| Riding on the Labelling Boom |
| 20 May 1996 | |
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Building effective export links to expanding Asian markets is a major issue on the agenda for JAC as home markets mature and forecasters look further afield for profit bases.
Australia’s proximity to these markets offer unique advantages in the export stakes; with strong demand for quality products, direct transportation routes, and even similar time zones to facilitate the ease of doing business. Some of the strongest growth in the Asian markets is being generated by the cosmetics and electronics industries, and as demand escalates, experts are predicting a boom for the labelling industry. The REAL story behind labels today is change, and how quickly the labelling industry keeps up with this change. More than ever before, label materials must demonstrate greater flexibility in meeting the challenges presented by a diverse group of customers who label everything from top shelf prestige health and beauty lines. through to 100 per cent recycled cartons. A significant part of JAC's annual market growth is as a result of the company's research and development capabilities to develop new self-adhesives and label stocks - examples of which will be showcased at LABELEXPO.
Meeting Consumer Demand The result is a clean and uncluttered image for prestige products. JAC's no-label look is achieved by combining its sophisticated laminating and converting technology with top quality micro-thin vinyls, polyprop-ylenes and/or polyethylenes. The newest developments in the arena of filmic (synthetic) self-adhesive films will be presented to LABELEXPO delegates by Carol Lawrence, JAC Roll Product Market Manager. "Packaging and label designs are constantly being evaluated on the basis of whether they meet the requirements for performance and their shelf appeal," says Dr Lawrence. The constant search for a prestige look and the ultimate in shelf-appeal guarantees an ongoing demand for advancements in label technology. This is an area where JAC has established itself as a leader in self-adhesive manufacturing. "In South East Asia, JAC produces innovations at the rate of some 20 new products each year," says Dr Lawrence.
New labels on the horizon The Range also includes: PolySelect - a matt finish PF film in while and clear stock and PolyGlass - a high gloss clear finish PP film which offers the ultimate in achieving the 'no label' look on PET, PVC and glass containers.
JAC Export growth Jac Australia now exports to nine countries, including an expanding number of Asian centres such as Malaysia, Indonesia, Papua New Guinea, Thailand and the Philippines. This nucleus of export markets accounts for between 15 and 20 per cent of JAC's annual turnover, a figure which is expected to grow over the next 18 months according to export manager, Pat Khan. "JAC sees a number of emerging business trends in the Asia Pacific region which are compatible with our existing customer base," says Khan. "For instance, we're already a major supplier of self-adhesive labels to the pharmaceutical and health/beauty care industries, both of which are rapidly opening up new offshore markets. "By utilizing the resources of our established Asian distribution network, we are in a good position to help these last growing businesses maximize their market potential" Much is made of the importance of long term relationships in doing business in Asia. "The most critical factor in penetrating the Asian market is to understand what happens to your product once it has left your warehouse," says Khan. "Because many labeling operations in Asia are located in high rise buildings, for ease of handling it makes sense for us to supply much smaller rolls. "JAC is currently in the process of adapting our shipments to meet this particular local need."
Future trends At the same time, increases in the number of ink jet printers in the region have some in the industry predicting a sharp rise in variable data print runs on labels, along with a boom in bar-code usage. Both will have a significant impact on the label industry at a time when more international companies are opening local offices to service the needs of the region's expanding new markets.
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