US-based corrugated box maker Welch Packaging is considering a $16.54m expansion that would help in the creation of 118 new jobs in the next three years.
Welch Packaging specializes in making corrugated packaging, boxes and other industrial products.
The proposed expansion will use $4.5m in building expansion and $12.035m for investment in new equipment.
The new jobs are expected to be created by April 2018, with 71 jobs to be added this year and another 28 in 2016.
It has also presented a tax abatement request related to the proposal before the Elkhart City Council.
The Elkhart Truth reported that a majority of the jobs to be created as a result of the expansion would be production posts and would pay $31,292 annually. The others would pay an average of $36,200 a year.
While the company is considering its sites at 1020 Herman Street and 1130 Herman Street for the expansion, a letter from Mayor Dick Moore also suggested that they might be considering other sites as well.
Headquartered in Elkhart, Welc Packaging also has operations in Indiana, Illinois and Ohio.
The company has been experiencing steady growth lately. In 2014, it acquired Illinois-based Go Packaging which was followed by the acquisition of Marion-based Indiana Corrugated. In November 2013, officials had announced the acquisition of Nova Packaging, also in Marion.
If approved, the tax abatement will help the company save around $870,032 in property taxes over five years. The new jobs would generate an extra $64,060 annually in local income taxes.
Image: Welch Packaging produces corrugated packaging, boxes and other industrial products. Photo: courtesy of Jasmaine Mathews/freeimages.com.
