Due to an upsurge in demand of its glass food & drink packaging ranges, Aegg is gearing up to open its first major UK warehouse facility.
Aegg, the growing global recyclable glass and plastics food packaging company, is expanding due to a big increase in demand for glass, by preparing to open its first major warehouse facilities near Eye, Suffolk UK later this year. The facilities will house its four glass ranges including
1. glass jars and bottles for food
2. glass bottles for soft drinks, juices and soups
3. glass bottles for water
4. a table-presentable range of pressed table glass
The company can also create bespoke glass items to meet customer specifications. Its first major warehouse comprises 60,000 sq feet (with the ability to be expanded to 100,000 sq feet) alongside a facility for the manufacture of rigid, recyclable plastic food packaging as part of phase 2. £3.1 million is being invested by Aegg Ltd in improving and equipping this new facility, enabling production and warehousing operations and will result in creating 50 new jobs. This business expansion has been supported by New Anglia Local Enterprise Partnership through the Growing Business Fund as well as separate support from Lloyds Bank Commercial Banking. A related property company has invested a further £3.0m to purchase Aegg land and buildings, totalling £ 6.1 million investment in Aegg facilities altogether.
Aegg has invested additionally in its own distribution fleet of 27 vehicular units. Together with this new warehousing, this fleet gives the company greater control over the supply chain, giving its customers enhanced confidence in Aegg’s ability to deliver contractual quantities in full and on time.
Aegg’s managing director, Jamie Gorman, said “Our new UK manufacturing facility and transport fleet will enable our customers to take advantage of our expanded turnkey operations, from conceptual design, production, warehousing, right through to logistics and delivery to our customers’ production lines. Being based in the UK, customers can also take advantage of protection from Brexit driven exchange rate changes as well as excellent transport links, with our export customers also benefitting from its close proximity to Felixstowe port, Britain’s biggest and busiest container port.”
“Our new combined unit has also come about from the huge upsurge in demand for glass food & drink packaging over the past couple of years. Aegg has seen a major shift from customers towards glass packaging, in line with global demand, due to glass being fully recyclable and deemed by some customers to be greener than plastic packaging, although our recyclable PET and PP plastic ranges are still proving popular. Although there is a shortage of glass packaging available in the UK marketplace at the moment, Aegg has worked hard with its suppliers to secure new volumes for its UK and global customers. In addition, Aegg is working with suppliers to create bespoke glass packaging items for its customers, including jars for jams and sauces and bottles for soft drinks and juices as well as pots for desserts, starters and dips”
“We showcased our initial table-presentable and glass packaging ranges at Packaging Innovations earlier in 2019, which resulted in a huge interest in the products, with new opportunities arising from some of the bigger players in food and drinks markets. Although we have a successful history with plastic food packaging, we are envisioning our glass offering will grow to become 50% of our business this coming year. Our glass ranges in ‘standards’ comprise over 40 items as we speak, and this is growing all the time. The capability to create bespoke items is in addition to this. With our new unit in Eye, expanding ranges and strong relationships with suppliers in place, we are ideally set up for further growth in our business, providing a robust, all-embracing and cost-effective service to both our UK and export customers.”
Chris Starkie, Chief Executive at New Anglia Local Enterprise Partnership, said: “We’re pleased to enable Aegg to expand from its home base in Hampshire into our region, building a new warehouse, equipping a new manufacturing facility and creating 50 jobs. It’s a growing business with a global reach that will be a great asset to the business community in Eye in Suffolk.
“It’s also good news for our thriving food and drink companies to have innovative recyclable plastics and glass packaging in the vicinity which could reduce transport and logistics costs.”
Will Gage, relationship manager at Lloyds Bank Commercial Banking, said: “Aegg Limited has benefitted from a surge in demand for reusable packaging materials, as businesses and consumers alike respond to the need to better look after our planet. The new warehouse that has been purchased with Lloyds Bank funding support will allow the business to manufacture products in house and, as a result, drive profitability. Moving forward, this will put the business in a strong position as the demand for sustainable packaging for the food and drink market continues to rise.”
Aegg is a dedicated food and drink recyclable glass and plastics packaging company supplying pots, bowls, jars and bottles into global markets. Aegg packaging can be found on premium shelves of major supermarkets and increasingly on airline meals and in foodservice outlets. All Aegg’s packaging is manufactured at world class accredited production sites, in Europe, including at its related Bulgarian plant and elsewhere across the globe. The company will expand its offer through in-house production at its new UK manufacturing and warehouse site. This development enables each packaging solution to be optimized for unit cost, production and delivery lead-times and technical expertise. Aegg offers ‘off-the-shelf’ products as well as turnkey project management solutions. With its own in-house design team, customers can come to Aegg for their more bespoke or creative packaging needs. The miniAegg service offers ‘off-the-shelf’ products in smaller quantities, from one box upwards, suitable for companies with restricted space or budgets or for larger companies wanting to conduct product trials.