Silpack Industries Ltd

Introduces Next Generation Packaging Solution

Packaging might be the unsung hero of the fresh produce industry. It might not be the sexiest part of the supply chain. It is a sector that might be perceived – wrongly – as a less glamorous component of the supply chain. But without adequate solutions that work up and down the chain, produce will never arrive for presentation at the right quality. However, behind the scene as Mr. Masila Kanyingi found out in a thirty minutes tour of Silpack Industries Ltd, there exists a wealth of innovation and dynamism within freshproduce packaging. Silpack the introducers of SoliQ brand in Kenya has been exploring innovative methods to boost sustainability, increase efficiency, reduce costs and improve packaging as a marketing medium. The newest kid in block from their R&D department is “i pack”, the next generation packaging solution as Mr. Parit Shah, a Director with Silpack Industries Ltd, proudly refers it.

Masila: The flower industry has been yearning for quality packaging solutions; briefly discuss your efforts to quench their thirsty.

Parit: Over the past few years, we have recognised that growers have invested heavily in selection of the right variety and the best production practices for quality production. However, today the bottom line has become more dependent on ensuring quality produce reaches the market in the same quality. To ensure that our customers maintain the same quality throughout the cold chain, Silpack Industries Ltd introduced the SoliQ branded cartons, printed SFKs and other branded packaging products. However, despite this advancement in technology, some customers continued to prefer the traditionally constructed box using relatively weaker paper. This compelled Silpack Industries Ltd R&D department to engage into further innovation to ensure these growers still enjoy a strong box all through the cold chain. The fruits of these efforts are “i pack”, the next generation packaging solution.

Masila: Briefly discuss i pack, the products it covers and how it works.

 

Parit: As stated above, i pack is the next generation of packaging materials designed to enhance performance. The solution is available to all types of cartons that are used in the flowers and fresh produce sectors. It can be used in flower boxes, herb boxes, vegetable boxes and trays among others. The box is constructed using reinforcement band within the box, under patented technology. This will ensure customers enjoy a continuous drive for increased efficiency and commercial advantage in their facilities and through their supply chain.

Masila: You have kept on calling it a solution; explain to growers why you believe you are introducing a solution to them.

Parit: Despite all the advancements in paper technology and the availability of SoliQ boxesway down the chain. To understand the benefits, one must look at it as an integral part of the cold chain. In all our products, we have always concentrated on the Total Cost of Ownership philosophy. The Total Cost of Ownership tests the true cost of packaging including benefits or losses that arise from using that option. As illustrated, SoliQ box – Costs USD 0.20 more than a conventional box but saves 250gms on airfreight thus the total cost of ownership of using a SoliQ box is USD 0.30 less than using a conventional box to do the same job.

 

TOTAL COST OF OWNERSHIP

Original

 

SoliQ Box

Box Price

$1.50

 

$1.70

Box weight

1,250 gsm

 

1,00gsm

Air f. cost x kg

$2.00

 

$2.00

Air freight cost

$2.50

 

$2.00

TCO x box

$4.00

 

$3.70

0.30 USD x box

Saving in  % box price 20%

Likewise, an i pack box – Costs USD 0.10 more than a conventional box but provides a better safeguard to the grower from claims and damages arising from box failure in the cold chain. Is that USD 0.10 or “one stem cost” worth spending to save the 250 to 300 stems in the package?

Based on this, SoliQ and i pack will be a requirement for anyone looking at managing their costs going forward.

Masila: Give your final comment

Parit: Crushed cartons are a common feature at the bottom of regular air pallets. It damages the flowers and results in revenue loss. i pack in flower packaging will go a long way in increasing the protection of those boxes from crushing and save growers from unnecessary damages.

Additionally, the customer is becoming more aware of the premium price fetched by quality product flowers and the need to buy quality packaging. That is why packaging is increasingly playing a key role. The future lies on premium packaging solution and that is why every grower must embrace the next generation of packaging solutions.

On the premium ranges we’re helping both retailers and discounters drive sales. The term premiumisation, as it is now referred to, is becoming a key added-value battleground for the produce market. After introducing SoliQ boxes into the market with a stated aim of shaking things up, Silpack now wants to utilise its expertise in transforming boxes from simple receptacles of produce to mediums of communication.

Masila: Thanks for your time