followings: â&#x20AC;˘ What is the average amount of color per job?

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What is the desire substrate? What is the desire lpi? Does your company already has the right printing machine ? What are the variable Paper, anilox roll, ink and varnish, dryer, prepress, plate, etc? Develop standardization Control and measure quality before and during production by using tools to measure color, registration, dot gain, diecut, etc

Ed Nusslein, general manager at McLean Packaging Corp, told the story of pushing corrugated print’s quality from the view of a converter well on its way to running high-end direct print flexo. THE FUTURE OF DIRECT PRINT With the advance in print, ink and plate technology the future of direct printing onto corrugated is bright. The speeds, LPI, and minimum traps

that are now being realized in direct on corrugated allow the industry to be competitive within the litho and digital markets. • E-commerce is rapidly developing market in shich multi-color printing is sought afer on the outside an inside liners. • There is equipment available that can print and diecut in one pass • The unboxing experience and the impact of social media • Are corrugated companies marketing to the generations of today? Nusslein stressed any printer looking to make the same transition to collaborate with experts and understand not only what is needed (substrate, lpi and the 7

average number of colors per job as examples) but also that there is business committed to supporting the investments to make that transition.

supervisors, press crews and supplier partners is vital. •

Preproduction meetings: In preproduction meetings, define the expectations of the brand owner, prepress providers and print providers. Establish procedures like the workflow and chain of command (“Who is responsible for changes?” Kraus asked). • Determine color standards, • The condition of the press, • The specific ink’s properties and • The specific substrate’s characteristics

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Process control: Everything needs to be consistent the same plate every time, the same ink set and the same level of dot gain (check what is the min dot gain). What traps you can handle ? What traps will your customer accept ?

A PREPRESS PERSPECTIVE Jake Kraus, account executive at Printron, gave a prepress provider perspective to the session’s topic. Kraus explained how his company manages the much more complex prepress and plate making processes that come with multi-color, high-end corrugated. He began by talking about why most people fail in achieving goals like New Year’s resolutions: they have unreal expectations, goals that are too vague, a lack of planning and the wrong mindset, positing a corrugated printer could find itself unable to achieve goals for the same reasons. He then discussed three key elements to succeeding in the transition: • Communication: Communication directly impacts the ability to successfully print highquality graphics on direct print corrugated. Having a print champion is important to form partnerships with key suppliers. And commitment from top management,

A COLORFUL DISRUPTION David Diroll Jr., general manager, Jamil Packaging told the story from the perspective of a converter newer to the transition, explaining what it recognized as opportunities,

what it sees happening now, and where the future may take it. “No matter what, we say ‘yes!’” Diroll explained, a mentality that helped lead Jamil Packaging to, in 2006, purchase a new corrugated press. With new machinery and increased capabilities aligning with brand owner demands, Diroll’s company evolved from 1 and 2 color boxes to 2 color boxes, and then to increasingly complicated and multi colored boxes. He explained that engaging in a culture of professionalism with your associates and your supply partners is key, as well as educating your customers as to what your new or improved capabilities are. Key questions to ask include: “Can our equipment do what the customer is asking?” “What tools do we need? What plates, inks and processes need to be involved?” and “Who is involved? Staff, plate maker, ink supplier, corrugated supplier.” • Create a go to market strategy with the right customers that will have the patience to go on the journey with you one step at a time. • Assemble the rigjht supply partners that have

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demonstrated world class performance in their fields Network with the right peers within your industry/ associations to learn from and set up collaboration conversatons. Collaboration between your ink, die and corrugated suppliers is of the upmost importance Get with you die suppliers and set up fingerprint schedules to understand your capabilities (anilox volume, registration, line type etc Educate your sales group and customers on what can be done with the tools you have Include your die and ink suppliers in sales calls when needed Include your suppliers during the pre-press process

Print Day Emboldened by the printer’s confidence as well as his own, John returned to the stage to finish his brand owner story. After overcoming some small color obstacles on press, the final print run went well, appeasing even those who were apprehensive about the project.

PROPAK ASIA 2019 OPENS GATEWAY TO AN INNOVATIVE SUSTAINABLE FUTURE

PROPAK ASIA 2019 is returning in its 27th installment as the largest industry event of its kind in Asia with the theme of â&#x20AC;&#x2DC;The Future of Processing & Packaging Innovationâ&#x20AC;&#x2122;. Continuing in its commitment to provide the processing and packaging industries with the latest advancements in machineries, technologies and solutions, ProPak Asia will focus on innovations. The key to overcoming many global challenges and driving industry into the future that will require quality products and efficient solutions to feed a growing population and protect the environment. The various kinds of processing & packaging technologies and innovations will come from over 2,000 exhibitors from more than 50 countries including 22 international pavilions from 14 countries including;

Australia, Denmark, France, Germany, the UK and the US, two each from Korea and Taiwan and three each from China, Japan and Italy. Over 20,000 machines, products, and services from around the world will be showcased across 60,000 sqm in 9 halls at BITEC, Bangkok. Visitors will be able to interact with a wide range of industries including the food, drink, pharmaceutical, cosmetics, personal care and consumer products, as well as find solutions for their manufacturing, automotive, semiconductor and electronics packaging needs. In addition, visitors have the opportunity to network across 9 industry zones including: Processing Tech Asia, Packaging Tech Asia, Drink Tech Asia, Pharma Tech Asia, Lab & Test Asia, Material Asia, Coding, Marking & Labelling

Asia, Coldchain, Logistics & Warehousing Asia and Printech Asia. These industry zones receive strong support and sponsorship from valued partners including the Australian Packaging and Processing Machinery Association (APPMA), Better Pack and Clear Pack for Packaging Tech Asia Zone, Clear Pack also for the Drink Tech Asia Zone and Clean Tech Solar for Clean Energy Sponsor. ProPak Asia is the annual meeting point for large enterprises, SMEs, start-up and professionals looking to find and adopt products and services of all scales and sizes to meet their needs, from small to large scale machines and OEM service providers. ProPak Asia will feature SME focused promotions and Food Business Clinics organized for SMEs to gain knowledge and

consultation from experienced professionals, exhibitors and organizations. Many various events and activities will be held concurrently with the show: • The Global Packaging Forum (we will cover in different article • Global Trends of Food & Beverage Packaging organized by the Plastic Institute of Thailand (PIT) • Active & Intelligent Packaging for Asian Markets organized by the AIPIA • Introduction to Sustainable Packaging Design organized by the Australian Institute of Packaging • Circular Economy Seminar organized by the Thailand Institute of Packaging and Recycling Management for Sustainable Environment (TIPMSE) and • The Asia Drink Conference (will cover in different article) • Latest developments in flexible packaging “In our modern interconnected and highly competitive markets businesses must adopt new innovations and technology in order to grow and meet everchanging consumer demands. The development of technology 12

leads to innovation that can provide the driving force to greater business. ProPak Asia is here to serve global processing and packaging industry with new innovations and technology from around the world. It connects the future of innovation with the industry of today,” said Mr. Justin Pau, General Manager of UBM Asia (Thailand) Co., Ltd. “To pull the country out of a middle-income trap and develop it into an innovative and dynamic nation, Thailand 4.0 was initiated with technology and innovation as key factors in achieving its goals. The government has established a strong environment for industry to invest and improve business through various measures and policies. There is no better time than the present for industries to find new solutions to create added value and improve capabilities. All of these are available at ProPak Asia, which is a significant driver for the country and a place where industry is always supported from every angle,” added Mrs. Wanpen Rattanakangwal, Director, Division of Creative Industry Development, of Industrial Promotion (DIP).

BELLISSIMA DIGITALLY MODULATED SCREENING BELLISSIMA DMS claim it is the ultimate in flexographic screening, delivers a previously unobtainable level of image reproduction for flexo. This unique screening digitally modulates every pixel it produces there by precisely controlling the dots in each separation while its “stochastic rosette” interleaves the dots between the separations to eliminate noise and moiré. In addition, the stochastic rosette maximizes the ink-on-paper area and minimizes the amount of ink-on-ink to expand the available color gamut while eliminating color shifts due to misregistration. Bellissima DMS utilizes innovative patented technology that’s a fusion of the best characteristics of AM (Amplitude Modulation), FM (Frequency Modulation), XM (Cross Modulated), GS (Geometric) and CS (Concentric) screening while avoiding their limitations and problems. Compared with AM/ XM dots, which can appear partial/broken in images with tone values between 5-45%, and don’t plate or print well causing them to ink up quickly on press, Bellissima DMS produces patented flexo dots that never appear partial/broken, and are consistent and stable on press. Furthermore, Bellissima DMS flexo dots don’t suffer from problems such as dotbridging and rivering on press.

Overcoming Printing Press Problems Bellissima’s patented dots, common printing problems including bounce, barring and slur are significantly reduced and, in some instances, completely eliminated Beautiful Image Reproduction Bellissima DMS analyzes each pixel to ensure that no dot is too small to plate or print yet still not large enough to be visible. Dots are created in a carefully controlled manner, to ensure detail is placed exactly where it is needed, vignettes are smooth and flat tints are ‘flat.’ The result is a quality of print, particularly on flexible substrates, that was previously unachievable in a flexographic environment. Moiré Free Prints Like a Geometric Screen (GS), Bellissima DMS uses carefully crafted geometric shapes that improve stability on press and eliminate problems, such as rosettes and color shifts. However, unlike a GS screen, it does not suffer from problems, such as moiré clashes with image content, rosettes, or lack of image detail.

Ink Savings Bellissima DMS uses specially shaped dots that like a Concentric Screen (CS), minimize ink buildup. This maximizes the amount of light filtered by the ink to create significant ink savings, which can be augmented by GCR based software.

During my visit to FTA and Infoflex I met with some users (prepress house), who claimed that it really works well, though they could not explain well to me how it works. So I have to wait until I meet the expert of Bellisima and the users, my real questions are how the ink saving works. Do they provide the GCR on DMS or its an option ? Can it work auto or still have to do it on the GCR software as well as bouncing on the press?. Does it mean no matter the press quality and for any kind of job it will not be bouncing ? Once I got the reply, I will post it in my website as well as write on the next issue how it works.

Tuti Buntaran Chief Editor 14

BELLISSIMA DMS VS CONVENTIONAL FLEXO AM SCREENING

Conventional Screening (Wide Web Flexibles)

Bellissima DMS (Wide Web Flexibles)

Conventional Screening (Wide Web Flexibles)

Bellissima DMS (Wide Web Flexibles)

Conventional Screening (Wide Web Flexibles)

Bellissima DMS (Wide Web Flexibles)

ACCURATELY MATCH COLORS WHEN YOU WANT TO ACCURATELY MATCH COLORS OFF PRESS, a hand proofer is the tool for the job. It is the only instrument for quickly and easily increasing your ability to uniformly reproduce the colors you need on press without actually being on press. The hand proofer is a precision unit used for proofing flexographic inks on all substrates: paper, board, film, or practically any other surface. It is widely used by flexo converters and ink companies worldwide for the advantages it brings to precise color matching and the elimination of on press ink adjustments

Pamarco currently offers three types of proofers: Standard, Roto, and Quick Change. But which one is right for you based on your answers to these questions? Letâ&#x20AC;&#x2122;s take a closer look at the options to find out.

The first step in achieving color precision with hand proofing is to choose the right hand proofer for your needs. Think over what works for you by answering these questions: what type of printing will you be doing? Which anilox rolls will you be using? How important is speed of transition? Are you using a doctor blade system?

The Roto Proofer is geared towards gravure coating customers with the aim of transferring the ink or coating directly to the substrate, an extensive range of materials to be printed or coated. It uses an engraved roll and doctor blade metering system. The Roto Proofer offers highly consistent proofs and is ease of use.

Of the three proofers, Pamarcoâ&#x20AC;&#x2122;s Standard Proofer is, as the name implies, an industry standard. With its user-friendly two roll construction, it has become one of the most highlyregarded proofers in the print industry. It is a high quality, but still cost-effective, proofer that offers a great deal of accuracy in color matching.

Pamarco’s Quick Change Proofer is based on the Standard Proofer’s straightforward two roll construction, (anilox and rubber roll) but it also boasts a unique removable roll carriage for a speedier changeover by avoiding the need to take the whole proofer apart. Quick Change eliminates the need for multiple handles, while allowing for swift anilox changes to finely tune proofs. It is simple to use and simple to clean. Each of these proofers offer accurate replication of what is being printed on press. In terms of rolls used, the Even Flo mechanically engraved roll has long been established as the benchmark anilox for proofing. And the ceramic coated laser engraved rolls are available in a variety of cell types and specifications and duplicates the technology used on press today. Their easy change design makes for an accelerated changeover of rolls either by removing the roll carriage and changing the roll, or by using several rolls and roll carriage assemblies where you can calibrate your proofs in mere seconds. In order for a hand proofer to achieve consistent precision, it is important to

treat this instrument with care. All proofers come ready assembled with instructions on how to use and care for them that should be strictly followed. Damage can occur from improper assembly and disassembly. It is imperative that the roll be disengaged when not in use; leaving it engaged will damage the rubber roll. The proofer should also be periodically disassembled and lightly lubricated in order to keep the plunger moving freely. The entire proofer should be cleaned and dried after each use, and we offer solutions in our care range that will safely remove any inks and residues from the anilox and rubber roll without causing any damage. Now that you have the basic facts about Pamarco’s line of hand proofers, it’s time to decide which one will meet your needs. If you’re leaning toward the Quick Change, don’t miss out on the opportunity to briskly and precisely match your colors off press at a discount: Pamarco is currently running a promotional offer through March on Quick Change Proofers.

www.pamarco.com

KOREAN LABEL MARKET ON THE LAST EVEN OF SINOCORRUGATED I been informed that due the increase of paper price, corrugated plant got a huge profits, therefore since the last 2 years they only proceed with the very high end machineries, such as for corrugated machines Mitsubishi and BHS only and on the printing machines only Mitsubishi and Bobst. They told me a Mitsubishi printing machine can produce up to 2.500 tons a month. The label and package printing industry in South Korea is similarly intriguing. Continuing to be dominated by conventional print processes namely letterpress and gravure the market is seen as conservative and considered. ‘Korea is a very different market, with lots of intermittent offset and letterpress technology,’ describes Mario Fanton, director, digital printing, Asia Pacific at Domino. ‘It is a conservative, price-sensitive market,’ confirms Helmuth Munter, segment manager, label and package printing at Durst. Korea is though witnessing growth in shorter runs, flexible packaging and variable data, alongside changes in the nature of the labels being produced, as exampled by Levi Paul Dow

III, sales manager for Asia and Africa at Polyonics. ‘Labels are getting smaller and including more information,’ he explains. ‘So while the square meterage is roughly the same, more labels are being produced as they are smaller.’ Won Cheul Kim, digital press team manager at Dilli, adds: ‘Label printers are looking for niche markets, such as flexible packaging. Chong Se Park, publisher and editor of The Printing Industry News, the sole newspaper for the Korean printing industry, tells L&L that the label market is growing at a similar rate to the country’s economy, around three to four percent. This includes food labels, while labels for pharmaceuticals and logistic applications are seeing above market growth. The cosmetics market is big business too, with Korean cosmetics

popular in China and across Southeast Asia. Seoul-based converter Tomatec focuses on industrial roll labels. Its president, Seok Yong Jeon, says that with a lot of what is produced in Korea exported, a trade war between the US and China would be bad for the country’s economy. Components for cars are given as an example, which are exported to produce finished products that are then sold into international markets. DIGITAL Mr Park of The Printing Industry News notes that the market for digital printing has slowed recently with many companies waiting to see which direction the market and technology takes. ‘Digital is still very young in Korea,’ says Munther. ‘HP has been penetrating the market for a while, but it is a cautious market and they don’t just jump in.’ Despite this, he identifies Korea as a good market for inkjet and one of the best markets in Asia for Durst. Within 12 months the South Korean territory accounted for seven Tau 330 installations. The total is now nearer 20, which includes 330 and 330 RSC models installed directly at DdP Story, along with a Tau 150. Further printers that have already invested in digital are Xeikon users Taepyungyang Grand

(TPYG) and All New Digital (AND) Korea, and Tomatec, which includes an HP Indigo ws4500 among its press portfolio. TPYG senior managing director Jong-Su Lee explains: ‘Runs are becoming smaller and smaller, so to grow we need digital printing capacity.’ At TYPG, digital printing sits alongside two Mark Andy flexo presses and three Sanki intermittent rotary letterpress machines within its equipment portfolio. It is a similar story at Tomatec, which has two Mark Andy P5 flexo presses, 5- and 7-color models, in addition to other, older equipment such as an Arsoma press. ‘Our digital press is not profitable enough to run on its own and is mainly used to produce short runs, samples and very urgent orders,’ says Mr Jeon. Offset is likely to be its process of choice. ‘Only having digital can make it difficult to maintain volumes and productivity,’ explains Mr Hong. CONVENTIONAL As such, digital is not having it all its own way in Korea. Mr Lee at TPYG notes how government action to curtail the installation of new gravure presses is helping drive such changes. ‘Gravure printers are used to wider and faster technology. Narrower, slower presses are harder for them. In a

way this puts label printers in a strong position, as they are more comfortable with flexo and offset printing, and finishing techniques such as silkscreen and cold/hot foil.’ Flexo is also replacing letterpress and offset in a number of instances. Junha Lee, managing director at converter Formtec, which runs a fleet of Comco presses, sees flexo as rising in prominence due to productivity, higher quality and stability. Tim Klappe, managing director at MPS Systems Asia, says: ‘Flexo printing offers many advantages in label and film printing applications such as wraparound and shrink sleeves, and even flexible packaging. Compared to gravure printing, it’s a less expensive solution, especially for smaller and medium print runs with its capability of faster job changes.’ The MPS press was pre-sold to local printer DPS and is the first from the Dutch manufacturer into Korea. The company’s CEO Soon Suk Lee notes that the addition of the first MPS press in the country makes his company a pioneer. ‘We mostly use letterpress technology from Japan, Germany and the US in Korea. I wanted to do something different, so chose a flexo press from a Dutch manufacturer. Fine Webtech produces products for

the household, personal care, cosmetics and industry market segments. Sunghwan Jang, vice president at Fine Webtech, comments: ‘The Gallus machines have increased our productivity and flexibility, and enabled us to expand our range of substrates. With the Gallus machines, we are competitive and can offer our customers the highest quality with the shortest delivery times.’ THE FUTURE With this and the fact that and Korea is looking to add conventional printing, and DPS investigating adding digital printing, it’s easy to see how vibrant yet challenging the market in Korea is. By product, TPYG is to look at flexible packaging and growing IML in the markets it serves, notably Korea’s milk industry. AND Korea sees offering additional packaging formats – carton and corrugated – in its future. Mr Jeon says: ‘The label market is growing; as a company we have regularly achieved year-on-year growth of 20 percent over the last 15 years. In the near future it will be nearer 15 percent as competition increases in the market.’ Munter concludes: ‘I’d love to have more markets like Korea, definitely.

RITRAMA LAUNCHES METALLIC POLYETHYLENE FILM FOR HIGH VISUAL IMPACT LABELS Ritrama has developed Shiny, a new and innovative film in shiny silver metallic polyethylene, suitable for the creation of labels with high visual impact for flexible containers for the personal care, cosmetic and food sectors. THE 85 MICRON POLYETHYLENE FACE MATERIAL ensures very high conformability, which Ritrama describes as ‘an essential characteristic for labeling contoured and squeezable containers’. This is said to be especially true in the cosmetics and personal care sectors, where packaging is often subject to continuous pressure from the user. Being made of polyethylene, Shiny is completely recyclable if applied to containers of the same material, noted Ritrama. Shiny has been tested for print compatibility using the most common printing techniques (UV typography, UV screen printing, UV flexo, gravure, hot and cold stamping) and with different types of inks. ‘Shiny guarantees the same results, in terms of brilliance and gloss, compared to conventional metallized polyethylene films,’ stated Ritrama. As such, Shiny is identified by Ritrama as a ‘very valid, versatile and cost-effective’ alternative to traditional and expensive

metallized polyethylene films offered so far by the market. In announcing Shiny, Ritrama further stated: ‘A real revolution in the field of labels for cosmetics and beauty products, characterized mainly by a high end products demands, necessary to obtain extremely rich and decorative labels, vibrant colors and excellent technical performance.’ 21

COMEXI RECEIVED A 2019 FTA SUSTAINABILITY EXCELLENCE AWARD FOR ITS LIFE CYCLE ANALYSIS

The LCA examines the environmental, social and economic impacts of the Comexi F2 MC flexographic press in order to make across-the-board improvements COMEXI, a specialist in solutions for the flexible packaging printing and converting industry, has received a 2019 FTA Sustainability Excellence Award in the Innovations in Sustainability category for its Life Cycle Analysis (LCA) of its Comexi F2 MC flexographic press. Organized by FTA (Flexographic Technical Association), the 2019 FTA Excellence in Flexography Awards were presented on May 5th at the Hilton New Orleans Riverside (USA), where 39 gold prizes, 41 silver prizes, 40 bronze prizes and 6 Best of Show Awards were given. The objective of this Comexi project is to continually acquire knowledge and communicate the environmental impact of the manufacture value chain of flexographic printing presses. Through the implementation of eco-designed products, a circular economy strategy has

been established, providing to customers with products that are environmentally respectful throughout their life cycle. The LCA examines the environmental, social and economic impacts of the machine in order to make across the board improvements, and at the same time promotes healthier working conditions. â&#x20AC;&#x153;The target of this analysis is to identify our environmental impact of the whole life cycle of the Comexi F2 MC flexo machineâ&#x20AC;? says Olof Buelens, Vice President of Comexi North America.

Life Cycle Analysis: the way to be more sustainable LCA is the unique tool that allows the user to quantify the environmental impact associated with every stage of the product’s life cycle, from the initial extraction of raw materials to the final waste management, while taking into consideration the entire process in between: the processing of materials, manufacturing, distribution, repairs and maintenance. Additionally, the LCA evaluates, identifies and quantifies the use of matter, energy and emissions in the environment to objectively and unequivocally determine the manner in which these processes have the greatest environmental impact, thereby implementing strategies to lessen this effect. Of importance is the Environment Product Declaration (DAP), a type III ecolabel where the product or service life cycle environmental impact is quantified and communicated. This is done in strict accordance with international standards and it is verified by an independent third party, ensuring its credibility.

For this first exercise, the Comexi F2 MC was chosen due to its highly versatile flexographic printing that combines ergonomics and flexibility with the performance and reliability of the F2 range. In addition, it is a press designed to print on various types of plastic materials, laminates and aluminium, providing finishes and a print quality with unprecedented productivity levels in the market. “With this process, we will reduce several impacts including: global warming, ozone layer depletion, photochemical oxidation, eutrophication, and human health,” stresses Buelens. “The aim of Comexi is to progressively increase the knowledge of the environmental impact of our entire range of products, with the objective of minimizing these impacts, and allowing for compatibility between industrial businesses and the environment.”

Source: Comexi

AVERY DENNISON OPENS I.LAB IN INDIA

THE NEW AVERY DENNISON I.LAB, LOCATED IN PUNE, INDIA, is an interactive facility that provides customers and partners with hands-on experiences, live demonstrations and technical support, to help converters and partners explore the opportunities surrounding intelligent label solutions and RFID adoption. We are thrilled to be the third global I.Lab in India. Modeled after the first concept lab in Oegstgeest, Netherlands, this new I.Lab will demonstrate how Avery Dennison’s intelligent labeling technology can bring any item to digital life, catering to multiple industries including aviation, apparel, beauty, and food. By connecting the physical and digital world through unique item-level

digital identities, businesses can benefit from improved inventory management and increased efficiencies throughout the supply chain. Tomorrow’s business requires smarter solutions that bring positive changes to the way we live, work and play. This investment in I.Lab reaffirms our commitment to spearhead co-creations of innovative solutions for tomorrow’s needs with our customers, partners and other stakeholders, in our communities across this region. The I.Lab will be further augmented by our strong R&D capabilities at the Avery Dennison Innovation and Knowledge Centre (ADIKC) as we collaborate with customers and partners to develop more advanced intelligent labeling solutions across various industries.

DURST AND KOENIG & BAUER DEVELOP DIGITAL PRINTING SYSTEMS DURST is a manufacturer of advanced digital printing and production technologies. Koenig & Bauer is the world’s second-largest printing press manufacturer. The signing of the agreement paves the way for the joint development and marketing of single-pass digital printing systems for the folding carton and corrugated fiberboard industry. Initially, the joint venture portfolio will comprise the Koenig & Bauer CorruJET 170 and the Durst SPC 130 – including all associated services and the ink business, as well as the development of the VariJET 106. Durst Group CEO Christoph Gamper commented: ‘It was a short path from letter of intent to official signature because the negotiations had already been

conducted in a spirit of genuine cooperation. We want to work efficiently and purposefully towards a common goal tapping the huge potential that digital production lines offer for the packaging industry.’ Claus Bolza Schünemann, Koenig & Bauer CEO, added: ‘Koenig & Bauer Durst will combine different key technology areas and market expertise to perfect effect. I am convinced that the joint venture will benefit from the spirit embodied by both companies and that something really special is emerging here. The packaging industry is looking for new, more efficient production opportunities and Koenig & Bauer Durst will supply the necessary digital solution.’

TRAINING CENTER’S SUCCESSFUL START IN 2019

THE HEILBRONN based die manufacturer Marbach has made a successful start to the new year with its Marbach Academy. In the first quarter of 2019, there were training courses on the subjects of paperboard and cigarette packaging as well as several individual training courses for customers. Marketing Manager Tina Dost: “Our training program has been well received. We are pleased about the widespread interest. Word of the highly practical relevance of our training courses is also spreading abroad. We have already had participants from numerous countries. In

addition to Germany, these have included countries such as Sweden, Finland, Pakistan and Lebanon. We are looking forward to welcoming many more participants to our training courses this year. ” The Marbach Training Center was opened one year ago. Since then, almost 300 people have been trained in topics related to die-cutting. By SEBASTIAN REISIG

Diklat of the Minister of Industry for Indonesian Graphic Vocational Schools

EDUCATION SECTION OF MINISTRY INDUSTRY approved training for operators and Graphic Vocational Schools 2 times this year. The first was held in Yogya and was attended by 40 participants (5 from 11 Semarang Graphic Vocational Schools and 1 Jepara Graphic Vocational School teacher). The training program at ATK Jogyakarta and Lukman received generosity offsets for 2 days of printing machine practice. Trainers are Mrs. Nina for paper, Mr. Martinus for offset printing, myself for color, Mr. Kiki for water solution & blanket, and Rendy for print simulation.

The Printing and Graphic Industry is an industry that plays a very important role for the Indonesian economy with many sectors involved including the Education sector with learning books, the packaging sector with its design, the information sector through its print media and even the homeland political sector that will not be separated from printing, therefore creativity and the ability of HR to create quality products are key to the printing industry to win competition in the global world.

The training was started by Mr. Mughi, who was willing to share young experiences in the print world, how to do production, marketing and management in a good print world. The potential of the Indonesian printing market • Source from PIRA; the future of global printing to 2018: • Printing business market in Indonesia US $ 14.5 billion (Rp. 200 trillion at Rp. 14,000), from the Asian printing business market at US $ 427.5 billion • Number 6 after China, Japan, India, South Korea and Taiwan • Ministry of Education and Ministry of Religion, procuring text books / lessons starting from elementary school. SMP / MstN, SMA / SMK / MA, around 140 million books minimum / year worth Rp. 1.4 trillion per year After giving an overview of the printing world, technology, its constraints and potential, Mr. Mughi began to explain the reality in print production and he really succeeded in approaching the trainees. The discussion of the problems that existed in the field described the atmosphere to be so familiar. Mr. Martinus also answered about the print problem that occurred.

After the break, the training was continued by Mrs. Nina. In addition to theory, Mrs. Nina also invited participants to immediately practice understanding of the nature of various types of paper and also the reaction of paper to ink. The drying machine simulation is used a hair dryer, then strica, quite exciting. Provided information on the functional properties of fiber from paper and how to reduce the poor functional properties, the nature of paper can be stated qualitatively or quantitatively through the testing process. And the structural paper is divided into physical properties, strength, optical, resistance, chemical, microscopic and electrical properties. It turns out that knowledge about paper is quite complicated and interesting. There are various types of paper, such as coated paper, magazines, catalogue, books, newspapers.

After lunch, Mrs. Tuti continued by presenting various print theories used in the world of packaging printing. Packaging printing is a rapidly advancing industry that is another fast track that must be taken by the commercial printing industry in Indonesia. Another path that is an additional business both in the commercial print world is digital printing. First delivered the Printing Production Flow. In an industry, to be able to produce a product will be related to the existing plot. The flow is identical to the stages. In the printing industry, the plot is not absolute. However, in general if there are complete steps, the production flow can be described as follows: â&#x20AC;˘ Precast â&#x20AC;˘ Print â&#x20AC;˘ Finishing Currently we are just doing training for offset printing. In the future it can be continued with finishing and also preprinting, the participants are preprinted parts of printing. Then we explained about various printing techniques used to print various packaging products.

Mr. Kiki explained the Print Quality in terms of the care of Roll and Blanket. How to wash roll without damaging it. As a result, if we wash do not use the right ingredients. By using the right ingredients, we will reduce the possibility of paper damage and roll & blanket will

last longer. After the theory is also practiced. In presenting his paper, Mr. Kiki is very passionate very motivational. Mr. Martinus in offset printing materials explained in detail one by one part of the offset machine, its uses, what is important and what not to do to prevent offset problems. Offset printing is the most complex printing system, so a good offset printing machine is dominated by two countries,

Germany and Japan. The offset printing system has water balance, so it is not easy to print the same and solid colors over time, but offset printing has many advantages compared to other printing systems, such as the use of very thin ink, can be printed up to 200 lpi so that offset printing is the printing system is best for printing peopleâ&#x20AC;&#x2122;s faces (the skin can be smooth). However, it is not recommended to print

SINAPSE PRINT SIMULATOR To be more efficient and economical, various universities in various parts of the world such as Germany, the United Kingdom, the United States, China and Singapore last year also began using the Print Simulator program to simulate computer printing machines. This program is very good and is useful for providing guidance to students on how to cope with printing problems. This program has been recognized throughout the world and also held world class

competitions. We hope that in the future we can also send students from Indonesia to take part in this Print Simulator competition. With this program the school / training center can use only 2 color machines to practice, as high as more economically. Participants who can solve the problems given in the test get certificates that are of international standard.

By getting information on the possibility that will occur, the operator can prevent it by doing

gold, silver colors that require a fairly thick and solid ink. For gold and silver the best is printed with rotogravure or flexo. The basic principle of offset printing starts from giving water first to the plate which is continued by applying ink material which is then transferred to blanket media. From the blanket media, it will be channeled to the printed

the correct and appropriate SOP. This program is like a simulator for aircraft. Provides the possibility of errors that will occur due to incorrect operation of the engine and improper use of raw materials. By knowing these things, it is expected that operators can avoid errors that can occur - so that production becomes smooth and waste will be minimal.

Ink Flow Problem

material in the presence of pressure from the cylinder impres. After giving an outline of the units on the offset printing machine, the details of each part are given, starting from the feeder to the stacker. With a very detailed explanation, the training participants are ready to do a two-day practice at Lukman Offset. July 2019, Tuti Buntaran The participants were very enthusiastic about this training, so when we rested to have a coffee in the evening, they were still on discussion about the operation and its problems. On the last day there were tests, both for machine operation, paper knowledge, blanket maintenance and print simulator programs. July 2019, Tuti Buntaran Blanket & Cylinder Impression Pressure

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T R A I N I N G

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I N N O VAT I O N

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THE NECESSITY OF MEMBERSHIPS FOR PACKAGING PROFESSIONALS Packaging has evolved into a strategic tool that can be leveraged into a competitive advantage. New technologies, new materials, new markets, new regulations - today’s professional needs to scan those and other horizons to stay apace. WHO SHOULD JOIN: • New to packaging and need a broad introduction • A manager who needs a wider view of packaging • A sales rep who wants to expand your technical background • A packaging professional changing your focus who needs to come "up to speed" in a new area of packaging • A purchasing professional who needs more technical depth MARKET SEGMENTS REPRESENTED: - Flexible Packaging - Corrugated - Folding Carton / Boxmaking - Tag & Label - DIgital Printing - Envelopes - Prepress

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Food and Beverage Industry

BEVERAGE 4.0

TOWARD A NEW ERA FOR ASIA’S BEVERAGE INDUSTRY ASIA’S BEVERAGE = 47.2% of global consumption in 2021 SEA BEVERAGE $741 BILLION in 2019, up 34% from 2015 SOFT DRINK ASEAN 53.5 billion liters by 2020, up 30% from 2015 (Thailand, Singapore, Vietnam, Philippines, Malaysia and Indonesia)

THE GLOBAL BEVERAGE MARKET is expected to reach $ 1.9 trillion by 2021 with CAGR 3.0% from 2016 to 2021 and Asia has 47.2% share while SEA Beverage value US$ 741 billions in 2019, up 34% from 2015. There will be 53.5 billion liters of soft drink in ASEAN (Thailand, Singapore, Vietnam, Philippines, Malaysia and Indonesia) up 30% from 2015. 34

Everywhere, everyone talk about industry 4.0 and now we are talking about Beverage 4.0. For sure in this 4.0 industry, which everything digital we need to change and make investment for the right people, the right equipment. Then the investment must be paid. Digital technology can help us inventing almost everything ten years from now, so whether you like it or not, the technology will continue, you can drive with it or left behind. 20 years ago if you are the biggest company, you have the biggest clients list and you can produce cheaper products, but now we need more than just big. We cannot stand still, we must change. Indonesia and Vietnam enjoy most of the growth in the beverage industry as their population also keeps increasing (according to data in Indonesia every year more than 4 millions baby born), while other countries must offer value added to their beverage products.

with pure ingredients, reducing sugars, fats and sodium, steering away from other additives and we must clearly mention it on the labelling of the product. Everyone concentrated on this features, so you must make a difference, such as the drink makes the customers in a journey, for example real juice from India makes their mocktail of Pina Colada like a real Pina Colada Cocktail and you are in the beach on all their advertisement. â&#x20AC;˘ Safety, Trust and Sustainability Usually safety and trust belong to a steady brand. Customers want to know where the sourcing of the product, such as mineral water from the mountain or else. Are all materials sustainable ?

FIVE TRENDS FROM BEVERAGES NOW â&#x20AC;˘ Health and Nutrition It means we are replacing artificial colors, flavors, and preservatives 35

• Taste Experiences The drink makes a memorable experience and feel difference. Of course, it will require innovation, such as what Pina Colada from Real Juice (Dabur group India). Another experience could be Authentic Cultural Flavors (such as rasa Jamu for Indonesia). New Flavor and Trend will always give opportunities to success. For example Starbucks brings their favorite drinks on the Café to their ready to drink. • Supply Chain Simplification Beside making new products to suit customer’s taste and expectation, we also have reduced production cost as well as simplified supply chain. For example Carlsberg with their suppliers work together to make innovation on the pack by just a glue eliminate the need of outer packaging. • Digital Transformation In the era digital we must transform every process in digital and we must optimize process to save cost with automation

to avoid human error. In the next 5-10 years later our competitors may not become our competitors anymore.

July 2019, Tuti Buntaran Source: MRS.WANNIPA BHAKDIBUTR President of OSOTSPA and President of Energy Drink Manufacturing Ass. 36

INDONESIA BEVERAGE INDUSTRY In 2016, total soft drinks sales were close 25.8 billion liters, accounting to IDR 123.59 trillion (USD 8.8 billion). Soft drinks industry growth in Indonesia is about 8-9 percent annually, with ready-to-drink coffee and bottled water at the top spots. In the food sector, there is a strong demand for products, such as packaged foods, fruits, vegetables, seafood, gourmet foods, and canned foods. The market for canned and packaged foods has grown significantly with most consumers prefer the convenience of package and ready to serve foods and beverages. This growth is expected to continue in 2018 and beyond. We can also see a demand for certain new products, such as individually packed snacks in flexible containers, single served coffee or tea, breakfast cereals, etc. The ever changing urban lifestyle will continue to shape the food and beverages in Indonesia.

Currently, Indonesia requires a wide array of raw materials for its food processing industry. Thus, this demand is opening up significant opportunities for ingredient suppliers from all over the world, especially neighboring countries. The food processing industry continues to grow and will continue to grip the great potential for foreign investors. For a full year in 2018, Industry Ministry of Indonesia set IDR 53.18 trillion (approx. USD 3.9 billion) for investment goal for the national food sector and IDR 10.07 trillion (approx. USD 735 million) for investment for the beverage industry. Therefore, total direct investment in the food and beverage industry in Indonesia has a very positive outlook at IDR 63.25 trillion (USD 4.6 billion). July 2019, Tuti Buntaran 37

ADVANCED TECHNOLOGY OF THE ITALIAN FOOD PROCESSING MACHINES FOR INDONESIA INDUSTRY 26 June 2019, Dharmawangsa Hotel-Jakarta

Italian Trade Agency (ITA) Trade Promotion Office of the Italian Embassy in Jakarta, in collaboration with Indonesian Association of Food and Beverage (GAPMMI) and the Indonesian Packaging Federation (IPF) supported by SACE (Italian Export Credit Agency) and Bank Rakyat Indonesia (BRI) held one day workshop on “Advanced Technology of the Italian Food Processing Machines for Indonesian Industry” on June 26th, 2019.

The opening speeches given by the Organizing committee, Italian Trade Agency’s Trade Commissioner - Dr. Alessandro Liberatori. He thanks Mr Adhi Lukman for sharing what type of technology to be focused on this seminar. F&B cannot be separated from packaging, therefore he also thanks IPF for the collaboration for this event, as well as thanks to the Italian Ambassador and the Director General Agro of Minister of Industry.

This one day workshop is aimed to support the Indonesian manufacturing industries that have being prioritized to increase the country’s export in the food and beverage processing sector. Therefore, this workshop will give a complete round-up on profiles of the leading Italian advanced technology and innovative solutions that are suitable for both SMEs and Large Enterprises to over 100 local invitees, dealing in the food and beverage manufacturing and packaging industries.

The Italian food processing machinery sector consists of 2100 companies, while Italian export of processing machines to Indonesia recorded 26 million euro in 2017 an increase to 30 million euro in 2018 (15.4% increase). This figure shows that the demand is increased double digit, therefore on that special occasion, Dr. Antonio Passarelli of ANIMA/Assofoodtec (Italian Association of Food Processing Machinery Producers) gave a highlight on the Italian food and beverage machineries’ profile,

followed by technological presentations of eight leading Italian companies on the sector such as: • Arol S.p.A. (www.arol. com) Capping and packaging inspection system • Bertocchi S.r.l. (www.bertocchi.com) • F&V, tomato processing machinery • Bonfiglioli Engineering S.r.L. (www. bonfiglioliengineering. com) leak detention machinery • John Bean Technologies S.p.A. (www.jbtc.com) food processing and packaging machines • Rama S.r.L. (www.rama-web.com) packaging machines • Tecnovac S.r.L. (www.tecnovac.com) filling and packaging machinery • Tropical Food Machinery S.r.L. (www.tropicalfood.net) fruit processing machinery • Zilli & Bellini S.r.L. (www.zilli-bellini.com) filling and capping machinery

balance is still low and hopefully this event will increase the value. Dr. Abdul Rochim also noted that industry 4.0 is very important for manufacturing sector. The implementation of industry 4.0 will not succeed without food processing and cyber industry.

Then Dr. Abdul Rochim, the Director General Agro gave us some figures on the Indonesian economic view, especially related to F&B as well as trade balance with Italy. F&B has 31.6% of non oil & gas of Indonesian GDP (or 6.35% from National DGP). He appreciated ITA for holding this event and expected our trade balance will increase. Indonesia and Italy had 73 years of diplomatic relation, but our trade

Afterwards Mr. Adhi Lukman encouraged us with the info that Indonesia is now already in the one trillion US$ club (no 16 in the world). Our GDP growth over 5% and the spending of Indonesian in average 50% for F&B and 34% of F&B is a processing food which is our industry. There are 60 million SME and only about 6.000 Big and Medium Enterprises. Investment 39

in food and beverage reached Rp 64 trillion (US$4.5 billion) in 2018 while from Italy only US$ 32 million (rank 34). Indonesian and Italian business people signed trade contracts worth US$41.6 million during the 2018 Trade Expo Indonesia from Oct. 24 to 28 at the Indonesian Convention Expo (ICE) hall in Tangerang, mainly in Furniture and Paper which assure us that there will be tremendous increase in the future, especially Indonesia competitiveness has increased from 43 become 32 in 2019. Therefore, SACE is also ready to support Indonesian companies, who is willing to make investment with Italian products. The presentations close with Italian buffet lunch, followed by giving opportunities to Indonesian companies to have B2B meetings with the Italian representatives which, we believe it could be very beneficial in order to find technological solutions for

Indonesian industry or to discuss and develop new project ideas at International level. My thanks to ITA for the invitation to participate in this event. It is very good information on food processing equipment from Italy as well as indeed a very good networking. I got the info about financing from SACE and BRI, which I could forward to all SME in contact with us. In this event I met with Big Multinational as well as SME Bravo to GAPMI for the arrangement. And for myself I met two ladies, who are interested to contribute to my CSR (both vocational shool education in rural as well as helping SME to get the right economic packaging) and last but not least to beautiful Mrs. Kristina, who arranged the photographer for this event (the photo I used in this article as well as some private beautiful photos) July 2019, Tuti Buntaran

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FOOD & BEVERAGE INDUSTRY PROJECTED TO GROW AT 9%

THE INDONESIAN MINISTRY OF INDUSTRY has predicted a growth of at least 9% for the country’s food and beverage industry this year. The industry was also identified by Hartarto as the fifth ranked highest growing industrial sector in 2018 at 7.91% growth. behind machinery and equipment (9.49%). leather and footwear (9.42%). base metal (8.99%) and textile and textile products (8.73%). Minister Airlangga Hartarto said in a statement that the government had projected that investment in food and beverage would reach Rp 63 trillion (US$4.48 billion) in 2019, while investment in footwear is projected at Rp 2.8 trillion and investment in textile and textile products is expected to reach Rp 14 trillion, nearly double last year’s figure. He said the government would continue 42

to boost non-oil and gas exports this year, which was recorded at $130 billion in 2018. “In 2018, the contribution [of non-oil and gas exports] reached 72.25 percent. The manufacturing industry is always the largest contributor,” Airlangga said as quoted by Antara, adding that investment in the manufacturing industry had continued to grow significantly. In 2014, investment in the sector reached Rp 195.74 trillion, then increased to Rp 222.3 trillion in 2018. This increase in investment created 18.25 million jobs, which contributed 14.72% to total national employment. The ministry is aiming for 5.4% growth in the manufacturing industry along 2019. The growth is expected to be supported by food and beverage, machinery, textile industry, leather industry,

leather goods, footwear, the metal goods industry, and computer and electronic goods. Direct investment in Indonesia’s food and drinks industry is dominated by domestic investors. If we take a look at the data from the Indonesia Investment Coordinating Board (BKPM), then we see that 60% of total direct investment in this industry originated from Indonesian investors. Though actually many foreign investors interested to invest in Indonesia. However, they are often scared off by regulations that are regarded unconducive. Among the top concerns of foreign investors are the availability of quality human resources and the availability of raw materials. Haris Munandar, Industry Ministry Secretary General, added that it are particularly several big local instant noodles and palm oilbased product manufacturers, all owned by Indonesian investors, that dominate the food and beverage industry of Indonesia. Moreover, these giants are always eager to expand their business by adding more production lines or enlarge production capacity in line with growing demand from the Indonesian consumer.

Meanwhile, most of the foreign food and drinks players who invest in Indonesia are big as well but usually they set up one production line in Indonesia, hence their facilities in Indonesia become part of an international production chain. Regarding the soft drinks market, it is interesting to monitor whether there will be a rebound in 2018. Triyono Prijosoesilo, Chairman of the Association of Indonesian Soft Drink Producers (Asrim), said Indonesia’s soft drink sales had actually contracted in 2017 with the sales volume sliding by 1% year-on-year. It was the first time during his period as chairman that Indonesia’s soft drinks sales declined. He attributed the contraction to Indonesia’s bleak purchasing power, especially among the middle to lower class who account for about 40% of total demand in the nation’s soft drinks industry. 43

MORRISONS THE FIRST SUPERMARKET BAN FRUIT PLASTIC PACKAGING

Morrisons is to become the first British supermarket to roll-out plastic free fruit and veg areas in many of its stores

THE COMPANY said customers would be able to choose from up to 127 varieties of fruit and veg in many of its stores, buying them loose or putting them in recyclable paper bags. However, there will continue to be a neighbouring section where customers can still buy packaged veg, if they choose. The move follows a ten month trial in three English stores where the amount of loose fruit and veg bought by customers increased by an average of 40%. 44

The new “buy bagless” fruit and veg shelves are expected to result in a similar switch from bagged to loose saving an estimated three tonnes of plastic a week. Drew Kirk, director of fruit and veg at Morrisons, said: “Many of our customers would like the option of buying their fruit and veg loose. “So we’re creating an area of our greengrocery with no plastic where they can pick as much or as little as they like. We’re going back to using

either take them through the checkout loose or bag them in Morrisons recyclable paper bags. The loose fruit and veg areas will be rolled out in 60 Morrisons stores during the course of the year. They will then continue to be introduced as part of the supermarketâ&#x20AC;&#x2122;s ongoing store refurbishment programme nationwide. Upmarket chain Waitrose removed all plastic bags from its stores earlier this year. A home compostable alternative is used for fruit and vegetable plastic bags.

traditional greengrocery and we hope customers appreciate the choice.â&#x20AC;? Retailers are under increased pressure from consumers to reduce the amount of packaging they use amid concern for the environment and the amount of plastic being found in the worldâ&#x20AC;&#x2122;s oceans. When Morrisons customers buy loose fruit and veg, they can

Last year, the supermarket announced it would remove all disposable paper cups from its stores as a pledge to help the environment. And earlier this year Tesco began a trial to remove a selection of plastic-wrapped fruit and vegetables, removing plastic packaging from 45 foods where loose alternatives are available. The items include apples, onions, mushrooms, peppers, bananas and avocados. The development comes after Tesco announced last year that it would ban hard to recycle plastic packaging by 2019 and make all packaging fully recyclable by 2025.

by Angus Howarth

HALAL FOOD & BEVERAGE MARKET

THE GLOBAL HALAL FOOD & BEVERAGE MARKET size was valued at USD 436.8 billion in 2016. Halal, in the present time, has turned out to be a universal conception that covers the entire concept of fresh, clean, and healthier production as well as services of food. This is completely contradictory to the traditional notion, which was restricted to only slaughtering of animals according to Islamic law or merely free from swine & alcohol. It is no more a mere religious obligation but has moved beyond that to become a standard of choice for both Muslims and non-Muslims. The shift in consumer perceptions regarding such products offers 46

strong opportunities for a substantially rapid growth of the global halal food industry in the next eight years. The worldwide Muslim population has grown from around 1.57 billion in 2009 to over 2.10 billion in 2016 which is projected to grow even faster over the forecast period. According to State of the â&#x20AC;&#x153;Global Islamic Economyâ&#x20AC;?, the Muslim consumer spending across halal food & lifestyle in 2014 was reported to be worth USD 1.8 trillion which is anticipated to increase to USD 2.6 trillion by 2020. These figures show an excellently potential growth for halal food products and even services categories of the industry.

With a large, diverse, and educated consumer base of approximately 1.7 million predominantly young Muslims globally, which is growing at nearly double the rate of the world population, the Islamic economy can be considered as one of the fastest growing sects globally. The primary concern for the manufacturers is to determine the specific standard that is likely to offer them the best possible access to a target market. Also, these companies have to constantly update various certifications to optimize the trade process at several instances where these become mandatory for exports. Nevertheless, leading organizations for

halal standardization and accreditation have been taking steps to harmonize the standards. Despite these uncertainties in the regulatory agenda prevailing in the present industry scenario, this sector remains vibrant and is expected to be an interesting area for innovation. Hence, this sector is expected to become a major source of growth in both Islamic and even non-Islamic economies. According to The Organization of Islamic Cooperation (OIC), meat products have been considered as the most preferred diet of Muslims. Around 75% of Muslim population in the U.S. and over 84% in France consume halal meat daily apart from the other dietary products. Asia Pacific was the largest regional market

in 2016 with revenue estimates of over USD 208.1 billion. This is mainly because of the fact that it accounts for the largest Muslim population in the world. Around 63% of the global Muslim population resides in this region. Indonesia, Pakistan, India, Bangladesh, Myanmar, Morocco are some of the Asia Pacific countries with the largest Muslim population in the world. Hence, feeding this vast community in Asia Pacific has led to the substantial size of the halal food market which in fact is the largest in the world. Middle East and Africa, home to over 327 million Muslims

and is another growing halal food consumer region and providing potential opportunities for importers. The increasing population and rising consumer cognizance towards Islamic lifestyle and food specially in the Middle East is a major factor driving the industry growth. The global halal food industry is a fragmented market with several companies such as NestlĂŠ, Kellogg, Glanbia Cheese Ltd, Guenther Bakeries UK Ltd, Kelloggâ&#x20AC;&#x2122;s Supply Services (Europe) Ltd, Royal Unibrew A/S, Coco Cola etc. operating in multiple geographies. NestlĂŠ solely constitute around 35% of the overall industry revenue.

Corrugated Industry

ASIAN CORRUGATED INDUSTRY SUMMIT 2019 27th August, 2019 â&#x20AC;&#x201C; Wuhan, China

Asian Corrugated Industry Summit 2019 will feature the latest development in material, production and technologies in corrugated carton industry and insights of the latest market and consumer trends, technology developments and most importantly-how you can stay ahead of your competition and at the forefront of innovation Gathering more than 100 corrugated packaging professionals from 7 countries/ regions in Asia, networking with decision makers from corrugated packaging companies, build up top highly targeted industry connections from the industry. 50

The program delivered by over 10 international speakers and quality improvement experts, with bringing together practical experiences, studies and skills sets from all over the world. The even start with the welcoming and opening speech by ACCA President, Mr. Xu Xiaoguang. Then I sstart my presentation for the Corrugated Industry 2020. The corrugated industry has started its evolution the last few years, it is not a just brown box only (ready the article from Brown Box to Multicolor on my previous article based on the FTA

New Orleans conference). RSC from 51% in the 1990s has drop its share just to 39% while Diecutted box up from 30% in the 1990s t 49% - it happened because a lot of consumer goods has used automation machine which required Diecuted boxes. While 2 colors jobs and more has up from 17% to 31%. Therefore in 2017 non printed only 26%, while Flexo Post Print has reach 65% add on with Preprint 5% and offset 3%. Digital still less than 1% but growing fast. At present the Packaging trends dominated by sustainability action, largely fueled by rising anti-plastic sentiment. “Despite plastics impressive success in the packaging world, it has been poorly portrayed in the media for the damage it has caused to wildlife and human seafood supply chains, in addition to its poor global recycling record (6.9 billion tons of plastics waste – including packaging – has been produced since the 1950s). Therefore FMCGs and packaging suppliers will continue to explore material alternatives to plastics in 2019. Similar to what happened in all over other industries, our industry also effected by Millennial behavior, which is quite good as they willing to spend more money on Quality Products, they are buying a lifestyle – not just a product – therefore this is our chance to create packaging that can cater their need – their lifestyle.

E-commerce is a fantastic opportunity for corrugated industry as it represents 80% of demand in e-commerce. Worldwide e-commerce growth annually 14% while in Europe 20% and even higher in South East Asia. Asia leads the world in total corrugated production and shipments, with more than 120 billion square meters produced in 2017, or 52.8% of the market. We must provide a customizable packaging solution to enable to reduce packaging size and associated costs, including void fill, storage, shipping and administration and cater with the speed e commerce need. To cater with millennial life style and to provie a new experience in the e commerce business, the new trend is Unboxing the Box – give an exciting experience to the customers when they open the box they received. For example (1) Mpix – photo retailer cooperate with Matthew Packaging also has a huge success with their new boxes and (2) Jenni;s Ice Cream whom very smartly giving an exciting Unbox to their customers.

In this Digital world, I am suggested that the corrugated company also provide apps of their company, so customer easy to reach them, checking what material is available, status of the job, etc. The production has to be more automation and having a good and flexible system with the right scheduling system. Even the logistic in factory now the trend is automation. With automation you can increare quality of the product and reducting waste with less operation team as well. Digital Printing is a must for complementary to existing Flexo Post Print. Digital Printing a good solution : 1. Milenial who want to get a product suit their lifestyle 2. SME with very small volume 3. Seasonal products of Brand Owner 52

Mondelez has been very success with thei seasonal products print with personalization and digital printing. Mr Patrick Poitevin from Mondelez Spain giving a very good statement (in Digital Printing Europe Berlin December 2018) about digital printing “Do not count for what digital printing can not do, BUT concentrate on WHAT DIGITAL PRINTING can do for you – makes your products sell better – makes yur producs sell more expensive – make your brand image better” Mondelez also provide special Oreo for Once single day sale in China.

As peresonalization and Digital is new thing – make sure you have the right partner for your production (a message to Brand Owner, while for Printer – make sure that you can provide all best solution for your customer, otherwise you must collaborate or acquired the necessary equipments and expert). Afterward Varna making a report on the Corrugated Trend in Asia (will cover on the next issue) follow by other speaker form BHS, Fosber, Eterna giving us a view of their automation machineries, while Mr Hu Kjie from Cainiao (cainiao.com) giving a very interesting view of what e-commerce (Alibaba) need from the corrugated manufacturer. He express that e-commerce logistic is looking forward for an advice, solusion, innovation on how corrugated manufacturer can collaborate with e-commerce for a win-win situation. For the china single day sale – they need more than 100 x of daily boxes. Seeing the number is so amazing as well as stressfull (isn’t ?) Mr. Pornchai V. Sakulchai - President of TPPIA presented good datas on the paper for corrugated. Asia is the largest market accounting for 48.4% of world paper & board consumption

in 2017. Asia is forecast to grow packaging consumption at the fastest rate, led by China and India. Growth prospects vary among segments: (+) Growing demand: higher disposable income in emerging economies elevates consumption of FMCG and packaging (+) Packaging Papers: aggregate demand growth likely to stay below GDP. (+) Innovation opportunities : e-commerce, product safety, anticounterfeiting measures (-) Graphic Papers : continue machine conversions into packaging and specialty papers. More than half of the world population lives now in urban areas, and by 2050 it is expected that the proportion will increase to two-thirds. • E-commerce has become part of urban lifestyle and has a positive impact on packaging market. • Over 1.92 billion people estimated to shop online in the year 2019. • Global e-commerce sales grew by over 18% in the year 2018. • The value of packaging demand in e-commerce channel was $28 billion in 2017, and will be more than double by 2023. • Over 75% of packaging demand is for corrugated cartons.

Packaging Trends • Smaller boxes, more customized and configurations • Lightweight packaging with no compromise in performance • New structural and performance designs • Provide brand differentiation and value to consumer • Packaging solutions that can protect, transport and sell during handling and logistics • Less raw material used • Recycled-content requirements • Elimination of toxic materials • Reduce packaging waste • Easier to process in recycling • Disposability at the end of life • Biodegradable and compostable Digitization is the main driver of the next industrial revolution. • Everything that can be digitalized will be digitalized. 54

In Summary • Megatrends seem to be a long-term issue, but the implications and the effects can be very short-term. • All these trends are global and thereby offering huge opportunities and potentials. • Innovation and integrated collaboration across the value chain will drive the competitiveness of the industry. • Sustainability is the key for future development. The following day we have the opportunity to visit 2 big group corrugated plants. 1. Hubei Hexing Packaging Printing Co.,Ltd, and 2. Hubei Shengda Packaging Printing Co.,Ltd.

ETERNA LEAD EDGE FEEDER

DIECUTTING SECTION

Allows consistent and precise feeding of wide range corrugated board with various board quality. Unique polyurethane wheel surface with grid lifter and air cushion ensures smooth feeding of wrap boards with consistency and register accuracy. Front gauge position back and forth adjustable to accommodate variation in gripper margin according to the job specification. Fine vacuum suction adjustment through invertor adapts to wide range of stock thickness from F flute to double wall.

Safety door and diechase safety locking system to ensure safe operation. Complete lost sheet control throughout the entire machine. Centerline system compatible to Centerline II for quick change over and short set up time. Air cushion underneath the cutting plate for easy cutting plate floating in and out.

STRIPPING SECTION

DELIVERY SECTION

Heavy duty double action stripping system to ensure positive stripping. Centerline system compatible to Centerline II for quick stripping die set up. Motorized upper frame suspending hoister. Quick lock stripping pins used for quick set up of simple stripping work.

Front, back and side joggers to ensure neat stacking. Non-stop delivery ensures continous productivity. Batch counter output.

Packaging Solution

Website: www.tosijasindo.com 55 Email: info@tosijasindo.com No telp: +62 21 75902725/26

ACCA’S 4TH MANAGEMENT COMMITTEE MEETING (2017–2019) WAS HELD IN @ GRAND PARK JIAYOU HOTEL SHANGHAI, CHINA ON 7TH APRIL 2019 ACCA PRESIDENT CUM CHAIRMAN OF MEETING welcomed all the attendes and the ACCA Secretary read and confirmed Minutes of the ACCA’s 3rd Management Committee (2017-2019) Meeting held on 3rd September 2018 at Bangkok - Thailand, then we introduced our new 4 members, but only 2 new members attended the meeting. LOCAL CORRUGATED ACTIVITIES CHINA Mr. Zhang Yaoquan (CPF) presented China’s economy and the local corrugated industry. Overview of Paper Packaging Industry in China China’s paper packaging industry is outlined from three aspects. The first is the economic operation of China’s paper packaging industry in 2018. The 56

First Mr. Tran Trang Binh from Bien Hoa Packaging Joint Stock Company (Sovi) introduce himself and the organization follow with Mr. Kyaw Than from Silver Sea Carton Box Production Co., Ltd presented Myanmar market.

second is the situation and the challenges facing the industry. The third are thoughts on the future development direction of the packaging industry. Part I: Economic Operation of Chinaâ&#x20AC;&#x2122;s Paper Packaging Industry in 2018. In 2018, the paper and cardboard container industry had 2,391 enterprises above designated size (all industrial with main business no less than 20 million yuan), increased by 79 over the last year; rendering an accumulated business income of 291.105 billion yuan. In 2018, the national paper and cardboard container manufacturing industry achieved a total import and export volume of US$ 4.875 billion. An increase of 7.15% over the previous year. The cumulative output of box cardboard of the country was 11.74 million tons, with yearon-year growth of 6.70%. The cumulative nationwide output of paper products was 57,748,900 tons, with year-on-year growth of 2.42%. The national corrugated box industry achieved a total output of 27,334,600 tons, with year-on-year decrease of 3.99%. Part II: Situation and Challenges Facing the Industry The year 2018 was not easy. The current economic situation is

the result of the long and shortterm as well as internal and external factors. The Chinese economy is shifting from a highspeed growth stage to a highquality development stage, and the external environment has undergone profound changes. Some policy effects need to be further released. Now a modern packaging industry system has been basically established. In recent years, although the paper packaging industry has maintained sustained growth, they are facing various challenges, such as rising costs, green environmental protection, transformation and upgrading with the global economic downturn, the doubled increased pressure of environmental protection, the overall fluctuation of paper prices and the intensification of market competition. The momentum of small profits has not decreased. We believe that the current main reason is that the overall consumption of packaging materials has 57

decreased, and the situation that production exceeds sales has led to the formation of disorderly competition. • The first is shrinking in order and difficulties in cash flow. • The second is low price tender and unstable raw paper price. • The third is alternative solutions of paper packaging come out. • The fourth is that papermaking enterprises expanded downstream. Part III. Some Thoughts on the Future Development Direction of the Packaging Industry First of all, we must clearly understand that China’s economic and social development has a broad prospect, which is beyond doubt. At the same time, we still face many difficulties and challenges, and the task of innovation and development is very enormous. Great changes will surely take place in the hard process. What is more important is that we should return to the original intention of product packaging, position the development direction correctly, and solve the transformation from traditional packaging manufacturing industry to supporting packaging services. In the future of the packaging industry: The first is to scale up, 58

become bigger and stronger, and improve the overall strength; the second is to be personalized, to be specialized and to develop professional packaging services; the third is to do the whole chain of the industry, to do upstream and downstream, to do cooperation and to share winwin development; the fourth is to provide third-party services and platforms to form new formats for packaging. CHINESE TAIPEI Mr. Brendon presented Chinese Taipei region latest economy and its local corrugated industry. Economic Overview GDP will grow to 589.5 billion USD in 2018 from 574.9 in 2017 and estimated will grow to 595.2 Billion USD in 2019. While the yearly economic growth decline 2.63% in 2018 and will decline further 2.27% in 2019 which make the yearly growth in 2019 only 2.5%. Export value increase to 336 from 317 in 2017 while import also increase from 259 become 286. Labour cost keep increasing and reach US$ 1.685 in 2018. Corrugated Market Situation Total corrugated output keep

increase from 2016 (2022 milion sqm) 2017 (2082 million sqm) 2018 (2137 million sqm). Recovered Paper in Taiwan Area Consumption of recovered paper in 2018 reach 3,955,000 tons. Corrugated Industry Trend and Challenge 1. Digital Technologies In Manufacturing 2. To Absorb An Increase In Labor Costs 3. Concern For Higher Power Prices 4. Tougher Environmental Regulations HONG KONG Mr. Larry Szeto (HKCPMA) made a PowerPoint presentation on the update of the corrugatedindustry in the Guangdong, Hong Kong, Macao Greater Bay Area (GDHKMC or GBA). GBA Fast Facts: • Total Population: 68M • Area: 56000 square KM • Total GPD: USD1.4Trillion • GDP 12% of China Recent Event • China US Trade War » Impact to business » Many customers move or expanding to South East Asia • Government is trying to stimulate economy » Lowering of VAT from 16%->13% » Many tax cuts initiatives

Analysis • Volatile paper prices • Excessive Production Capacity • Slow market drives paper prices down: high stock levels • Local prices affected by Import Paper prices • Government continues to limit Imported OCC • Paper mills’ profits is under pressure MALAYSIA Mr. Lee Poh Chuan (MACCMA) presented the PowerPoint slides on the update of Malaysia’s corrugated industry. The Malaysian economy advanced 4.7 percent yearon-year in the fourth quarter of 2018, following a 4.4 percent expansion in the previous three month period and matching market expectations. It was the strongest growth rate since the first quarter of the year, as net external demand contributed positively to GDP growth, while private consumption, government spending, and investment slowed. For 2018 as a whole, the economy grew 4.7 percent, compared to a 5.9 percent expansion in 2017. Malaysia’s consumer prices fell 0.7 percent year-on-year in January 2019, after a 0.2 percent rise in the previous month and compared to market consensus 59

of a 0.2 percent drop. It was the first decline in consumer prices since November 2009, mainly due to a slump in cost of transport on cheaper fuel. Also, prices decreased for miscellaneous, communication, recreation and culture while they rose faster for food products. Wages in Manufacturing in Malaysia decreased to 3575 MYR/Month in November from 3625 MYR/Month in October of 2018. The last 6 months Ringgit has dropped 4% against US$. Average paper price since last October down 15-18% Economic Developments & Challenges • Lingering unresolved USChina trade disputes slowing global economic growth. • Proposed EU ban on palm oil-based biofuels may have adverse impact to Malaysian economy. INDONESIA Mr. Jeffrey Tan (PICCI) presented the update of Indonesia’s economy and its corrugated industry. Since 2016 Indonesia yearly growth in 5% and expected this year will be 5.4% while inflation will go down

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Increase in new corrugating capacity exceeding shortmid term market growth in Malaysia. New paper mill investments from China expected to widen choice of materials for the corrugated industry. Increasing labour cost continues to add pressure with recent adjustment of minimum wages by 10% up.

SINGAPORE Mr. Phua Thye Hin (CBMA) presented the PowerPoint slides on the update of Singapore’s corrugated industry. The Singapore GDP economy expanded by 3.2% in 2018, slower then the growth of 3.9% in 2017 amid growing protectionist tension around the world. 2019’s growth forecast at 1.5% -2.5%, growth expected to come

to 3.2%. And corrugated production also growth even more than GDP. Paper price on the first quarter 2019 down to USD 470 for medium and US$ 510 for testliner. Domestic OCC also down to US$ 160.

at mid-point at 2% headwind includes Brexit, slow down the major economies of USA, EU and China. Non-oil Domestic Exports (NODX) was very erratic in 2018. It declined 10.1% in Jan19 from a year ago and on a month to month seasonally adjusted basis NODX declined 5.7% from Dec 2018. Both electronics and nonelectronics shown decline. Singapore’s manufacturing output increased some high single digit in first half 2018 and declining to low single digit in second half 2018. Overall, the average growth was 7.2 % over previous year. The main contributors were biomedical and transport engineering. In Januari 2019, it turned negative growth of 3.1%. The NORX trend line faired better. On a yearof-year basis, it rose by 7.2 % in

Industry Trends 1. Demand of corrugated boxes Q1/19 has been dropped quite significantly about 20%. 2. In 2018, paper mills have been enjoying good margin from high selling price of paper roll against low price of paper price. Paper mills have also exported to China and other countries in order to maintain “enough” supply to domestic market.

Dec18 following the 9.3% in Nov 18, due to the increase in both electronic and non-electronic NORX. On a 3 months moving average, the NORX shown high double digit growth. Corrugated Demand 2018 = 95,000Tons, 2019 F= 98,000ons THAILAND Khun Varna Sudasna (TCG) presented her PDF slides on the update of Thailand’s corrugated industry. Thailand’s Economic Situation -> H1/2019: Thai economy in H1/2019 will grew by +3.83.9%, attributed mainly to an acceleration of private

3. However, in Q1/19 Paper mills has started to drop the price due to lower demand but still enjoy good margin. 4. Issue of the Indonesia goverment would apply strict control of imported waste paper in 2019. 5. Expansion from few paper mills, will give additional capacity of medium & test liner in 2019. One paper machine is expected to run production mid of 2019 with 20.000 TPM capacity. 61

consumption especially durable goods continued to expand and private investment also grew. Meanwhile external demand continued to slow down affect low export. -> H2/2019: GDP 2019 is forecasted to grow by 3.63.8%: Risks to growth of the Thai economy include uncertainties surrounding trade war; could be additional affected through merchandise exports channel. Food and Beverage FFH1/2019 Domestic demand remained stable Most producers stimulated market by new products launch and marketing campaigns. Meanwhile, export continued to grow especially from frozen chicken and Canned Tuna after the EU remove the yellow flag, . Export increase from world economic recovery (+) Food: Export of frozen chicken and canned tuna are the key driver food industry. (-) Beverage: Seasonal low demand during rainy season; producers plan to launch new products. Challenges: New levy of Sugar tax on 1 Oct 2019 Electrical Appliance Overall demand stemmed from Asia Pacific and MiddleEast region while subsidiaries of MNCs tried to capture production planning from their Headquarters; mainly from 62

subsidiaries of Chinese and Japanese headquarters. Positive outlook for export market (+) Air conditioner : Risen demand thanks to export to Asia Pacific and Middle-East. (-) Washing m/c: Slowdown demand in US resulting in manufacturing relocation. (+) Refrigerator : Strong export from Asia and Middle-east countries while stable in domestic Challenges: US government policy and effects from Thai Election. Consumers products Both personal (family) and home care were projected to grow at 3-5% due hugely from exporting markets and OEM from parent companies while domestic demand slightly improved even aggressively promotional campaigns. MNC manufacturers still considered Thailand as a hub of region (+) Skin / Hair care: Stimulate demand in Asia Oceania region. (+) Diapers and Convenience products: New products offered to serve changing lifestyle and online channel. Challenges: More wary of consumer spending. Movement LG increase capacity in existing plant from 1 million pcs to 1.3 million pcs in 2019. CPF invested

2 greenfield plant to increase capacity serving high domestic and export market. Unicharm Corporation has signed an agreement for it to acquire entire shares of DSG to drive growth in the Southeast Asia region Corrugated Industry Challenge and trend in THAILAND • Intense Legistration and Labor shortage Trends • Sustainability (Lightweighting) • Brand owner have more concern and growing demand on Circular Economy / sustainable packaging solutions >>> Positive for Paper Packaging

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Digital Printing Advancements

Environments Issue : 3R Reduce Reuse Recyle. Recycle : more design in corrugated. In the evening we have dinner for gift exchange and during this event REED alos giving award to their World Corrugated Award which they held by themselves the event.

THIS YEAR, SINOCORRUGATED 2019 is held currently with SinoFoldingCarton 2019, PACKCON 2019, SinoFlexPack 2019 and SinoPaper 2019, forming a grand 5 in 1 event with a massive area of nearly 110,000sqm, 1,100 leading industry brands attended this event with about 1,800 high-end and cost effective manufacturing equipment and consumables. The four day exhibition attracted a total of 89,248 trade visitors from home and abroad and gained strong support from over 200 domestic and foreign associations and media partners. All these achievements have set historical records.

There were 40 concurent events such as “2019 Sino Corrugated Development Forum”, “Training week of China carton industry”, “China Papermaking Industry Summit 2019”, “China Express Green Package Industry Alliance Meeting” were carried out at the same time with this exhibition. This year’s exhibition continued the Dream Factory series: SinoCorrugated Dream Factory and SinoFoldingCarton Dream Factory brought back the mass production mode of the standardized production workshop of printing and packaging enterprises and demonstrated the development trend of intelligent packaging industry.

These on site events and exhibition areas provided professionals with important training, unique networking, innovative customer experience and business opportunities. During the exhibition I also met some corrugated company as well as ACCI and flexible players (due to very limited numbers), I had been informed that due to the increase of paper price, corrugated plant got a huge profits, therefore since the last 2 years they only proceed with the very high end machineries, such as for corrugated machines Mitsubishi and BHS only and on the printing machines only Mitsubishi and Bobst. They told me a Mitsubishi printing

machine can produce up to 2.500 tons a month. SinoCorrugated 2019, SinoFoldingCarton 2019, PACKCON 2019, SinoFlexPack 2019, and SinoPaper 2019 have come to a successful end. This great event can never be successfully held without your constant support and attention. SinoCorrugated 2019 welcomed totalling 49,310 visitors in four days. SinoFoldingCarton 2019 and SinoPaper 2019 attracted totalling 25,696 visitors in four days. SinoFlexPack 2019 welcomed totalling 3,493 visitors in four days. PACKCON 2019 welcomed totalling 10,749 visitors in four days. July 2019, Tuti Buntaran 65

CONPRINTA HYBRID DIGITAL-ANALOGUE PREPRINT PRESS CONPRINTA, a market leader in industrial preprint is complementing digital preprint technology to meet industry demands perfectly. The advantage of digital print are quite interesting for the corrugated industry as they fulfill the desire of economical short runs and higher end graphics. Nonetheless, the corrugated industry seeks low cost production and effectiveness. As a matter of fact, digital ink costs for boxes with extensive color coverage are much higher than like for like ink costs of conventional flexographic printing ink for the same color coverage.

characterized by its unparalleled printing format and the minimization of the machine setup efforts. This is achieved by means of CONPRINTA’s patented printing “belt” which, in lieu of a cylinder or sleeve, acts as permanent carrier of the flexographic printing plates. The belt is looped around the print cylinder and a tension roller is precisely guided on both sides by so-called “sprocket pin” wheels (see graphic).

The CONPRINTA Technology is unique amongst all analogue preprinting alternatives 67

Working with belts enables the CONPRINTA system to produce even shortest print jobs at low cost as it avoids the upfront investment for a cylinder/sleeve inventory that would otherwise be required for most commonly known analogue presses. The CONPRINTA system is an inline system where the number of printing units is tailored by customer demand. The printing plates remain on their belts which eliminates the need for remounting of plates to cylinder/sleeve prior to job reprinting. The lightweight belts can be moved with ease to their respective place of use, even large format printing images (2.8 m wide by 4.5 m length).

Unproductive efforts in-house logistics in regard to moving & storing bulky and sensitive tooling are avoided. By integrating Industry proven digital technology using CMYK waterbased inks the result is a real inline CONPRINTA Hybrid System. Combining analogue and digital print in a designated press enables highest quality preprint. CONPRINTA offers innovative technology and software for true â&#x20AC;&#x153;Preprint on Demandâ&#x20AC;?, an economical process solution that supports maximum flexibility. The machines are available in multiple widths.

Future outlook for hybrid printing is very promising. In the high print resolution area of an image, digital print has advantages over classic analogue flexographic print. Analogue flexographic printing outscores digital in terms of

quality and costs when it comes to larger spot color coverage. At CONPRINTA, we define the benchmark when it comes to cost effective and highly flexible on demand graphic box production. CONPRINTA the market leader in Hybrid Preprint.

info@tosijasindo.com +62 21 75902726 www.tosijasindo.com

SMS C300 is a modified tapioca starch product, applied in a corrugated board adhesive formulations. SMS C300 is suitable for use on single facer and double backer for all types of corrugated board and glue kitchen

Easily Dissolved character as peak viscosity during dissolution is low Stable Viscosity gives a more consistent operate on the machine and a better board quality Good Water Retention which leads to better bonding strength Less Consumption Less Consumption of glue due to better distribution allowing good bond strength with less glue.

Packaging Solution

Website: www.tosijasindo.com Email: info@tosijasindo.com No telp: +62 21 75902725/26

FUMA MACHINERY LIMITED 16/F Kingsfield Centre, 18 Shell Street, North Point, Hong Kong Tel : (852) 2887 1020; Fax : (852) 2887 1099 Email: sales@fumamac.com

www.tosijasindo.com info@tosijasindo.com +62 21 75902725/26

A reliable system which give you excellent returns of investment

Robotic Arm

Key Features: • ABB IRB660 state of art robotic arm • Fast-short cycle time • Easy to integrate with several stitching or FFG • Better palletizing • Automatic adjustment for different speeds • Highly intelligent and easy to operate • Increase in production speeds • Easy and safe to install

Fully Automatic PE T6 Tying Machine

Key Features: • High saving in using PP tape • High efficiency and reliability performance • Easy, safe to operate • Easy to maintain • Fast-short cycle time • Easy to integrate with semi or fully automatic FFG and stitching machines

ANDES 2800MM AND 2200 PREFACE: Continuing the success of Xiexing Packaging Company in Chongqing using the Andes 2800mm double level dry end equipment in 2017 ( the first ever China made 2800mm double level dry end equipment), Andes has signed another 6 complete set of 2800mm dry end equipment ( 4 set with BHS wet end and 2 set with GCL wet end). FORESIGHT: Andes is looking forward in April 2019 Shanghai Reed Exhibition to release 2nd generation of Proxima and Sirius series. Apart of achieving 400m/min speed, the 2nd generation offers more cutting edge technology and features and we are looking forward to share with you. Different heights have different effects. TECHNICAL PARAMETERS • Proxima Double Level Dry End Capacity. Able to handle 600 dry end order changes with production over 350000m2 in a 12 hours production. • Single Level Dry End Order Change Speed: 300m/min. • Double Level Dry End Order Change Speed: 260m/min.

Andes company 2800mm, 2500mm, 2200mm customer production field effectiveness DRY-END: ANDES 2800mm

• MULTI-FUNCTION ROTARY SHEAR

SLITTER/SCORER

WEB DIVERTER

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DOUBLE LEVEL CUTOFF KNIFE

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Liquid cooling servo motors with low inertia parts couple with common dc bus and energy feedback system that enables to save more than 25% of electric power. Self-developed state of art DCS control system with complete integration of electrical, electronic and mechanical manufacturing that truly complies with Industrial 4.0. Using EtherCat communication technique for logic, simple DRY-END CONTROL SYSTEM (DCS)

DOUBLE LEVEL DOWN-STACKER (ZIGZAG BUNDLE STACKING) PRODUCTION PROCESS CONTROL SYSTEM (OPTIONS)

ANDES Control Technology Co .,LTD ADD: No. 1, Jinshan Village, south of Xie Gang Town, Guangdong, Dongguan TEL: +86 769 87686998 FAX: +86 769 87683998 E-MAIL: andes_app@163.com WEBSITE: www.andes-world.com

PT TOSI JASINDO Packaging Solution TEL: +62 21 75902725/26 E-MAIL: info@tosijasindo.com WEBSITE: www.tosijasindo.com

Die Maker Equipments Die Board Cutting Stripping Tools Sample Making FIRST CUT merupakan produk diecut dan berbagai tooling untuk produksi corrugated (flatbed die cuter), folding carton, flexible circuit ataupun greeting card. Tim kami telah berpengalaman untuk memproduksi diecut dari berbagai macam folding boxes dan corrugated boxes. Pengalaman dari tim kami akan memastikan pembuatan produk yang berkualitas, biaya yang ekonomis dan efisien. Setiap proyek akan diteliti oleh tim berpengalaman kami dengan memperhatikan secara detail apa saja yang dibutuhkan agar produksi Anda menjadi lebih produktif dan lancar. Kami bersedia memberikan saran ataupun internal training di perusahaan anda jika dibutuhkan. Pengalaman dan skill tim kami dilengkapi dengan teknologi terbaru

dilengkapi dengan peralatan yang memadai: • Software khusus untuk kemasan • Laser cutting machines • Automated rule processing cutting • Automated bending machines • Sample Plotter Kami memiliki data base yang lengkap untuk memenuhi kebutuhan customer kami, baik corrugated (FEFCO) maupun folding carton/ECMA dan display boxes, Software khusus kami untuk kemasan dapat mempersiapkan gambar detail yang tepat dan efisiensi untuk memenuhi kebutuhan customer kami (sesuai dengan permintaan dari Brand Owner). Kami dapat membuat layout dengan otomatis baik untuk single atau multiple nesting yang memastikan efisiensi pada produksi dengan minimum

website: www.firstpackagingasia.com

waste. Software kami akan mengikuti kriteria dari material yang digunakan arah dari flute atau grain dari kertas dengan secara otomatis memilih arah yang dibutuhkan untuk produksi. Membuat design male, female, dan front edge strippers dengan tingkat keakuratan yang tepat. Stripping sistem yang didesain dengan menggunakan dynamic stripping system. Kami juga menyediakan jasa pembuatan Sample atau contoh untuk : Cartons Corrugated boxes Display boxes Labels Bags Flow wraps Peralatan Penunjang : • CAD system for cutting out cartons • Die cutting and creasing

email: fc.dies@gmail.com

Pack & Print Events 2019 •

INDIACORR EXPO 2019 05-07 September, India Expo Center, India

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PACK PRINT INTERNATIONAL 2019 18-21 September, BiTEC, Thailand

• PACK EXPO LAS VEGAS 23 - 25 September, USA • LABELEXPO EUROPE 2019 24-27 September, Brussels Expo, Belgia • FEFCO TECHNICAL SEMINAR 2019 9-11 October, Geneva, Switzerland • TAPPI-CORREXPO 2019 14 - 16 October, Colorado, USA • EURASIA PACKAGING ISTANBUL 23 - 26 October, Istanbul, Turkey • ALL PACK INDONESIA 2019 30 October - 02 November, JIExpo Kemayoran, Jakarta, Indonesia • INNOPACK WORLDWIDE FRANKFURT 05 - 07 November, Germany • PRINT PACK & EXPO DHAKA 07 - 10 November, Bangladesh, India • PACKAGING INNOVATION MADRID 13 - 14 November, Spain • PAPERWORLD CHINA 2019 22-24 November, Taiping Finance Tower-Shanghai, China • DIGITAL PRINT FOR PACKAGING EUROPE 02-04 December, Berlin, Germany • LABELEXPO ASIA 2019 03-06 December, SNIEC-Shanghai, China

DIRGAHAYU REPUBLIK INDONESIA 17 AGUSTUS 2019