New Infant Formula CAN & AEROSOL NEWS. Issue brought to you by. Continued over page... Australia Day honours for aerosol industry

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1 New Infant Formula Facility Opens in Melbourne Continued over page... brought to you by Homegrown AEROSOL ASSOCIATION CELEBRATES 50 YEARS SERVICE Homegrown Australia Day honours for aerosol industry Celebrating the official opening of ADP from left to right: ADP director Joe Zhou, MP for Carrum Donna Bauer, DFSV operation general manager Craig Miller, Premier of Victoria Denis Napthine, Mayor of Frankston Darrel Taylor and ADP Director Sheng Zhong. Copyright 2014 Edwin Reese

2 New Infant Formula Facility Opens in Melbourne cont. A Victorian dairy company has opened a new facility in southeast Melbourne to support an increase in demand from emerging Asian markets. Victorian Premier, Doctor Denis Napthine, said the Australian Dairy Park (ADP) facility would create as many as 30 full-time jobs in the suburb of Carrum Downs. Australian Dairy Park has participated in the Victorian Coalition Government s trade mission program and recently secured a deal to export infant formula to China, he said. This deal will see Australian Dairy Park manufacture and export about 3000 tonnes of formula in its first year, with production expected to increase to 5000 tonnes within three years. The first year s output is valued at approximately $30 million and will see 15 fulltime jobs created immediately, with further jobs created as production increases. Packaging company Ardagh Group has worked closely with Australian Dairy Park to meet stringent safety and food-handling requirements, ensuring fulfilment of the highest quality standards. Continued over page... 02

3 New Infant Formula Facility Opens in Melbourne cont. ADP operations manager Brian Beardsmore said the facility was committed to achieving best practice in its vision for providing nutritious foods to its customer base of pregnant women, infants and toddlers. We plan to export 60 to 70 per cent of our production with the rest going for contract packing and the domestic market, he said. It has been advantageous to be able to work closely with a company like Ardagh Group which has so much experience in best practice to ensure we can offer a world-class product in safe, tamperfree metal packaging. Ardagh Group has certification to AS 4801 Safety Management, ISO 9001 Quality Management, ISO Food Safety Management and GMP standards, all of which support infant formula product safety. State Member for Carrum Donna Bauer said Australian Dairy Park s new facility was a sign of confidence in the region s manufacturing industry. This facility will be a fantastic boost for Carrum and for the South East in general, she said. Australian Dairy Park is an example of the type of business investment that will underpin and expand the region s economy in decades to come. Dr Napthine said the opening of Australian Dairy Park highlighted the strength of Victoria s dairy industry and exemplified the opportunities for growth in Victorian jobs and the economy. China is currently Victoria s fourth-largest and fastest growing dairy market, he said. The market for infant formula in China is expected to double over a five-year period from 2012 to 2017, which presents huge opportunities for Victoria. The opening of this factory is yet another example of why Victoria has an outstanding international reputation as a secure, reliable and competitive producer of high-quality food products. Milk powder buyers in China reduce reliance on Fonterra American and European companies will have a chance to capture the infant milk formula market in China as many local milk powder buyers start to reduce their reliance on New Zealand s Fonterra, according to Major sellers of infant milk formula in the country include France-based Danone, Abbott Laboratories and Mead Johnson Nutrition of the US, and Switzerland-based Nestlé. Taiwan s Want Want Holdings Limited is planning to cut imports to diversify its supply chain, while Danone s Dumex milk powder unit has cut its supply from Fonterra. In addition, Dairy Farmers of America is targeting China with a planned whole milk powder processing plant in the US. The 40,000-tonne-capacity plant will open in the first half of Meanwhile, Arla Foods has boosted its range of offerings at global auctions to gain access to China and Ireland s Glanbia plans to tap the export boom to the Chinese market with its milk powder plant. By 2017, the infant milk formula market is set to increase to $25 billion USD. Source: stuff.co.nz 03

4 Homegrown AEROSOL ASSOCIATION CELEBRATES 50 YEARS SERVICE The Aerosol Association of Australia is celebrating 50 years of service in In February 1964, a group of aerosol manufacturers met in Melbourne to discuss raising quality and safety standards in the rapidly developing industry. A month later, in March 1964, the Aerosol Association of Australia held its inaugural meeting; 50 years later, the Association is still going strong. Association President John Bigley noted the need for a united industry voice, consistent quality and safety standards, as well as regulatory knowledge and compliance make the Association just as relevant today as it was in But we are definitely not sitting back and reflecting on our past achievements, Mr Bigley added. The Association remains focused on delivering real value to our members and ensuring we remain the authoritative voice on all aspects of aerosol manufacture, filling and use in Australia. In the past, initiatives such as the Association s public awareness campaigns on recycling and environmental issues achieved global recognition. Today our initiatives in both training and engaging proactively with our Asian neighbours attract strong regional interest and support. We continue to demonstrate how an industry association can take the lead in ensuring a strategic response to the challenges and opportunities facing local manufacturers. To mark the anniversary, the Association is releasing a series of e-cards that reflect on a specific Association milestone, demonstrating how the Association has served to ensure a sustainable Australian aerosol industry. For more details head to aerosol.com.au. Mortein aerosol can from Tax on imported infant formula for 2014 revealed Chinese authorities will impose a five per cent duty on all imported infant formula without milk protein, imported amino acid infant formula, imported extensively milk protein hydrolysate infant formula, imported partial milk protein hydrolysate infant formula and imported infant formula packed in retail packaging in 2014, according to Foodqs. In a notice issued by the Finance Ministry, a national tax of 15 per cent will apply to all imported infant formula packed in retail packaging in 2014, while a national tax of 20 per cent applies to all other imported infant formula. Source: 04

5 HOMEGROWN ALL GO FOR MAJOR ASIA-PACIFIC AEROSOL EVENT The Aerosol Association of Australia will mark its 50th anniversary with a week of aerosol-related activity aerosolsydney2014 in April this year. The event comprises an industry forum featuring international and local speakers, an invitationonly cocktail function to mark the Association s 50th anniversary, the Aerosol Industry Awards Gala Dinner, and the annual meeting of the Asian Aerosol Federation ( The Association will host a condensed version of popular Introduction to Aerosol Technology training course on April 1st, with an optional program of factory tours available to course attendees on the following day. Registrations for the course, forum, and awards dinner are all now open see for details. Recognising excellence This year marks two decades since the first Aerosol Association Awards event, with Aerosol Association executive director Philip Fleming noting that the Association s aims of recognising and promoting innovation and excellence remain as relevant now as they did in Along the way we have fine-tuned the Awards categories to reflect contemporary issues such as recycling and sustainability, he said. And, of course, the entry criteria has been widened first to New Zealand, and this year to the membership of the Asian Aerosol Federation, to reflect the regional interest and audience they attract. Applications close on February 17th, with winners announced at the Gala Awards Dinner at Luna Park s Crystal Palace Ballroom on April 3rd. Top line-up of speakers for industry forum Ensuring a sustainable future for the aerosol industry and aerosol package itself is the theme of the flagship event of aerosolsydney2014 ; a one-day Industry Forum at the National Maritime Museum on Thursday April 3rd A mix of local and international speakers will address and debate issues such as changes in the retail environment, challenges of global sourcing strategies, responses to the challenges of environmental regulation and methods to ensure a culture of innovation in the industry. Confirmed speakers include Rolf Bayersdorfer, President of the European Aerosol Federation (FEA), Ian Folder, CEO of Botanical Resources Australia, Daniel Grimsey of Euromonitor and Darrell Mann, a UK-based expert on innovation, whose consulting clients include Intel, Hewlett Packard and Procter & Gamble. For more information go to 05

6 HOMEGROWN Australia Day honours for aerosol industry Former Aerosol Association President Lindsay Showyin has had his contribution to the aerosol industry recognised in the 2014 Australia Day Honours, receiving an Order of Australia Medal (OAM) for his services to the manufacturing industry and to professional associations. Before stepping down late last year, Mr Showyin had served as the Association s President for nearly 30 years. Mr Showyin oversaw a number of important Association and industry initiatives including the shift from CFC propellants, the acceptance of postconsumer aerosols in kerbside recycling, the Association s Award-winning series of television, print and radio commercials and, in recent years, its proactive engagement with aerosol associations throughout the Asian region. He joined the Association s Executive Committee in February 1976, becoming President in In 1976, Mr Showyin joined the newly established PK/13 Technical Committee of Standards Australia and, as its Chair, he played a pivotal role in the development of AS 2278, the Australian Standard that prescribes safety standards for locally sold aerosols. He has also represented the household insecticides industry in its dealings with Government for more than three decades, including being a member of the Industry Liaison Committee of the Australian Pesticides and Veterinary Medicines Authority since Mr Showyin said that highlights of his time at the helm of the Association included the development of the It s OK to Spray campaign by the Association in conjunction with its New Zealand counterpart in the mid-1980s, the launch of the Aerosol Industry Awards in 1994, and the establishment of the Asian Aerosol Federation in late Both the It s OK to Spray branding and the Awards concept later went on to be adopted by aerosol bodies around the world, including the US, Europe, North America and South Africa. Mr Showyin remains on the Association s Executive and is President of the Asian Aerosol Federation. More Aussie Baby Food Companies Go to China Australia-based baby food manufacturers Sphere Healthcare (Sphere) and Bellamy s Organic (Bellamy s) are opening offices in Shanghai, according to the Australian Financial Review. This came after both companies expanded their presence into the country, driven by Australia s reputation for quality. According to a statement, Bellamy s revenue has grown from $3 million in 2007 to $29.5 million in 2013, after the 2008 food safety scandal that resulted in infant deaths in China from locally made products adulterated with melamine. Sphere CEO Paul Riley said the emerging middle class in China was increasingly concerned about food standards, giving Australian producers with a reputation as a hygienic operator a comparative advantage. Source: Australian Financial Review 06

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