Smurfit eyes Indonesia

Smurfit eyes Indonesia

DUBLIN (Reuter): Smurfit Ireland and UK, a unit of Jefferson Smurfit Group Plc., said Vietnam and Indonesia were the next targets for expansion after the announcement of a US$20 million joint venture in Singapore yesterday.

The chief executive of Smurfit Ireland and UK, Paddy Wright, said the Singapore joint venture was particularly exciting because it opened the door to other ventures in the Far East.

"This venture is important for us because it can lead to other things and other types of packaging," Wright told Reuters, adding that plans for start up plants in Vietnam and Indonesia were at an advanced stage.

The Irish and UK division announced a joint venture with Singapore-based New Toyo Group to manufacture folding cartons. The initial investment will be $20 million followed by further investment as the joint venture develops.

The business will trade under the name of Smurfit Toyo and will operate initially in Singapore, Hong Kong and the Jiangyin Province near Shanghai.