Australia-based sustainable resins manufacturer and marketer Cardia Bioplastics has set up a film and bag manufacturing plant in Brazil, which will help the company to produce up to 500 million retail carry bags every year.
The company has set up this plant in Brazil owing to the increase in the demand for environment-friendly bags. The production at the plant will commence in September 2014.
Some of Cardia Bioplastics' Brazilian clients are Ricoy Supermercados and Drogaria Araujo.
The production of the new plant will be four times that of Cardia's facility in Nanjing, China.
Cardia Bioplastics Latin America managing director Joo Paulo Mignot said: "The Brazilian retail market is a major market for our Biohybrid carry bags. With our own production coming on stream, we are now poised to deliver the increasing orders that we have been receiving, whilst further growing the business."
The company has used vendor finance over a period of twelve months to acquire the production machinery, which costs around A$750,000 ($694462.4).
Cardia Bioplastics managing director Frank Glatz said: "The establishment of Cardia's own production facilities in Brazil could not have come at a better time.
"We have seen strong growth in demand for Cardia Biohybrid bags - environmentally preferred bags that use less oil, have a lower carbon footprint and are heavy metal free, driven by consumer, retailers, brand owners, municipals and government."
