Foodservice packaging maker Genpak LLC is spending nearly $7 million to expand the company's plant in Scottsburg, Ind.
The project is expected to create 45 new jobs by 2028. They will join a current staff of 138.
Genpak President Jeff Hebert called the $6.7 million investment in the Scottsburg facility "a strategic imperative that strengthens our operations and fosters our talented workforce.
"We greatly appreciate the strong support from the city, the Indiana Economic Development Corp., and One Southern Indiana. A packaging leader for over 50 years, we are committed to delivering outstanding products to the foodservice industry now and well into the future," Herbert said in a statement.
Up to $425,000 in incentive-based tax credits are available to the company through the IEDC based on expansion plans. The company will receive the tax credits after new employees are hired.
The expansion comes in Scottsburg as Genpak "builds polystyrene operations," according to an announcement about the move.
Genpak ranks No. 7 among North American thermoformers, according to Plastics News data, with $630 million in sales in the region.
Genpak expects to spend $173,000 in total on training for new business activities. "Beyond employee investment, Genpak will also expand its existing infrastructure through multiple equipment upgrades that will bolster manufacturing operations," according to the announcement.
"This expansion continues Genpak's leadership in foodservice packaging and underscores their strong partnership and commitment to our community," said Lance Allison, president of economic development organization One Southern Indiana, in a statement.
Genpak, based in Charlotte, N.C., makes food service products from a variety of materials, including PS, PET and polypropylene on the plastics side. Other materials include paperboard and compostable paper fiber. The company's product line includes bowls, cups, containers, lids, plates and trays.
While Genpak is expanding in foodservice PS in Indiana, the company in June announced that it was closing a Middletown, N.Y., plastics packaging site, blaming PS packaging bans as the reason for the move.