Finnish packaging group Huhtamaki (Espoo; www.huhtamaki.com) has sold its rigid plastic consumer goods production unit in Roodekop / South Africa, to Polyoak Packaging (Cape Town / South Africa; www.polyoakpackaging.co.za). The unit, which serves the local edible fats and dairy markets, has annual net sales of EUR 5m and employs 55 people.

“This transaction supports Huhtamaki’s strategic review of rigid plastic consumer goods operations,” said CEO Jukka Moisio. In June 2009, the company sold its rigid plastic consumer goods businesses in Brazil and Argentina to subsidiaries of packaging specialist Bemis (Minneapolis, Minnesota / USA; www.bemis.com) – see Plasteurope.com of 10.06.2009.

Moisio said the company will continue to supply the South African market in a number of segments including foodservice, moulded fibre and flexible packaging. It will also continue production at its three remaining units in South Africa.

Huhtamaki reported operating profits of EUR 91m for 2008, compared with EUR 136m in 2007, on sales down 2% year-on-year at EUR 2.26 bn. Following two profit warnings in 2008, the company realigned its rigid packaging business in the first quarter of 2009 in an effort to reduce costs by EUR 8m on an annual basis – see Plasteurope.com of 27.02.2009.