English - SIG Combibloc

Edition 01/08
sig.biz/combibloc
High speed
Efficiency key to success

Editorial
Dear Readers,
If you want to stay competitive, you have
to keep production running effi ciently.
Maximum operating effi ciency is the goal for
which SIG Combibloc strives when working
with its customers around the world. As new
Head of the Global Sales, Service and Marketing
activities at SIG Comibloc, this will be an
important topic for me in the future.
Our new high-speed fi lling machines make
this goal a reality. In this issue’s cover story,
we would like to introduce a few of these
machines, including the new CFA812 for
medium size packages with an output of
12.000 packages per hour, as well as the
new CFA124 and CFA724, now the fastest
aseptic fi lling machines in the world for
small size carton packages. These machines
can fi ll 24,000 carton packs per hour in
combiblocMini or combiblocSmall respectively,
increasing production volumes by up to 100
per cent – and making the day as productive
as though there were 48 hours in it!
The examples of Cemil (Brazil) and Friesland
Foods Foremost (Thailand) give you a taste
of the high-speed fi lling machines CFA812
resp. CFA124 in action.
But effi cient production alone is not enough
to keep you one step ahead of the competition.
Read how our customers are responding effectively
to changing consumer needs, including
offering a variety of taste experiences and
new ingredients that are in tune with the
growing health-consciousness of consumers.
Not to mention innovative packaging solutions
that use new formats, volumes and opening
solutions to reach new target groups and open
up completely new areas of application.
Imprint
sig.biz/combibloc, spring 2008 Published by SIG Combibloc GmbH, Rurstrasse 58, 52441 Linnich, Germany Editors Ingo Büttgen, Bianca Roßkopf, Stefanie Galinski,
Fernanda Azevedo e Silva, Dr. Anna Avchukova, Kanokthip Chatchaidamrong, Dr. Isabella Classen, Matthias Enste, Paola Fontanelli, Luciana Galvao, Cindy Haast, Angela Peitz,
Michèle Quelle, Paul Thelen, Heike Thevis, Melanie Wagner, Wojciech Wroczynski Concept and design GOERLICHUNDSOHN Werbeagentur oHG, Düsseldorf
Pictures SIG Combibloc, Image Source, Holzabzatzfonds Bonn Lithography and print Laser-Litho4 Digitale Medien GmbH, Düsseldorf Contact Telephone: +49 2462 79-0,
Fax: +49 2462 79-2519, E-Mail: bianca.rosskopf@sig.biz Internet www.sig.biz. sig.biz/combibloc is published in German, English, Spanish, French, Italian, Portuguese, Polish,
Russian and Chinese. All rights reserved. Articles indicated as being contributed by other writers do not necessarily reflect the views of the publisher. No part of this publication
may be reproduced or electronically distributed without the prior permission of the editorial team.
sig.biz/combibloc 01/ 08
We wish you happy reading, and a prosperous
new year in 2008!
Rolf Stangl, Head of Global Market Operations
SIG Combibloc

Contents 2/3
Contents Page
Editorial & imprint 2/3
News
Delicious desserts, conveniently packaged 4
Arabian Beverage Company and SIG Combibloc celebrate their long association with the production
of the billionth carton, and whet the appetite for delicious desserts.
New closure for even greater convenience 5
In addition to its existing formats, Gostyn now also offers its customers a small package size
with a handy opening solution.
Title
High speed and effi ciency are the keys to success 6
If you want to stay competitive, you have to keep production running efficiently.
So SIG Combibloc strives for maximum operating efficiency with its new high-speed filling machines.
World record in Thailand: fastest aseptic filling machine in operation
at Foremost 12
With an output of 24,000 carton packs per hour, previous production volumes can be doubled –
as if there were 48 hours in the day. At Friesland Foods Foremost, Thailand, the worldwide fastest
aseptic filling machines for small size carton packages are already in use.
World premiere in Brazil: grand entrance for high-speed machine at Cemil 14
Two new high-performance CFA 812 filling machines are now in operation at Cemil.
They are not only making their world premiere there, but they are also providing for even
greater efficiency at the plant of the Brazilian dairy manufacturer.
Markets
10 years in Russia – a decade of growth 16
SIG Combibloc is celebrating ten years in Russia and can look back on a dynamic history.
Facts & trends
Brazil: dairy market makes its move 20
Having played a peripheral role in the past, Brazil’s dairy industry is now well on the way
to making its mark as a net exporter.
Not everything that looks like milk comes from a cow 24
Consumers are increasingly turning away from products containing cow’s milk. Manufacturers are
responding to this trend with dairy-free alternatives made from soy, oats, rice, corn and almonds.
Unusual fl avours make soy drinks a healthy, trendy beverage 26
Modern consumers want variety and new taste experiences. And the soy drink market wants
the same thing.
Environment
Joint signature of a world-wide self commitment 30
SIG Combibloc supports traceability of wood fibre in the beverage carton.
sig.biz/combibloc 01/ 08

News
Delicious desserts, conveniently
packaged
A lasting partnership between the Arabian Beverage Company (ABC) and SIG Combibloc resulted
in 2007 not only in an expanded product range but in a quite special statistic: the Kuwait-based
company took delivery of its billionth combibloc pack.
ABC is expanding its product range to
include ice cream and dessert crème in
aseptic carton packs. With its new products,
ABC is primarily targeting restaurants and
caterers.
The ice cream blends, in Chocolate and
Vanilla, are offered in combiblocSlimline
1,000 ml. A dessert crème is available in
combiblocSmall 250 ml on the Kuwaiti, Iraqi
and Saudi Arabian markets. The dessert
crème is ideal for use in baking or to add a
touch of sophistication to a fresh fruit salad.
sig.biz/combibloc 01/ 08
Success factors: production and
packaging
ABC, founded in Kuwait in 1960, aims
to offer the best-tasting, premium quality
products made from the finest ingredients.
In achieving this objective, the quality of the
ingredients and the production methods play
an important role for the company. “In the
past few years, ABC has developed into the
leading regional provider of juice, nectar and
fruit juice drinks, as well as dairy products,
water and energy drinks, and we want to
continue to hold this market position. In addition
to using the best ingredients, premium
packaging solutions are of crucial importance
in ensuring our products are of first-class
quality“, says Adnan Al-Mousa, General
Manager at ABC.
Partnership with expertise
The product protection characteristics of
aseptic carton packaging, in combination with
high-performance machine technology, have
led ABC to intensify its collaboration with
SIG Combibloc. Ten SIG Combibloc filling
machines are now in use at ABC facilities
and in 2007 the billionth combibloc sleeve was
delivered.

New closure for even greater
convenience
Since 1995 well-known Polish dairy co-operative Gostyn has offered a range of products
in aseptic carton packs from SIG Combibloc.
In October 2007 combifitSmall joined
combiblocCompact and combiblocSlimline,
adding a handy format for small carton sizes.
Fitted with the practical combiSmart screw
cap, this makes it possible for the first time
for Gostyn to offer condensed milk and UHT
cream in a small size, recloseable carton pack
from SIG Combibloc.
A handy kitchen aid
When it comes to products such as condensed
milk and cream, combifitSmall with
combiSmart is a real alternative to plastic.
The small carton size is perfect as handy
kitchen aid – the wide opening allows drip-
free pouring and enables portions to be measured
out exactly. The carton is easily reclosed,
prevents leakage, and protects the contents
from external odours and flavours when
stored in the refrigerator after opening.
Performance through flexibility
For Gostyn, aseptic filling technology
from SIG Combibloc means the company’s
product range can be flexibly adapted to suit
the needs and demands of the market and
the consumer. The ability to fill the combibloc
and combifit package formats in a variety of
volumes using a single machine is an important
factor for SM Gostyn.
News 4/5
This flexibility makes it possible for the
dairy co-operative to give its products the
most favourable positioning at PoS, attracting
maximum consumer interest.
Market leader with a long tradition
SM Gostyn – the current market leader
for condensed milk – can look back on a
history spanning over more than 100 years.
The company’s products have already received
many awards for their quality.
sig.biz/combibloc 01/ 08

Title
High speed and effi ciency are
the keys to success
SIG Combibloc’s high-performance flexible filling machines are designed to deliver optimal
operating efficiency for its customers. This is the credo by which the company operates, enabling
SIG Combibloc to meet the market’s demands for high speed and greater output while still
delivering the same high quality and flexibility.
sig.biz/combibloc 01/ 08

In 1997 SIG Combibloc became the first
manufacturer to launch a filling machine that
could fill 10,000 aseptic carton packs an hour
in volumes from 500 to 1,000 ml. In 2006,
by using servo drives on the filling line,
the company increased the output of the
filling machines for combiblocSlimline and
combiblocStandard by 20 per cent, to 12,000
cartons per hour. Now by doubling the output
of the aseptic filling machines from 12,000 to
24,000 carton packs per hour for the small size
packages combiblocSmall and combiblocMini,
SIG Combibloc has set the bar high with an
unbeatable top speed.
But speed is not everything. Speed alone
is not a reliable indicator of the efficiency of
a filling line. So operating efficiency is the
credo that SIG Combibloc is following in the
design of its new high-performance filling
machines.
Fast and flexible
With the development of its new highspeed
machines, SIG Combibloc is responding
to market demands. The growing movements
towards internationalisation and consolidation
are leading to increasingly fierce competition
among food and drinks manufacturers,
and this in turn makes it more vital than ever
that production be as efficient as possible.
Two clear trends have emerged. One is
‘differentiation’, where flexibility plays a key
role, and the other is ‘efficiency’.
Firstly, manufacturers want to move
away from standard products, and increasingly
are offering products with added value,
to reach new target groups and to make their
products stand out from the competition. One
example of this is the UHT yoghurt drink
with pieces of real fruit offered by Mengniu
Dairy Industry (we reported on this in issue
02/2007). However, this ‘added value’ ethic
applies not only for the products themselves
but also for the packaging. The format and
volume flexibility of the SIG Combibloc
system makes it possible to create added
value by enabling manufacturers to respond
Title 6/7
quickly and flexibly to changing market
needs and differentiate their products appropriately.
Efficiency is what counts
But the products still need to be manufactured
efficiently, and high standards of
quality must be maintained throughout the
manufacturing process. Another factor to be
considered is that it is not the speed of the
filling machines alone that determines the
cost effectiveness of the complete filling line.
In fact, the key factors are keeping wastage
as low as possible and maintaining continuous,
smooth production without long periods
of machine downtime. To do this, the filling
line needs to be viewed as a total integrated
system. The filling machine is not a standalone
unit but part of a system of interdependent
components that must be precisely
harmonised with one another in order to
work efficiently. Finally, the overall operating
costs of the system must be factored into the
calculation, so that its cost-effectiveness can
be worked out. And as markets become more
competitive, this is becoming increasingly
important.
sig.biz/combibloc 01/ 08

Klaus Andresen (Technical Director,
SIG Combibloc Asia), Matthias Enste (Director
Marketing and Business Development,
SIG Combibloc Asia) and Luc Viardot (Product
Manager combibloc/combifit) were interviewed
on the subject of ‘high speed and efficiency’.
“Modern filling machines may be capable of
filling 20,000 packages in an hour. But how
much of that is waste?” asks Andresen. “Speed
doesn’t tell the whole story when it comes
to the actual efficiency of a machine”, Luc
Viardot confirms. “On the contrary, output is
the key factor – and closely linked to this is
keeping wastage rates low. Ultimately, it’s the
actual output that’s crucial for the beverage
sig.biz/combibloc 01/ 08
manufacturer – it indicates the true efficiency
and profitability of a facility”.
The essential questions, therefore, are:
how long can low wastage production be
maintained at a stable rate at a defined speed?
How long can a consistent production be
maintained without any trouble in the downstream?
And what does the upstream capacity
look like?
Matthias Enste also looks at the development
of new high-speed machines from
the viewpoint of the food manufacturers.
“Our customers find themselves in a difficult
position, because they’re expected to act as
both ‘operational champions’ and brand producers.
Whether you’re at the upper or the
lower end of the price range, the driving force
in the market is ‘value for money’. A U&A
study carried out by a research institute in
Thailand showed that consumers consistently
cite ‘value for money’ as the main
reason for purchasing a product, both for
‘operational champion’ products and for
premium products.
As a systems manufacturer of packaging
and filling machines, this is where we come in.
Because we make sure system costs are competitive,
we can help our customers to remain
competitive. No other single factor has influ-

enced the way we design our machines as
much as the manufacturer’s need to achieve
greater output while maintaining the advantages
of the aseptic carton pack. Beverage
manufacturers are consumer-centric and marketing-savvy.
They look at the overall plant
efficiency and the system costs. Ultimately,
they have to offer value to the consumer. As
packaging suppliers, we want and need to be
part of this value-creation chain. We’re no
longer looking just at the price of packaging
materials or the speed of the filling machine”.
SIG Combibloc has succeeded in meeting
these challenges and with the development
of its new high-performance filling machines
it has found a solution that offers customers
optimal operating efficiency through a perfect
symbiosis of high speed and performance.
The new machines are not only fast, they
also provide for high output and minimal
wastage rates, plus they take up very little
additional space. For the filling company,
these advantages represent a clear improvement
in efficiency, with a simultaneous reduction
in costs.
In 2006 the new CFA312 and CFA512
filling machines were able to achieve output
of 12,000 packages per hour for medium carton
sizes, with the same unique speedy volume
changeover. “With our new filling machines,
we’ve been able to offer our customers highly
efficient lines, especially for large-volume
production, that are also incredibly flexible.
For example, the CFA512 can fill volumes of
500, 750, 1,000 and 1,100 ml, with consistent
output of 12,000 carton packs per hour. This
high-performance output, combined with the
proven, unbeatably fast volume changeover,
is the only one of its kind in the world”, says
Luc Viardot.
Matthias Enste, Klaus Andresen and
Luc Viardot (from left), SIG Combibloc
market and technology experts, on the
crucial difference between speed, output
and efficiency on a filling line.
sig.biz/combibloc 01/ 08

Title
Cutting-edge technology in a practical
application
The first high-performance filling machines
have already proved themselves in
practical use. Gerber Juice Company Ltd,
Great Britain’s number 1 in the fruit juice
sector, has given the new machines from
SIG Combibloc its seal of approval, and has
installed CFA 312 and CFA 512 models at its
Bridgwater plant.
At its site in Zeven, northern Germany,
NORDMILCH has opted to exclusively use filling
machine technology from SIG Combibloc
sig.biz/combibloc 01/ 08
to package its UHT products in carton packs.
One high-speed CFA312 and one CFA512
filling machine have been installed to fill
Milram-brand UHT cream, UHT milk, UHT
milk mix drinks and UHT sour cream. The
speed and reliability of the high-speed
machines, combined with SIG Combibloc’s
unique volume flexibility, ensure that
NORDMILCH can continue to manufacture
its wide range of products while also keeping
costs down. “Our goal is to offer a top quality
product portfolio that really makes a statement
on the market, and at the same time
For NORDMILCH, the speed and efficiency of SIG Combibloc’s high-speed filling machines ensure
the efficient manufacture of a varied portfolio of top quality products.
enables us to lead on cost. With this in mind,
when fitting out our Zeven plant we decided
to use the filling machine system from
SIG Combibloc”, says Manfred Feldmann,
Head of NORDMILCH’s Production Centre
for dairy products.
In Brazil, the installation of two CFA 812
machines at the Cemil plant sees the introduction
of yet another high-speed filling machine
for medium carton sizes. This is the world
premiere of the CFA 812 (see pages 14–15).

Doubled output
With the new CFA124 and CFA724 highspeed
filling machines for small size packages,
SIG Combibloc has set another benchmark in
speed and efficiency, opening a new chapter
in the story of aseptic carton filling technology.
The new systems are the fastest aseptic
filling machines for small size packages,
capable of filling 24,000 combiblocMini or
combiblocSmall an hour. For the manufacturers,
this means a reduction in operating,
servicing and investment costs per installed
capacity (1,000 units). Of course, the filling
machines for small size packages also offer
the unique volume flexibility. The CFA124
allows users to switch quickly and easily
between 125, 150, 200 and 250ml volumes.
With the CFA724, switching volumes between
150, 200, 250, 300, 330 and 350ml takes
virtually no time. Servo drives and the use
of multitracks make it possible to fill efficiently
at high speeds. With a single downstream
facility, output can be doubled with
almost the same manpower and space requirements.
Friesland Foods Foremost is already
reaping the benefits of the new system, with
Title 10/11
a CFA124 machine at one of its factories in
Thailand (see pages 12–13).
sig.biz/combibloc 01/ 08

Title
World record in Thailand: fastest
aseptic fi lling machine in operation
at Foremost
As if the production day was 48 hours long: the new CFA124 filling machine, with an output
of up to 24,000 packages an hour, now allows food and beverage manufacturers to double
production volumes. For small size carton packs, there has never been a higher-capacity
aseptic filling machine. Since fourth quarter 2007 Foremost in Thailand has been using
SIG Combibloc’s first high-speed filling machine for small size carton packs.
sig.biz/combibloc 01/ 08

In 2001 Foremost decided to start
working with SIG Combibloc. Back then,
SIG Combibloc’s filling machines made it
possible for the food company to increase
the filling capacity from 7,500 to 12,000 carton
packs per hour. Today twelve of these
SIG Combibloc filling machines are in operation
at Foremost.
Same space requirement, greater
performance
Foremost has had the new CFA 124 highspeed
filling machine in operation at its
Thai plant since fourth quarter 2007. The
company’s goal is to replace all its CFA112
filling machines with CFA124 models, eventually
almost doubling the total capacity of
COMBIBLOC filling machines.
High speed for small size carton packs
The CFA 124 high-speed filling machines
from SIG Combibloc are the fastest in the
world when it comes to small size packages.
24,000 combiblocMini can be filled per hour,
maintaining the unique volume flexibility.
For the food and beverage manufacturers this
means a reduction in running costs, servicing
costs and investment costs per installed
capacity (1,000 units). So every working day
is twice as productive – just as though it was
48 hours long!
Close to its customers
As well as improving performance, current
consumer needs – especially the growing
demand for functional products offering an
added value – were also a major consideration
Title 12/13
in Foremost’s decision to install the new filling
machines. For example, the company
now offers dairy products and soy drinks in
the handy combiblocMini 125, 200 and 250 ml
carton packs, which are perfect for on-the-go
consumption.
Globally successful
Friesland Foods Foremost (Thailand) PCL
specialises in the manufacture and sale of
long-life dairy products, and has been active
in Thailand for 45 years. The company is part
of the Dutch Royal Friesland Foods Group,
founded in 1894 as a dairy cooperative. Today,
this long-established group of companies has
more than 70 subsidiaries in 27 countries.
sig.biz/combibloc 01/ 08

Title
World premiere in Brazil:
Grand entrance for high-speed
machine at Cemil
Efficiency and speed are the key characteristics of the new CFA 812 filling machine.
They are what convinced the Brazilian dairy manufacturer Cemil to replace four
machines from the competition by two SIG Combibloc filling machines.
sig.biz/combibloc 01/ 08

Cemil, established in 1992 as a cooperative
headquartered in Patos de Minas
(Triangulo Mineiro region). João Bosco
Ferreira, CEO of Cemil, was enthusiastic
about the performance of the CFA 812: “By
exchanging the filling machines, we have
been able to increase our productivity and,
at the same time, we were able to cut waste.
Now we have the fastest aseptic filling
machines in South America”. Up to 12,000
carton packs an hour of combiblocMidi in the
volumes 500, 750 or 1,000ml can be filled
using a CFA812. The first combiblocMidi
1,000 ml packs of UHT milk, UHT low-fat milk
and dairy-free UHT products were launched
in late 2007.
Shared project, shared success
The teams from Cemil and SIG Combibloc
worked for about a year to implement the
project. Bosco: “Co-operation with the professional
team from SIG Combibloc worked
smoothly. The experts from SIG Combibloc
were involved in the project and its planning
from the outset, including aspects such as
market research and product development.
And now, at the market entry phase, we can
also rely fully on the company’s support. We
are working together to make this ambitious
plan a real success story”.
For Cemil, the challenge of marketing
innovative products that represent the state
of the art is part of its corporate strategy.
Title 14/15
The CFA 812 fitted this strategy perfectly.
Bosco says: “The machines from SIG Combibloc
offer impressive performance at high speed,
high productivity and minimal waste. This
enabled us to improve capacity use at our
plant”.
Plans to introduce additional volumes
and products – for example, soy drinks with
new taste varieties – were a further criterion
that Cemil considered when selecting its strategic
partner: “The SIG Combibloc filling
machines are extremely flexible. That made it
easy to decide in favour of the filling machine
CFA 812. We look forward to the new developments
and have every confidence in the
results”, says Bosco.
sig.biz/combibloc 01/ 08

Markets
10 years in Russia
Expanding in an up-and-coming market is a difficult business. SIG Combibloc took on this challenge
when it entered the Russian market. And it has been a success, as ten years of continuing growth
can prove.
Solid expansion
Progressively building up its market
share in Russia, a country experiencing dramatic
economic growth, is an achievement
SIG Combibloc is proud of. This year, the
company celebrates ten years in Russia, and
looks back on a dynamic history in this new
market.
Russia’s NCSD market doubled between
2001 and 2005, and last year reached 2.5 billion
litres. Around 30 per cent of all juices,
nectars and fruit drinks in Russia are filled in
cartons from SIG Combibloc. The company
now provides carton packaging to all the leading
Russian companies, in the NCSD (Non-
Carbonated Soft Drinks) and LD (Liquid
Dairy) segments. SIG Combibloc has managed
to grow faster than the market, gaining a
25 per cent share of the market in aseptic
carton packaging in 2006.
1997: SIG Combibloc sells its
first filling machines to Russia
and opens a representative
office in Moscow.
Differentiation is in demand
This success is due primarily to the flexibility
of the technology from SIG Combibloc.
The filling machine systems guarantee maximum
performance. Two different carton formats,
with a range of volumes and closure
solutions, can be filled on a single machine,
enabling companies to offer the right packaging
solution for specific markets and product
requirements. And the individual all-in
service that SIG Combibloc offers its customers
plays an important role. With the right
packaging solutions, products can be clearly
differentiated from the competition. Machine
systems from SIG Combibloc stand for performance
and dependability – success factors
that in the food industry are now more important
than ever.
1998: SIG Combibloc sells the
first filling machine to NIDAN.
A spare parts depot and service
centre open in Moscow.
On course for expansion:
Kick-off in Russia
SIG Combibloc began its operations in
Russia in 1997. The first filling machines were
sold to Wimm-Bill-Dann, the Moscow-based
market leader for dairy products and one of
the market leaders in the juice sector. The
same year, SIG Combibloc opened its official
representative office in Moscow – at that time
still under the trade name PKL.
1999: NIDAN offers
combiblocMaxi 2,000 ml in
Russia for the first time.

NIDAN sets the standard
In 1998 SIG Combibloc opened a spare
parts depot and a service centre in Moscow.
In the same year, NIDAN in Novosibirsk
bought its first SIG Combibloc filling machine.
At the time, NIDAN was the first company in
Russia to use equipment from SIG Combibloc
to fill juices in combiblocStandard 1,000 ml.
2000: A filling machine for filling
combiblocMaxi is installed at the
premises of Lebedyansky, Russia’s
leading juice producer.
SIG Combibloc continued to develop
its collaboration with NIDAN. In 1999
NIDAN launched the first 2,000 ml – volume
aseptic carton pack in Russia – filled using a
SIG Combibloc machine. The combiblocMaxi
carton was a success on the Russian market,
so popular that NIDAN and SIG Combibloc
2001: The family-size pack continues
to be a hit: SIG Combibloc
sells more filling equipment to
Lebedyansky.
Markets 16/17
benefited in equal measure: NIDAN grabbed
a crucial competitive advantage, as no other
provider could offer consumers a 2,000 ml
carton pack, and SIG Combibloc, as the only
provider of this format, was able to install
more filling lines.
2003: NIDAN builds another
production site in Moscow,
equipped exclusively with filling
machines from SIG Combibloc.

Markets
A decade of growth
A big success
The family-size pack was so well-received
that, in 2001, the company Lebedyansky also
installed SIG Combibloc filling equipment at
its plant in the Lipets region (Central Russia),
and began producing its ‘Fruktovy Sad’ fruit
juice drink in combiblocMaxi 2,000 ml.
A closer partnership
SIG Combibloc’s dealings with NIDAN
continued to go from strength to strength.
In 2003 NIDAN decided to open a production
facility in Moscow, in addition to its plant in
Novosibirsk. SIG Combibloc supported NIDAN
in planning the new plant, which was equipped
exclusively with filling machines from
SIG Combibloc. Production was able to start
the same year.
2004: PepsiCo certifies NIDAN’s
new production facility and
NIDAN begins operations as a
co-packer, producing ‘Tropicana’
juices.
Tropicana sets the mood
PepsiCo certified NIDAN’s new production
facility, and in 2004 NIDAN began
operations as a co-packer producing ‘Tropicana’
juices in combiblocSmall 250 ml with
drinking straw and combifitPremium 1,000 ml
with the combiTwist screw cap. Today ‘Tropicana’
is especially popular with Russian
consumers because of its handy and attractive
packaging.
Greater convenience
In 2005 NIDAN launched ‘Moya Semya’
(‘My Family’) brand juices in combiblocCompact
500 ml in Russia. The new packaging volume
found immediate acceptance from consumers.
Since 2006 NIDAN has been filling
‘Moya Semya’ juices in combiblocSlimline
with the combiSwift screw cap. Up to then,
the juices had been sold in packs with no
opening aid. With combiSwift, NIDAN has
been able to offer its customers greater convenience
which has seen sales figures take
an upward swing.
New partner
In 2007 Multon/Coca-Cola switched to
packaging its premium brand ‘Rich’ products
in the combifitPremium aseptic carton pack with
the screw cap combiSwift from SIG Combibloc.
2005: NIDAN launches the ‘Moya
Semya’ (‘My Family’) brand in
Russia in combiblocCompact 500 ml.

Production has since been taking place at the
company’s largest plant, near Moscow.
At the same time Unimilk began production
at its plant in Yalutorovsk (Siberia)
of its ‘Prostokvashino’ cream and ‘Shadrinskoe’
condensed milk in combifitSmall 200
and 300 ml with the innovative combiSmart
closure.
2006: NIDAN introduces the
new combiSwift screw cap on
combiblocSlimline for ‘Moya
Semya’.
2007: Multon/Coca-Cola switches to
packaging its premium brand ‘Rich’
products in the combifitPremium
aseptic carton pack with combiSwift
screw cap from SIG Combibloc.
Unimilk starts producing its ‘Prostokvashino’
cream and ‘Shadrinskoe’
condensed milk in combifitSmall with
combiSmart.
Markets 18/19

Facts & Trends
Brazil: dairy market makes
its move
Wide-ranging restructuring schemes have had a dramatic impact in recent years on Brazil’s key
economic data. The foreign trade balance alone has developed from a deficit of 24.2 billion USD
in 2000 to a surplus of 12.9 billion USD in 2006. Agriculture has made a significant contribution
to this positive growth.
Dairy farming is an emerging branch
within the agricultural sector. Having played
a peripheral role in the past in comparison
to other areas of agriculture, Brazil’s dairy
industry has now developed to a stage where
the country is not only capable of meeting
its own milk and dairy product requirements,
but is poised to become a net exporter.
The foundations for this positive growth
were laid at the close of the 1970s with farreaching
programmes of land reform, new
cultivation systems, the introduction of new
cattle breeds such as the Zebu, and other radical
changes to the conditions that existed at
the time.
Brazil’s dairy industry
In 2007 Brazil is expected to knock Germany
off fifth place in the rankings of the
world’s biggest manufacturing countries. Of
the approximately 27 billion litres of raw milk
produced in Brazil, around 66 per cent is
industrially processed by dairy firms, while
the rest is used on the farms or sold directly
by the farmers.
Among the total of about 300 dairy firms
operating in Brazil, which includes international
concerns such as Nestlé, Danone and
Parmalat, there are also Brazilian companies
sig.biz/combibloc 01/ 08
such as Itambe and Elege. Together they
achieve an annual processing volume in the
region of 4.2 billion litres.
The range of fluctuation in milk output
per cow, from less than 1,000 to more than
8,000 kg per year is very high and shows
there is still considerable potential for increasing
milk production.
Current dairy consumption
Of the total of 27 billion litres of raw milk
produced in 2006, 43 per cent was used for
cheese manu-facture, 20 per cent for UHT
milk and 15 per cent for powdered milk.
Drinking milk products such as yoghurt
and UHT milk are growing in popularity;
fresh yoghurt products meet consumer needs
for healthy nutrition, while UHT milk is the
ideal product for building up a nation-wide
supply network in such a vast country and
under difficult climatic and transport conditions.
Modern hypermarkets and supermarkets
such as the international chains
Carrefour, Wal Mart and Casino as well as
Brazilian retail companies such as Atacado
and Zaffari, are playing a key role in establishing
this supply. Because 80 per cent of
Brazil’s population lives in the cities, these
retail outlets are concentrated there.
From net importer to net exporter
With a share of around 40 per cent
(2005), Brazil’s agriculture industry is the
country’s main export provider. Brazil is currently
the world’s number one exporter of
coffee, beef, poultry, cane sugar and soy, and
it is among the top 5 exporters of soy oil cake,
fruit juices, soy oil and pork world-wide. In
2005/2006 Brazil also entered the dairy
market as an exporter for the first time.
In 2000 Brazil imported 25,700 tonnes
of cheese from, among others, the European
Union, but by 2005 cheese imports had fallen
to 3,300 tonnes. In the same period, Brazil
increased its cheese exports from 2,400
tonnes to a current total of more than 11,000
tonnes.
The same level of growth can be seen
for whole milk powder. While Brazil used to
import large quantities of whole milk powder,
mainly from Argentina, these imports have
now fallen sharply. In 2005 Brazil was able
for the first time to export 30,000 tonnes of
whole milk powder – 10,000 tonnes more
than the 20,000 tonnes imported. Brazil is
thus entering a new era as a net exporter of
dairy products.

Brazil is now emerging onto the global dairy
market as new competition for established
providers such as the European Union, Oceania,
the USA and others. Market observers see
the timing of this market entry as extremely
favourable.
Facts & Trends 20/21
sig.biz/combibloc 01/ 08

sig.biz/combibloc 01/ 08
Having played a peripheral role in the past,
Brazil’s dairy industry has now developed to
a stage where the country is not only capable
of meeting its own milk product requirements,
but is poised to become a net exporter.

Effects on the global dairy market
This means that, as has already been the
case with other agricultural products, Brazil
is now emerging onto the global dairy market
as new competition for established providers
such as the European Union, Oceania, the
USA and others. Market observers see the
timing of this market entry as extremely
favourable – particularly for cheese and
powdered milk, a prolonged period of heightened
global demand is expected. This is driven
among other factors by a booming global
economy, population increase, especially in
Asia, and increasing dairy consumption in
newly industrialised nations. Simultaneously,
Brazil’s entry into the market coincides with
a downturn in production due to recurrent
droughts in Australia, and very low stocks of
powdered milk and butter in European Union
countries as a result of years of EU measures
to limit dairy production.
As Brazil’s entry onto the global market
therefore coincides with a period of low stocks
and high demand, it is unlikely to result in
the price wars between the established providers
and the newcomer that usually arise
in such situations.
Prospects for the future
Market observers see Brazil on a sustained
growth trajectory. The domestic potential –
largely contingent upon an increase in purchasing
power among Brazilian consumers – and
the new overseas markets promise further
growth.
It is likely that growth in raw milk production
will result principally from increasing
the output of Brazil’s more than 20 million
dairy cows, which remains low. Linked to this,
with its potential to boost South America’s
MERCOSUR free trade zone, and in the
expectation that customs barriers affecting
Facts & Trends 22/23
global trading in dairy products will continue
to be dismantled, new chances beckon for
Brazil to develop its growing role in the global
dairy market.
sig.biz/combibloc 01/ 08

Facts & Trends
Not everything that looks like
milk comes from a cow
More and more consumers are turning away from products containing cow’s milk.
Many manufacturers are responding to this trend and expanding their product lines with
dairy-free alternatives made from soy, oats, rice, cereals or almonds.
sig.biz/combibloc 01/ 08

Since May 2007, Estavayer
Lait SA has offered a rice drink
and a soy whipping cream in
combifitPremium 500 ml, under
the brand names ’Rice Drink’
and ’Soja Line’.
World-wide consumers are increasingly
turning away from products containing cow’s
milk. One reason for this is lactose intolerance.
According to scientific studies, far more
than half of the world’s population currently
suffers from this complaint. In fact, the Association
for Lactose Intolerance (Germany)
suggests a figure of 75 per cent as many
people live with the condition without being
aware of it. Another factor is the growing
number of vegans, who for ethical reasons
refuse to consume animal milk. Finally,
modern consumer tastes are persuading the
international food industry to introduce alternatives
to dairy products.
Healthy and delicious
First Foods is responding to this trend
and expanding its product line with a range
of products aimed at consumers with lactose
intolerance conditions as well as consumers
in search of new taste experiences. In addition
to an oat drink and oat cream, the “First
Oat Supreme” range, developed with these
consumer groups in mind, includes an oat
ice cream, a chocolate oat ice lolly on a stick
with a dairy-free chocolate coating, and lowfat,
sugar-free ice cream for diabetics. Jim
Evans, General Manager of First Foods, says:
“The market has seen increasing demand in
the past few years for foods that are lactose-
Almond milk is gaining popularity
as a dairy-free alternative:
with combiblocSlimline 1,000 ml,
Boschi Food&Beverages S.p.A
has found the perfect packaging
solution for its milk substitute
with a high magnesium and
Vitamin E content.
Ampol’s ’V-fit’ brand is a range
of flavoured rice milk drinks
such as Rice Milk with Green Tea
or Gingko, as well as sugar-free
versions that further reinforce
the health appeal of these vegan
products.
free and, as far as possible, cholesterol-free.
This is where our oat products come in”.
“First Oat Supreme” UHT oat drink contains
less than 1.4 per cent fat and is offered as an
alternative to semi-skimmed milk. In terms
of calorie content, vegetable drinks score
higher than animal products. An oat drink
contains about 30 to 50 kilocalories per 100
millilitres, while full cream milk weighs in at
around 65 kilocalories.
“First Oat Supreme” UHT oat drink is
packaged in combiblocStandard 1,000 ml, and
the UHT cream in combiblocSmall 250 ml.
Carton packs were selected to emphasise the
natural character of the products. Says Ivan
McMurray, General Manager of Leckpatrick
Foods, a First Foods co-packer: “Aseptic
carton packaging is perfect for highlighting
the natural character of cereal products, and
for communicating these characteristics to
the consumer”.
Other dairy-free alternatives made
from rice and almonds
Swiss company Estavayer Lait SA also
counts on dairy-free products. Since May
2007 the company has been offering a soybased
whipping cream and a rice drink in
combifitPremium 500 ml, under the brand
names “Soja Line” and “Rice Drink”.
Facts & Trends 24/25
The ‘First Oat Supreme’ product
range from First Foods includes
a UHT oat drink filled in
combiblocStandard, as well as
a UHT cream in combiblocSmall.
In Asia wholesome drinks like these
have been a firm feature of daily diet for
many years. The “V-fit” brand, produced by
Thailand’s Ampol Food Processing Ltd, is a
range of flavoured rice milk drinks such as
rice milk with Green Tea or Gingko, as well as
sugar-free versions that further reinforce the
health appeal of these vegan products.
And almond milk is gaining popularity
as a dairy alternative. Like soy and rice products,
almond milk is perfect for those who
suffer from lactose intolerance. Compared to
soy milk, however, it is sweeter and contains
more vitamins. Women in particular benefit
from this – the high Vitamin E content boosts
healthy skin, hair and nail growth, and the
high magnesium content eases the discomfort
associated with the menopause.
In combiblocSlimline 1,000 ml, Italy’s
Boschi Food&Beverages S.p.A has found an
appropriate, appealing packaging solution for
its almond milk products.
sig.biz/combibloc 01/ 08

Facts & Trends
Unusual flavours make
soy drinks a healthy, trendy
beverage
Modern consumers seek variety. They want to try new taste experiences and unusual
combinations of flavours that are different from what they know – and the same goes
for soy drinks.
Soy drinks are popular with healthconscious
consumers. But the health aspect
is not its only selling point: to win over consumers,
soy products must also taste good.
World-wide manufacturers are responding
to customer demands by developing new
flavours that improve on the beany taste,
which consumers in many parts of the world
find unpleasant.
A colourful array of flavours
Soy drinks are already available in many
flavours, from Vanilla and Chocolate to
exotic varieties such as Macadamia, Black Tea,
Banana, Oatmeal and Malt. Berry flavours
are also popular, and the spread of varieties
such as Passionfruit, Guava and Coconut
shows that flavours from South America and
Asia are growing in popularity.
sig.biz/combibloc 01/ 08
Flavours that are guaranteed to attract
attention
Friesland Foods Foremost is one leading
dairy products manufacturer that is catering
to these new customer demands. The company’s
Hi-5 soy drink is available in Thailand
in ‘Mixed Berries&Carrot’ flavour. The new
variety offers all the benefits of soy while
improving the taste and curbing the odour
through the distinctive flavours of carrots and
mixed berries.
And Hi-5 ‘Red Beans & Barley’ is also
tickling consumers’ tastebuds. The launch of
this healthy blend in Thailand quickly attracted
a lot of attention – although red bean and
barley can be bought from virtually every
street hawker in Thailand as additives in soy
drinks, no manufacturer had offered the combination
as a finished product until now.
Another Thai provider is Lactasoy. The
company has been running for more than 50
years, making its breakthrough with Lactasoy
soy milk 22 years ago. One of the latest additions
to the company’s product range is a
light soy drink with collagen – a health and
wellness drink claimed to result in more radiant
skin. Lactasoy Light plus Collagen also has
reduced sugar and fat content, so it appeals
particularly to young, health-smart women
who want to eat a calorie-conscious diet
while still getting the full flavour of the soy
drink.
In Korea, too, soy products are an important
part of the daily diet. Korean Sahmyook
Foods has produced soy products and vegetarian
foods since 1975 and is now Korea’s
second-biggest soy drink producer.

Ginseng root: The beneficial effects of
the ginseng root on mental concentration
and performance have been known since
time immemorial. It acts as a stimulant
in cases of fatigue, weakness and stress.
Cereals: As a staple food, cereals
are ideal for manufacturing dairyfree
drinks.
Red Beans&Barley: can be bought from
virtually every street hawker in Thailand
as additives in soy milk. Now this combination
is offered as a finished product for the
first time.
Chestnut: sometimes, they seem to be
forgotten, but the chestnut is now being
rediscovered as a delicious ingredient in
a range of products.
Facts & Trends 26/27
Mixed Berries&Carrot: complement
one another perfectly and, with their
distinctive flavours, make the characteristic
soy milk taste more palatable.
Cocoa: is the classic flavour for dairy
products, and it’s the same story when
it comes to dairy-free alternatives.
sig.biz/combibloc 01/ 08

Facts & Trends
With the launch of these innovative premium
soy products in Corn, Chocolate and Red Ginseng
flavours, Hanmi is going for exotic tastes and
the health-conscious consumer.
sig.biz/combibloc 01/ 08
Foremost promises wonderful taste experiences
with flavour combinations like Mixed
Berries&Carrot and Red Bean&Barley, which
no manufacturer has previously offered as
a finished product.

Low in calories and enriched with collagen,
Vitamin E, calcium and iron, ‘Lactasoy Light
Plus Collagen’ is aimed at women who want an
added value in the products they use every day.
As well as the usual Banana, Chocolate
and Strawberry flavours, exotic variants such
as Black Bean and Tropical have been added
to the range. The newest product in the
company’s range is a chestnut-flavoured soy
drink, a flavour variant prompted by the
chestnut’s popularity with Korean consumers.
The chestnut is rich in proteins, minerals,
calcium and vitamins A, B and C. As the chestnut
is the symbol for the Full Moon festival
(one of Korea’s most important national
holidays), the product has been launched in
good time for the 2007 celebrations.
Hanmi Whole Soymilk has also launched
a range of new soy products, such as a soy
drink with Red Ginseng, on the Korean market.
Red Ginseng has been known in Korea
With a huge range of different flavours,
Sahmyook offers the perfect taste experience
for every member of the family: Banana,
Chocolate, Strawberry, Black Bean, Tropical,
High Calcium and Chestnut.
for centuries for its health-giving effects on
body and mind. As well as its exotic taste,
ginseng is thought to protect against senility
and enhance concentration and general mental
performance. Ginseng is also believed to
have a powerful role in fighting fatigue and
debilitation, and helping to combat stress. The
drink is also offered in Chocolate and Cereal
flavours.
Founded in 1988, Hanmi is now one of
Korea’s leading soy drink producers, with
turnover of around 40 million USD. Hanmi
specializes in the production of soy milk, tofu
and drinks. A special process patented by the
company means that Hanmi’s soy products
are manufactured by a method that treats
the nutrients with extra care.
Facts & Trends 28/29
Fight for market shares
The UHT soy drink market is highly competitive.
In Thailand, for example, this sector
was worth 4.8 thousand million Baht (around
150 million USD) in 2006, an increase of 23
per cent on the previous year. Thailand’s
major players in the area invest more than
500 million Baht (around 15 million USD) a
year in media and marketing activities. Using
intensive marketing, Friesland Foods Foremost
also aims to break into the ranks of the
top three soy drink producers.
sig.biz/combibloc 01/ 08

Environment
SIG Combibloc signs world-wide
traceability of wood fibres used
Along with other manufacturers of beverage cartons, SIG Combibloc has made a self commitment
as part of a ten-year programme to ensure that only wood fibre from legal and accepted sources
is used to produce beverage cartons and that traceability back to the forests of origin is guaranteed.
Within the event to publicise this self commitment in Brussels Rolf Dieter Rademacher,
CEO of SIG Combibloc, met members of the European Parliament as well as EU Environment
Commissioner Stavros Dimas and Commission Vice-President Günter Verheugen, who welcomed
the initiative.
Forests play a key role in maintaining
biodiversity and a balanced climate on Earth.
Sustainable managed forests provide continuously
– besides a range of other positive
environmental effects – an important, renewable
raw material used for the production of
carton packs.
SIG Combibloc and the beverage carton
sector want to ensure with this self commitment
that appropriate traceability systems
will guarantee that neither illegally-felled
sig.biz/combibloc 01/ 08
Supporting world-wide traceability of wood fibre in
the beverage carton sector: Rolf Dieter Rademacher
(2 nd from left), as CEO of SIG Combibloc, signs the
self commitment together with the CEOs of Tetra Pak
and Elopak. Lena Ek, Member of the European
Parliament (MEP), supports the world-wide initiative
by the beverage carton sector.
wood nor wood from unacceptable sources
is used in its product chains.
“What is important”, according to Rolf
Dieter Rademacher, “is that our commitment
not only covers European suppliers, but that
it applies to all our board suppliers worldwide.
By this, we as an industrial entity go
far beyond the direct legislative influence
of the EU and show how the value chain of
an entire sector can work together to meet
important global political goals and broader
goals of society.”
Preference of FSC certification
To guarantee a high credibility level of
the traceability system, it is important that it
bases on international standards, the compliance
of which is regularly reviewed and
certified by independent experts.
SIG Combibloc prefers the standards
of the Forest Stewardship Council (FSC),
especially because these are accepted and
supported by international environmental
organisations.

self commitment to ensure
in beverage cartons
EU and WWF support the initiative
EU Environmental Commission Stavros
Dimas, Commission Vice-President Günter
Verheugen and Members of the European
Parliament (MEPs) welcome the self commitment
as important support of the EU action
plan to combat trade with illegally-felled
wood (Forest Law Enforcement Governance
and Trade, FLEGT).
In a statement the environmental organisation
World Wildlife Fund (WWF) also
recommends the initiative of the carton sector
as exemplary, but underlines that according
to their point of view only the FSC standards
are acceptable. Moreover, the WWF requests
the self commitment to be realised much
quicker. This will be an extra challenge for
SIG Combibloc in terms of practical implementation.
The European organisation of beverage
carton manufacturers, “Alliance for Beverage
Cartons and the Environment” (ACE), coordinates
all information on the implementation
status of the self commitment and will
regularly publish details of overall progress.
The self commitment, the WWF statement
and other documents are available at
the ACE website, www.beveragecarton.eu.
Environment 30/31
sig.biz/combibloc 01/ 08

SIG Combibloc GmbH
Rurstrasse 58
D-52441 Linnich
Telephone: +49 2462 79-0
Fax: +49 2462 79-2519
info@combibloc.com