Inteplast Group is expanding its manufacturing footprint for stretch film with a $20 million project in Indiana.
The Livingston, N.J.-based company, through its AmTopp division, has acquired an existing 350,000-square-foot facility in Remington, Ind., with an eye toward cutting delivery times to customers in the Midwest.
Work already has begun on the site, and the new location is expected to be operational by later next year, said Scott Stevens, AmTopp stretch film senior director of product and business development.
The Indiana location joins existing stretch film sites in Houston; Lolita, Texas; Charlotte, N.C.; and Phoenix.
"I just think the market is very competitive and it will be more competitive moving forward," Stevens said. "It's all about providing our current customer base good quality films and also being able to service them in a faster fashion."
AmTopp initially plans to install two film lines at the location that also will provide plenty of room for warehousing and distribution operations. The building's size allows for the potential installation of more lines in the future.
The new project will add 60 million pounds of production capacity, pushing the total capacity to 445 million pounds at AmTopp stretch film locations around the country.
With a competitive market, and the company's history of growth, Stevens said additional locations could be considered in the future for other geographic areas.
"I don't think it's ever off the table. You have to have plans ... on what your expectations of growth are going to be. We've grown quite a bit over the last several years. I do not anticipate this is going to be the last one," he said.
AmTopp currently is in the process of hiring its first 20 employees for the new site and expects employment to hit 60 to 70 by the time full production begins by the fourth quarter of next year.
The company, in a statement, indicated its complete line of films, including wraps, hand films and pre-stretch films will be made in Remington.
Inteplast, which has other film operations, ranks No. 2 on the latest Plastics News ranking of the largest film and sheet producers in North America with estimated sales of $2.68 billion in the region.