Reaching for the stars

Edition 3, 2011
A world of opportunities
Reaching for the stars
Patrick Lushaba’s dream to become a qualified fitter and turner is going according
to plan since he joined East Rand Plastics a little over 18 months ago.
Armed with a matric and the first
theory year (S4) of a mechanical
engineering diploma, Patrick
Lushaba was in the market
for a position where he’d be able to
undergo the one-year in-service practical
component of his tertiary education. But
with very few employment opportunities,
he was unsure of how that might happen.
‘I decided that I had to at least get
some kind of job to support myself, and
discovered that East Rand Plastics was
hiring,’ he recalls. ‘I was willing to do
anything just to get in the door but was
thrilled when I landed an assistant operator
position – it meant that I would be using
my training immediately. It also meant that
there would likely be a tool room in the
business and, if I worked hard, I might be
able to work my way into it.’
‘It didn’t take long for Patrick to stand out
among his colleagues,’ says Cliffie Randall,
a 21-year East Rand Plastics veteran and
head of the extrusion department. ‘He had
star quality: an enthusiasm and desire to
learn that was really uplifting.’
So, earlier this year, when it was confirmed
that the company would be installing
two Kieffel multi-layer extruders, Patrick
was earmarked as one of the potential
operators of this highly sophisticated
equipment.
Patrick was born in Mayflower in
Mpumalanga but moved with his family
to Joburg’s East Rand when he was in
primary school. One of four children,
he’s the first to have achieved any level
of tertiary education – a journey that
his entire family are extremely proud
of. ‘I’ll be embarking on the practical
component of my diploma from
January 2012 and, if all goes well, I hope
to be able to register for a full fitter-andturner
apprenticeship after that,’ he
says.
‘I really love what I do. I’m privileged
to be working in the field that interests
me and also furthering my professional
skills along the way. I want to thank
those who had the faith to hire me. I
assure them that I’ll meet and hopefully
exceed their expectations.’
in this
issue ... 7 8
Astrapak shines in
Gold Pack Awards
2 10
Packaging that’s as
smart as a fox
So much more than
tree-hugging
Change is underway
at ERP
ASTRAPAK NEWS 1

Astrapak shines in Gold Pack Awards
Astrapak took a magnificent seven in this year’s Gold Pack Awards.
The Gold Pack Awards, which have
been in existence since 1974,
are the South African packaging
industry’s highest recognition platform
for innovation and design in all forms
of packaging. So Astrapak’s seven
triumphs speak volumes.
‘We constantly bang on about the
need to innovate and the results of this
year’s competition indicate that we’re
doing something right,’ says Group
marketing executive Charles Muller. ‘It’s
about not resting on our laurels, though:
we need to ensure we’re constantly
at the forefront in a never-ending
quest to provide our clients and, in
the end, consumers with value-added
packaging.’
The Awards are conducted under the
auspices of the Institute of Packaging
SA, and this year attracted 133
entries. Winners from this competition
are entitled to enter into the World
Packaging Organisation’s WorldStar
programme.
This year, Astrapak won:
See page 12 for the product
pictures
Best in Category, Automotive
Sasol 5l lubricant container
Pak 2000 and JJ precision
Plastics collaborated on this
project and the judges were
impressed with the
pack’s 90-degree
moveable
handle, the first
of its kind on a
blow-moulded
container. The
colour-coded
grip, tapered
neck and
dual tamperevident
colourcoded
tapered
closures also
received warm
praise.
Pak 2000 and JJ Precision Plastics
produced a bottle with a tamperevident
cap and extendable/
retractable spout for reuse. Judges also
mentioned the favourable size and
shape of the bottle, as well as the blowmoulded
colour variants and five-colour
screen printing.
Best in Category, Health & Beauty
Woolworths oval tubes
Consupaq were praised by the judges
for the improved design, which allowed
more space for branding and consumer
information, as well as the sleek, more
feminine look of the tubes. Flexo-printed
pressure-sensitive labels were used to
create a ‘no-label’ look.
Gold medal, Health & Beauty
Lux body-wash range
Cinqplast Plastop manufactured the
bottle and the judges were impressed
with the package as a well executed
pack.
Gold medal, Health & Beauty
Vaseline Petroleum Jelly
jars
JJ Precision Plastics
and Plastop KZN
developed a new,
modern look for this
iconic brand.
The
judges were pleased with the
functionality of the jar, especially the
flip-top lid.
Best in Category, Other
Cremora coffee creamer
Cinqplast Plastop pleased the
judges with this design, particularly
the spout, which not only protects
the contents but also negates the
need for an internal hermetic seal,
making the pack easier to use and
saving costs.
Best in Category, Family
Sasol lubricant range – 5l, 1l, 500ml &
200ml
Pak 2000 and JJ Precision Plastics were
rewarded for creating a range of
packaging sizes that created a sense
of ‘family’. The judges were impressed
with the way that common elements
between the various sizes had been
incorporated to create a
clear brand identity even
from a distance.
2
Gold medal,
Automotive
Castrol 500ml
lubricant bottle
ASTRAPAK NEWS
Bonke Dlamini (left) and Phil Sereme (right) from Nestle were on hand with Astrapak’s Charles Muller
(centre) to accept the Best in Category Award for the innovative Cremora pack.

Message for
the Festive
Season
It’s been a tough year
on many fronts, and
as we wind our way to
the holiday season, it’s
worth reflecting on what
we’ve achieved in the
face of challenging
circumstances.
The reorganisation of our physical
business footprint continued
this year as we consolidated
operations into a more logical
structure. This will lead to greater efficiencies as we’re able to strip out
unnecessary duplication in expenses. The story about Knilam and Saflite
on page 4 is a perfect case in point. The businesses represent some
fairly advanced packaging ideas, serve similar customers and will now
be able to benefit from a more knowledgeable and coordinated sales
approach. This consolidation should reflect a quick positive impact on
the bottom line.
We’ve also reorganised the senior management structure, with an
additional person to look after the east coast region, so that each
operational general manager has the very best support and guidance
to achieve their demanding budgets and goals.
We experienced a major disruption during the year with the labour
strikes that occurred around the country. As I wrote previously, I support
the right to strike but I still ask if it was the right thing to do at the time.
Our economy, and global economies, are in a precarious state at
the moment, and I feel we need to be pulling together to build our
common prospects rather than pulling apart and threatening our
individual futures. Hopefully, we as a country have learned from the
experience and we’ll see more measured action in the year ahead.
Whatever be the colour of your eye,
Whatever be the colour of your hair,
Whatever position you occupy,
Whatever religion you might declare,
Whatever be the colour of your skin,
Whatever be your political thought,
Virtue be in your heart, or deadly sin,
Whether you have treasures, or possess nought,
In this Festive Season please turn your face
Towards a stranger and hold out your hand,
Offer him, or her a friendly embrace
And try to make him, or her understand,
That we are all of the same family.
by Peter J. Oszmann
Our shareholders continue to believe in our future. By the end of this
financial year we’ll have spent about R180 million on new equipment
and improvements to better position the company in a fast-changing
world. Much of the new kit will have been installed and be operational
by the time you get this newsletter, and I’m confident that it’s going to
make a fundamental difference to how our business is able to compete
in an extremely aggressive marketplace. The product innovations
introduced at once-beleaguered East Rand Plastics (see page 11) are
a good example of how we’ll be able to differentiate ourselves from
the merchants of commodity products where their only differentiating
factor is price. We want to add value for our clients.
I’m really encouraged to read about Patrick Lushaba and his personal
quest to become a qualified fitter and turner. That is what this
company and this country needs if we’re going to compete headon
with international players like China. Dedication, commitment,
hard work and a desire to improve our academic capabilities are the
cornerstones of what will make us successful as individuals and as a
country.
So, going into the holidays, I believe we should be quietly confident
about the year ahead. Yes, consumers are still going to be under
financial pressure and, in turn, that means we’re going to experience
similar challenges. But we’ve made improvements and are better
positioned to deal with them in a positive way.
I wish you and your family all the very best over the holiday season.
Take time to spend some quality time and enjoy each other and the
festivities. But drive safely. You’re all important to us. Good health for
2012.
Regards
ASTRAPAK NEWS 3

Change for the better
Knilam and Saflite have combined operations onto one premises
and the benefits of the consolidation are expected to start
impacting positively on the bottom line as systems and staff
become ‘ fully integrated.
The consolidation of Knilam and
Saflite into one larger building has
been completed, and general
manager Deon van der Merwe and
commercial manager Brennan Sharp
say the transition went well. ‘We had
support from the guys at Thermopac
and our own staff really came to the
table, working after hours and putting
in the effort to minimise production
downtime,’ says Deon. ‘I wish we could
say the same for one of our key external
suppliers, Telkom: we were without
phone lines for a week as red tape and
bureaucracy took its toll.’
The new facility is located in Epping,
one of the Cape’s most established
industrial nodes which offers easy
access to all major arterial routes
and is a short drive to the airport. The
offices have already been used as a
centralised meeting point for people
flying in from other cities. At
2 800m 2 , the building is double the size
of the two it replaced, and there’s
sufficient yard space to build additional
Happy to be at their new premises are (from left) Ian Williams, Deon Jacobs, Tony America, Hanzel Small and Johan van Eeden.
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ASTRAPAK NEWS

warehousing if required in the future. The yard can easily
accommodate large tractor-trailer vehicles, making
deliveries easy, and the area is well-served by public
transport.
‘Change is always tough,’ Deon observes. ‘No-one really
likes being out of their comfort zones, and both Knilam
and Saflite had been at their old premises for many
years. I’m pleased to say that we lost no jobs with the
move to our new site, and keeping our experienced staff
is what has helped to make the transition smoother. Our
first team gathering at the beginning of October was a
combined staff get-together as well as the launch of our
World Class Manufacturing programme, and it went off
very well.’
Knilam and Saflite service highly specialised sectors
of the market and in many instances share similar
customers. The move to a single property with combined
sales expertise is bound to create synergies for growth.
Specialised products
that make a difference
Plastic is a material that invites
innovation. Saflite and Knilam are both
leaders in packaging formats that
make a real difference locally and
internationally.
The Astrapouch, a multi-layer stand-up pouch with a global patent
registered, has taken the wine market by storm. Ideal for a product
that’s exported or transported over long distances, it’s lighter than
traditional glass bottles and takes up less space, ensuring that a
container is packed with more wine than packaging.
The Astrapouch incorporates some high-end technology to achieve
the highly decorated film finish, seal integrity and barrier properties
required to maintain the required product quality and shelf life. And
Saflite is soon to install the latest spout-insertion technology to further
progress this innovative package format.
The Astrapouch also scores high ‘green’ points, and this is
increasingly important for producers looking to export wine to
countries such as those in the Nordic region that are extremely
environmentally sensitive.
Knilam, in the meantime, has led the local fresh produce industry
on the modified atmosphere packaging (MAP) front for a number
of years. While simple in concept – MAP is about ensuring the
packaging retains the ideal conditions to keep a certain type of
produce fresher for longer – the implementation is highly scientific.
It involves assessing the respiration rate of each product, then
designing a package that can regulate the respiration rate and
thus achieve shelf-life extension.
Last year Knilam won a prestigious global award from the
International Union of Food Science and Technology (IUFoST) for a
version of their FreshWorks MAP bag for bulk mushrooms.
ASTRAPAK NEWS 5

Penpak raises the
manufacturing bar
Peninsula Packaging is entrenching its position as one of
the premier manufacturers of blown and printed film in the
Western Cape with the recent commissioning of state-of-the-art
equipment valued in excess of R30 million.
Peninsula Packaging (Penpak)
is in the process of reorganising
its production capabilities to
ensure that each operation is a centre
of excellence, offering the very best in
quality in both production and print.
That was the message from regional
chief executive Keith Watkins at an
open day attended by 70 customers.
‘The new equipment is industry-leading
kit and will provide opportunities and
capabilities that we simply did not have
access to in the past,’ Keith said.
The new Reifenhäuser-Keifel extruder
– one of four in the Group – is capable
of producing 500kg per hour of multilayered
film and, coupled with its
radioactive isotope gauge monitoring
system, can ensure that manufacturing
specifications are maintained within 2%
of tolerances.
Another addition to Penpak’s
production line is the W&H Miraflex
eight-colour printer. With a high runspeed
and advanced registration
technology, the new printer is capable
of producing the highest-quality printed
film, with product changeovers taking
less than 20 minutes.
‘This equipment is part of our national
programme to strengthen and position
our operations as the industry leaders
in their chosen segments,’ Keith said.
‘The new multi-layer extruder will
produce several product lines, including
specialised film for the milk-sachet
market. This industry is capital intensive
and demands regular investment to stay
abreast of technological advances.
Astrapak is committed to remaining a
leader, a strategy underscored by the
Group’s investment of around R180
Inspecting a sample from the W&H Miraflex eight-colour printer recently installed at
Peninsula Packaging (from left): machine operator Shawn Williams, Robin Fortune,
operations manager Mike Thompson and print manager Patrick Meyer.
million in new equipment this financial
year.’
Penpak has also introduced two
innovations this year. The first, a resealable
bag with shelf-life extension
properties designed specifically for
lettuce, has been an instant success,
replacing the traditional punnet and
shrinkwrap format. The second, the
Fox Bag (see opposite), is designed
for citrus, potatoes and onions, where
breathability is an important factor. The
combination of a film front and mesh
rear offers shelf-life extension properties
without detracting from attractive
branding opportunities.
Penpak was established in 1979 and
became part of the Astrapak Group
in 1997. It’s now one of the largest
producers of film for the fresh produce,
bakery and industrial sectors to both the
local and export markets in the Western
Cape, is ISO 9001:2008 accredited and
has one of the cleanest plants in the
local industry.
‘Our industry is constantly evolving,
requiring advancements in the materials
used to create packaging as well as
the physical form they take,’ Keith said.
‘Astrapak is committed to setting the
pace on both fronts, and our customers
will reap the rewards of this approach.’
6
ASTRAPAK NEWS

Packaging that’s as
smart as a fox
It’s been a good year for Penpak on the innovation front and
the new Fox Bag is leading the pack.
Bag manufacturing supervisor Willem Frazer (right) oversees machine operator Gerry Richards as she produces the revolutionary Fox
Bag, a new product developed by Penpak.
Packaging offers a variety of
functions to a product that
adds utility, protection and
presentability being two of
the most obvious. But it’s the shelf-life
extension of fresh produce offered by
Penpak’s innovative Fox Bag – a first
in South Africa – that’s getting leading
retailers talking.
‘Shelf-life extension is usually associated
with produce that has been processed
to some degree,’ says Penpak sales
manager Paul Dewrance. ‘Knilam
has carved a successful place in the
market with a wide range of modified
atmosphere packaging products but
the Fox Bag is the first to offer the same
properties with larger items like onions
and potatoes.
‘In addition to the extended shelf life
– which means less wastage because
produce lasts longer – packers aren’t
having to sacrifice the marketability
of their goods. The netting provides
breathability while the solid plastic
film portion leaves plenty of space
for branding in high-quality colour,
something not easily done with hessian
or multi-layered paper alternatives.’
The Fox Bag, made up of a solid plastic
film and mesh insert, offers a number of
advantages over the traditional forms
of packaging used for bulky produce
like butternut, squash, oranges and
lemons, including:
• Breathability: the mesh ensures free
air flow, reducing sweating, which
in turn reduces the likelihood of
mould or other deterioration.
• Smell and flavour: shoppers
are better able to appreciate
the smell of the produce and
the better storage conditions
preserve flavour.
• Import replacement and export:
Penpak’s Fox Bag meets the same
exacting standards of similar
products made in the USA and is
already earmarked for export to
other African countries.
• Price competitiveness: the Fox Bag
is more cost effective than many of
the products it can replace, such
as multi-layered paper bags and
hessian sacks.
• Recyclability: all materials used in
the manufacture of the Fox Bag are
100% recyclable.
ASTRAPAK NEWS 7

So much more than
tree-hugging...
The importance of being environmentally friendly is constantly highlighted in the media
– that’s not new. What has changed is that people have become really creative about
making a difference. Most of us have adopted the ‘reduce, reuse, recycle’ regimen on
some level in our homes or at the office, but a heightened awareness of environmental
concern demands a constant stream of new approaches and new ideas. We salute two
such initiatives: COP17 and Climate Smart.
Big expectations for COP17 climate change conference in Durban
At the end of November,
20 000 delegates from
more than 190 countries
will descend on Durban to
attend the 17th Conference of the
Parties (COP17) tasked with finding
a solution to the global threat of
human-made climate change.
Since 1995, UN signatory countries
(called ‘parties’) have been meeting
each year to tackle key climate
change issues such as reducing
greenhouse gas emissions. If we
continue to emit greenhouse gases
at current rates, we risk warming
the earth’s atmosphere by more
than five degrees by the end of the
century and seriously damaging
both our natural environment and
society. Measured per capita, South
Africa is one of the worst offenders,
particularly among developing
nations. In fact, South Africa emits
more carbon dioxide than the rest
of Africa combined. Our record on
a global level is equally poor: over
80% of the world’s emissions come
from 15 countries and South Africa, at
number 13, is one of them.
This year, the pressure is on to secure
a new global climate agreement or
a second commitment
period for the Kyoto Protocol,
which is a legally binding measure
committing countries to reduce
their greenhouse gas emissions. (The
Kyoto Protocol’s first commitment
period comes to an end in 2012.)
There’s been resistance by some
countries, most notably the USA – the
largest greenhouse gas emitter –
who feel the restriction of emissions
will have a negative impact on
their economies. But there’s hope
that a new climate agreement or
second commitment period will
be reached, forcing developed
countries to reduce their emissions
and addressing the growing emissions
from developing countries.
Other pivotal issues likely to be
discussed in Durban will be a carbon
budget, including securing longterm
finance for climate action
and deforestation. South Africa’s
International Relations Minister, Maite
Nkoana-Mashabane, has singled out
‘adaption, adaption, adaption’ as a
key highlight of what needs to come
out of the COP17 conference.
Carrotmobbing comes to Africa
Since 2008, Carrotmob events
have been organised all over
the world and Africa’s first
Carrotmob event took place
recently in Cape Town.
The Climate Smart Cape Town
campaign team decided to target
restaurants for their first Carrotmob. A
number of restaurants were invited to
submit a proposal outlining what they
would commit to, and the business
with the most ambitious bid was
awarded the event.
Hundreds turned up at Maria’s Café
in Gardens for a drink, great food
and music to support the owner’s
commitment to use all the revenue
earned from the event to:
• Set up a communal composting
system for use by neighbouring
restaurants and residents.
• Establish an urban garden to
grow herbs and fresh produce for
the restaurant.
• Produce a manual to guide
the hospitality industry how to
operate more sustainably.
• Educate staff, suppliers and
customers.
• Use natural or organic products
and services.
• Invest in solar panels.
• Buy Green Electricity
Certificates(see opposite).
What is Carrotmob?
Carrotmob is a global
movement aimed
at creating social
change. It builds on the
power of consumers to change
the way businesses operate. A
large group of customers ‘mob’ a
business on a certain day, buying
goods and services; in return,
the business agrees to invest a
certain percentage of the profits
into improving its environmental
or social impact. A Carrotmob
uses a ‘carrot’ instead of a ‘stick’
to change business behaviour.
Basically, it’s a ‘buycott’ instead of
a ‘boycott’.
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ASTRAPAK NEWS

Courtesy of Plastics|SA and Plastics Europe.
ASTRAPAK NEWS 9

Change is underway at ERP
The winds of change are blowing through East Rand Plastics, with recently
appointed general manager Dieter Kreissel firmly at the controls.
East Rand Plastics’ management team, from left: Dieter Kreissel (general manager), Ramon Scheepbouwer (sales manager), Wessel
Richter (financial manager), JP Venter (operations manager - retail) and Terence Oliver (supply chain & logistics manager).
East Rand Plastics is the largest
operation in Astrapak’s
portfolio – but that hasn’t
shielded it from torrid times.
There was the severely debilitating
industrial action in the last financial year,
including violence, damage to property
and the replacement of almost the
entire workforce; and the business
has been hard hit by the slowing
economy and increased competition
in the marketplace. Quality suffered,
customers were dissatisfied and the
sales team were disillusioned.
But reorganisation within the Group,
Craig Lowe assuming executive
responsibility for the operation, and a
coordinated turnaround programme
have started to make the difference.
And the appointment of Dieter Kreissel
as general manager is set to accelerate
that process.
Dieter hails from the automotive
industry; for the five years before joining
Astrapak, he was general manager of
a plant that had 400 CNC machines
with 60 production lines supplying
components to every car manufacturer
in South Africa. He has a metallurgical
background, has completed an MBA,
studied strategic business management
in Germany and is an ISO 9000, 14 0000
and ISO TS 16949 auditor. So it’s fair
to say that Dieter has a firm grasp of
business and quality.
‘I’d spent almost 15 years in the
automotive sector, which included
bringing a business back from the brink
to profitability,’ he says. ‘In fact, in my
last year we were awarded Supplier
of the Year status by Toyota SA and
were in line for a similar accolade from
Mercedes Benz.’
The timing for someone of Dieter’s
experience to land at East Rand
Plastics couldn’t be better. ‘What really
impressed me when I first arrived at
the beginning of August and started
to understand the situation was the
workforce’s desire to go forward in a
positive way,’ he says. ‘I believe that the
staff have a desire to be led and create
a successful working environment for
themselves. Everyone here has at least
a matric certificate, they’re keen to
learn and improve their lives – and
that’s music to my ears.’
With around 400 employees at East
Rand Plastics, Dieter has made it
one of his personal goals to ensure
that each person is treated with
integrity and honour. ‘One of my core
responsibilities is to lead a profitable
and sustainable business, the kind of
operation that will yield well-paying,
long-term employment opportunities for
our staff,’ he says. ‘But they also have
responsibilities and must reciprocate
with commitment and a desire to
consistently produce high-quality work.
If we combine our responsibilities, we’ll
take East Rand Plastics to heights it’s
never experienced before.’
10
ASTRAPAK NEWS

ERP enters the myth-busting game
Fact or fiction: the Flexibles business must remain stuck in the
commodities game. East Rand Plastics goes myth-busting.
Like the premise behind the
popular TV show Mythbusters,
East Rand Plastics are about
to challenge an often-touted
fable with the launch of three new
brands: AstraFresh, AstraFreeze and
AstraTough, each serving a particular
segment of the market.
‘Thanks to some creative thinking,
customer research and technical
capabilities of our new Kieffel multilayer
extruders, we’ve been able to
take a different approach and develop
some innovative packaging solutions,’
says industrial sales manager Ramon
Scheepbouwer.
AstraFresh will be the first bag in
the country to extend the shelf life of
bread. Sophisticated technology in the
formulation of the protective layers will
ensure that oxygen is removed at the
same time that any microbial action is
eliminated or reduced. The end result
will be a loaf of bread that retains
its ‘springy’ feel longer and doesn’t
become mouldy.
Shelf-life extension isn’t a new concept
in the plastics sector – Knilam Packaging
(see story on page 5) has been a
leader on the modified atmosphere
front for several years – but it’s in the
traditional film or Flexibles market
where not much has happened until
recently, when Peninsula Packaging
broke new ground with their lettuce
bag highlighted in the last edition
of Unpacked.
‘One of the significant advantages
of plastic over other substrates is the
ability to innovate and add value
through technology,’ says Ramon. ‘Our
new products are going to add value
for both our customers and the end
consumer, and that’s the hallmark of
real innovation.’
Frozen foods are also set to benefit from
technological advancements, and the
AstraFreeze brand will offer better
sealability and improved puncture
resistance, resulting in less wastage for
packers as well as consumers.
The bag-tube market, characterised
by rough-and-tough handling
conditions, will see advantages from
the AstraTough range of speciality
formulations. Typically this includes
products like fertilizer and lawn dressings
that are loaded and unloaded by
hand or on mechanical bag stackers.
Durability to withstand these conditions
is extremely important, as breakages
lead to the loss of significant value.
‘We at ERP can be justifiably
proud of the equipment now in
place – and we have a new eightcolour
printer on its way which will
boost our capabilities on that front
too,’ says Ramon. ‘These technical
advances will enable us to devise
new solutions for customers and
consumers alike, and that’s good
for business.’
ASTRAPAK NEWS 11

ï
innovation!
The key to award
winning packaging.
ï creative design and decoration
ï improved materials technology
ï effective tamper evidence
ï impressive shelf impact
ï improved product dispensing
reduced carbon footprint
Charles Muller +27 11 615 8011 • www.astrapak.co.za
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ASTRAPAK NEWS