January 25th, 2019 – Jindal and Treofan are making significant progress in the development of the industrial plan generated by the opportunity to integrate the two companies, aiming at forming the most successful European supplier of packaging and label films with the broadest portfolio of specialty products.
Today the management has made public that a component of the new business plan is the closure of the production site in Battipaglia, Italy.
It is a very difficult decision and the management is fully aware of the impact on the colleagues working there, on their families and on the territory.
Therefore, the management will work to find a socially acceptable solution during the negotiations regarding the exact procedure, which are about to start. Many colleagues effected have been part of the organization for many years, and by no means are they to blame for the fact that the market environment has changed so drastically over the past few years.
Given the extreme price and cost pressure in our industry, being competitive in every aspect of the business is absolutely critical in building the Jindal Treofan Group future:.
Battipaglia, unfortunately, is a relatively small site with seasoned assets focused on commodity products. Taking into account the manufacturing set-up, the general overcapacities existent in the market and Jindal Treofan strategy based on added-value specialty films, maintaining this production would mean assembling further losses which, eventually, would hurt all other parts of this company.
Jindal Treofan strategy, instead, is to build a manufacturing footprint that will be competitive in terms of quality, capacity, cost of labor, logistics and other key parameters. The shared mission of the joint management team is to make this happen.
The management’s key priority is to successfully integrate the two companies on the levels of team, processes and production, building the base for a sustainable future, for the benefit of all stakeholders: clients, workers, investors and local communities.
Press contact on this specific topic:
Ulrich Gartner
Gartner Communications
ulrich.gartner@gartnercommunications.com