Vic: ACI Glass Packaging set to invest $120 mln in Adelaide plan

AAP General News (Australia)
08-17-2000
Vic: ACI Glass Packaging set to invest $120 mln in Adelaide plan

MELBOURNE, Aug 17 AAP - ACI Glass Packaging is set to inject $120 million into its
Adelaide plant to boost its wine bottle production, the company announced today.

ACI Packaging chief executive Peter Robinson said booming wine exports to countries
such as the United Kingdom and the United States had largely prompted the move.

The plan, which involved the construction of a new furnace, was in the process of being
finalised and would turn Adelaide into the largest wine bottle producing centre in the
world, Mr Robinson said.

Construction of the new facility, which would begin early next year and was due to
be completed in the first quarter of 2002, would provide increased job opportunities directly
and indirectly, he said.

ACI and the South Australian government were currently discussing appropriate planning
approvals and government support opportunities.

"ACI was anticipating the Australian wine industry's needs as the industry continued
to grow its export markets," Mr Robinson said in a statement.

ACI had doubled its wine bottle production in the last five years and was now producing
700 million wine bottles a year, he added.

"Australian wine exports grew 36.4 per cent, reaching $1.35 billion in the last financial year.

"If growth continues at that rate, exports will reach $1.5 billion by the end of the
current financial year.

"This means that exported litres will increase from 287.6 million to 300 million this
year," he said.

The increased demand in the UK and US accounted for 70 per cent of the increased volume.

The UK now imports 140 million litres valued at $A590 million, while the US imports
50 million litres valued at $A317 million, Mr Robinson said.

He said the new facility would be installed at the Adelaide plant as over 70 per cent
of wine bottle filling in Australia took place within 400 kms in Adelaide.

"The ACI Adelaide plant will be equipped with the world's highest productivity wine
bottle production machinery developed by our parent company, Owens-Illinois," he said.

AAP st/gmw

KEYWORD: ACI

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