HOMEGROWN packaging solutions provider Greenpac will be expanding its services and product offerings to the defence, medical and broadcast industries following a partnership with European firm CP Cases last month.
Greenpac, which helps companies achieve cost savings by redesigning their product packaging, has been selected by CP Cases as its strategic partner for Singapore and anywhere in the region that is within a three-hour flight.
The tie-up will widen the pool of potential customers Greenpac can target, especially the defence sector which Greenpac is watching closely.
'Defence is a very unique industry,' said Greenpac CEO Susan Chong. 'It's not like just any product that you can sell. You need to have certain standards, such as the ability to withstand explosives, certain drop heights and all that.'
Ms Chong acknowledged that the defence sector may not be a big market in terms of the number of customers, but the niche meant that there are not many competitors out there as well.
It is also a segment with high barriers to entry, as almost every order has to be customised to specific needs, volume is low, and any new product will have to be tested and accredited - a lengthy and expensive process by itself.
Greenpac, whose core customers are in the electronics industry, already has an extensive experience in industrial packaging. It has helped to re-engineer packaging boxes for semiconductor equipment makers, scientific instruments as well as medical equipment manufacturers. And this is done with a mind to reduce overall logistics costs - either through optimising the layout of the products in the container, or using lighter and/or cheaper materials.
Minimising wastes
In doing so, Greenpac helps to minimise wastes. It even has a patented technology for a wooden, nail-free, collapsible, packaging system. Its packaging products are made from paper or wood, and when it comes to plastic or foam materials, it advocates the use of polyethylene, which is recyclable.
The company does not manufacture the products it sells, but instead works with nearly 20 principals to produce them according to specifications.
Although the downswing in the electronics sector has somewhat affected the Enterprise 50 (E50) award winner, Ms Chong is confident that new opportunities, such as the partnership with CP Cases, will continue to sprout and provide new growth paths for Greenpac.
'I think right now there are also a few manufacturers transferring their operations from Europe and US to Singapore,' she said. 'With these companies coming to Singapore, it will also create new opportunities for us. They are in the semiconductor sectors, medical and also aerospace industries.'
On its part, CP Cases is happy to have found a 'technically adept' partner in Greenpac. As Greenpac is closer to the market and has a more intimate knowledge of customers and culture here, the tie-up will advance projects in this part of the world at a faster pace.
Technical enquiries
'We see three and a half thousand technical enquiries on our website every month,' said CP Cases chairman Peter Ross, who is based in the UK. 'And I think 30 per cent of them are not from Europe. So we have a technical marketing problem. We have to deal with customers that we can't easily communicate with, and therefore we must have partners. We can't do it any other way.'
A global supplier and manufacturer of reusable storage and protective solutions, CP Cases is backed by nearly 40 years of experience. The company is focused on the defence, medical and broadcast industries, with a wide range of products that include electromagnetic wave shielders, flame retardant containers, and a bagpack that delivers intravenous liquid to its user inconspicuously.
Although Asia accounts for a mere 5-10 per cent of its total business, turnover derived from the region is growing at some 40-50 per cent year, according to Mr Ross. A large part of the growth is driven by the constant advancements in technologies, which is spurring upgrades and new adoption by hospitals, broadcast companies and defence players.
'You know the numbers of troops are reducing and the technology is increasing a little bit,' said Mr Ross. 'If you think about putting people at risk, nobody likes losing men and women in any sort of confrontation. If you can do something without using or losing human lives, that would be the best option. With that comes technology - technology from satellite looking down, technology from UAVs (unmanned aerial vehicles) flying over you, little robots and all these stuff that doesn't get publicised very much. . . All that technology, including vehicles, all get transported in some form of containers.'
Greenpac was ranked fourth in last year's E50 awards.
