ORLANDO, FLA. - Tupperware Inc. plans to use local injection molders if it gets approval to set up a business in India, a new market for the Orlando-based producer of plastic housewares. Tupperware applied for approval from India's Foreign Investment Promotion Board to invest $5 million, including working capital, in a business in the Asian country, said spokeswoman Lawrie Platt Hall. She denied a July 3 Associated Press story that said the Indian government rejected a Tupperware plan to set up a $2 million plastics goods plant, reportedly because many companies there already make plastic containers.
``In our application we indicated our intent to outsource manufacturing,'' Hall said in a telephone interview. ``This will enhance small [local] manufacturers.''
Hall said the FIPB has not made a decision on Tupperware's proposal. She said Tupperware would proceed with its business plan in India ``immediately'' after approval.
Ansell buys medical glove business
MELBOURNE, AUSTRALIA - Australian company Ansell International has paid US$50 million for the medical glove business of United Kingdom-based Smith & Nephew plc.
Smith & Nephew's Perry Division is based in Massillon, Ohio.
Both Ansell and Perry are developing synthetic polymer gloves. Philip Brass, managing director of Melbourne-based Pacific Dunlop Ltd., Ansell's parent, said there are advantages in merging the two businesses.
Perry manufactures medical examination gloves that are distributed in North America, Canada and Europe. Perry has annual sales of US$65 million. Melbourne-based Ansell has 13 manufacturing facilities in Asia, North America and Europe. It markets medical and industrial gloves, and condoms in more than 100 countries. Ansell recorded sales of A$332 million (US$241.7 million) for the six months ended Dec. 31.
Owens-Croning opens facility in Spain
CAMARLES, SPAIN - Owens-Corning Fiberglas Corp. has opened its first plant in Spain to make large-diameter composites pipe.
Owens-Corning held June 27 dedication ceremonies at the plant in Camarles.
The plant in Spain, called Owens-Corning Tubs SA, makes glass-reinforced composite pipe for water and waste water. Owens-Corning's partners include Corsabe, a group of Spanish investors, which holds 30 percent, and Catalana d'Iniciatives, formed by the Spanish region of Catalonia, the city of Barcelona and other shareholders, which holds 20 percent. Owens-Corning owns the remaining 50 percent. The Camarles plant makes pipe ranging from 4 inches to 96 inches in diameter.
Japan questions its PVC pricing method
TOKYO - Since the early 1970s PVC resin prices in Japan have been set after the product is delivered to a buyer - in some cases as much as six months after delivery.
The system was started to control the wild price fluctuations that hit the market after the first oil crisis in 1973. As a method of controlling price volatility, the system may have some merit, but management efficiency suffers when purchasing decisions are made without knowledge of the final cost.
Now, two decades later, Japan's influential Ministry of International Trade and Industry has concluded that the custom reduces competition, which in turn leads to domestic prices within Japan that are considerably higher than those prevailing overseas. MITI is working with PVC producers on the problem and is drawing up a plan for phasing out the practice.
According to MITI officials, more than half of all Japanese domestic PVC transactions, amounting to 64 percent of total volume, now are being priced by this system. Scrapping it, analysts say, would largely eliminate the wide price gap in Japan between domestic and world prices for PVC resin.
Crown Cork/CMB merger set for Sept.
PHILADELPHIA - The merger of Philadelphia's Crown Cork and Seal Co. Inc. with Paris-based CarnaudMetalbox is on schedule for consummation in September.
Crown, the metal and plastic container giant, announced July 11 that due diligence reviews have been completed.
On May 22, Crown announced it would acquire CarnaudMetalbox for about $5.2 billion, creating the world's largest packaging business, with more than $10 billion in annual sales, and 340 plants worldwide.