The company says it building a large new factory in Poland, where it already has a smaller production plant currently in operation.
The group says it has experienced positive growth in industrial and consumer packaging that had seen growth rates of more than 25 per cent in 2003 and 2004 - primarily driven by the producers in Eastern European markets.
The aim of the new factory in Poland is to secure a planned expansion of the East European market and to enable Superfos to better explore the potential for growth in the future.
"The existing factory in Fabianki does not have the necessary production or storage capacity to satisfy existing market demands in East Europe," said company spokesperson Annette Gottsche. "To keep up with the past years' growth, Superfos has had to use external suppliers for injection moulding production and storage capacity."
Superfos CEO Kim Anderson said, "The markets in East Europe have a very attractive growth potential for industrial packaging solutions of high quality. Consequently, it is important for Superfos to strengthen our operational platform with both new technology and increased capacity."
The new factory will be based on best practise developed in existing company factories and the latest factory technology to provide cutting edge layout, automation, hygiene, decoration and efficiency, it is claimed.
The facilities will be situated in Lubién Kujawski only 30 kilometres from the existing Superfos factory in Fabianki, which means that it is centrally located in Poland and to the neighbouring markets in East Europe and Russia.
Superfos says it expects to begin production at Lubien Kujawski in December 2005 and the total building project to be ready in the first quarter of 2006.
The new factory will cover a total building area of 17,000 square metres and employ approximately 150 people.
In 2004 Superfos had a turnover of €344 million, which delivered profits of €29 million for the company.