2011 ExpoPack Report: The ExpoPack – PMMI show is billed as the largest packaging show in Mexico and serves as much of Latin America. There were about 900 exhibitors displaying at the 2011 show. A high percentage of exhibitors were exhibiting packaging machinery. IMFA was the only molded fiber product exhibitor. The show was heavily attended with continuous, almost non-stop, visitors to our IMFA booth for the full three days. Most had strong interest in our molded fiber packaging display. Based on our experience at this show and other data, we feel that Mexico and all of Latin America is an expanding market for molded fiber packaging products.

Nine Dragons Company in China: One of the world’s largest recycled paper companies, “Nine Dragons” in China, suffered a drop of 17% of their stock shares on the Hong Kong exchange after Standard & Poor’s withdrew its credit rating.  The reason given for S&P’s action was that Nine Dragons did not respond to the requests for company information. A credit analyst at Nomura said the current “negative sentiment” towards Chinese companies contributed to the stock market reaction. Zhang Yin, CEO, founded Nine Dragons in 1995, and is reported to have personal wealth of $5.6bn.

New Social Insurance Law in China: Foreign companies in China are going to face considerably higher costs because of a new insurance law. This law, starting July 1^st, will apply to expatriate employees d. This would be China’s first law, which could require companies that employ foreigners to pay social insurance contributions. In addition to companies having to pay a monthly fee, foreign employees might also have to pay in addition each month for individual contributions. There are still areas of uncertainty that remain, including whether the law will be voluntary or mandatory and if it will apply to all foreign workers. It has been reported that income tax rates in cities, such as, Shanghai are at 45 percent. This is already showing to be a disincentive to attracting foreign financial professionals.

Fiber Bonding Analyzer: Innventia group in Stockholm, Sweden has developed a fiber bonding technique, which utilizes light to measure the crill on the fiber surface. The OptoCrill system will be marketed by Eurocon Analyzer, AB (ojvind.sundvall@eurocon.se) along with their PulpEye system.

Expo Pack - Mexico City: IMFA will be exhibiting molded fiber packaging products at the Expo Pack show in Mexico City on June 21-24, 2011. We invite our Central and South American IMFA members and show attendees to visit our booth (#5608), which will have a display of molded fiber packaging products from worldwide sources and for you to obtain IMFA membership information.