More than 20 jobs are being created at a Tyneside family business that is helping to keep plastics out of UK landfills, on the back of a £4.2m funding deal.
Gateshead-based iPac produces recycled plastic packaging for the food and pharmaceutical industries, and the manufacturer is targeting a 50% rise in turnover after securing the finance package from HSBC UK. The company will use the funding to buy ‘thermoforming’ machinery and tooling, which molds and cools plastic sheets, which means it will be able to launch two new innovative product ranges – iZorb and MonoSKIN - as well as increase its overall productive capacity.
Both new products are 100% recyclable, helping to keep plastic out of landfills sites. The iZorb cuts out the need for unrecyclable soaker pads from fish and meat trays because of the absorbent texture of its base. MonoSKIN, meanwhile, has been designed to eliminate hard to recycle polyethylene film on packages. It has a polyester formulation which allows vacuum skin packaging to stick to a tray without the need for environmentally damaging lamination.
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Alongside the spend on new machinery, 21 jobs will be created, from warehouse and production operatives to quality control specialists.
Dean Allsopp, finance director of iPac, said: “In the UK, more than 350m trays per year have unrecyclable soaker pads in them. These go straight to landfill, are incinerated, or contaminate the plastic waste recycling stream. We’re excited to be changing this. Many people have the perception that plastic is bad for the environment. But if it’s created and recycled well, it’s an incredibly sustainable and durable product.
“HSBC understood our goals from the outset and have showed real enthusiasm as they help us to continue on our journey of rapid growth. We look forward to continuing to work together as we strive to make the UK thermoformed packaging sector more sustainable.”
Stuart McLaren, relationship director at HSBC UK, said: “The introduction of these fully recyclable packages to the food and pharmaceutical industries will make a considerable difference to the UK and it’s been great working with iPac to help to change this.”
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