European packaging giant Huhtamaki Van Leer (HVL, FIN-02100 Espoo) plans to sell its industrial packaging division (Van Leer Industrials), including all liabilities, to Greif Bros. Corporation (Delaware, Ohio 43105 / USA). This completes the Finnish group´s reorientation towards consumer packaging specialities following the merger of Huhtamaki and Van Leer in 1999. The business being sold produces fibres from steel, plastics and wood pulp, along with transport packaging for bulk solids and closure systems. With sales of EUR 921m in 1999, it accounted for nearly 30% of Huhtamaki´s overall turnover. Following the acquisition, Greif will become world leader in industrial transport packaging, with its sales nearly doubling to USD 819m. Along with substantial assets in transport applications, the company´s portfolio also extends to wood management.

According to HVL ceo Timo Peltola, the group has no immediate plans for expansion following the reorientation, but will now concentrate on internal restructuring. Plans include closure of some production sites and moving of others to give the group a better geographical distribution. HVL currently sees itself as global leader in thin-walled solid plastic and paper packaging, food service packaging and wood pulp packaging. With bases in 34 countries and 17,000 employees, the merged group has annual sales of EUR 2.5 bn.

Meanwhile, Polarcup EarthShell, the joint venture of HVL and US-based EarthShell Corp. (Baltimore, Maryland; www.earthshell.com) plans to start production of biodegradable “EarthShell” packaging materials in mid 2001 at Göttingen, Germany, half a year behind schedule (PIE 11, 2000). The first product, a composite of lime, natural starch and cellulose fibre, will be a sandwich box for hot and cold foods, such as hamburgers, followed by mugs, plates and cups. Huhtamaki says the materials meet the EU´s strict biodegradability standards. New md of PolarcupEarthshell is I´anu Ala-Nikkola