The company of labeling and packaging solutions PakMarkas has succeeded in M 23.6 litas turnover for the first half of the year. This year turnover was 25% larger than the same period last year, when it made up M 18.8 litas. PakMarkas plans to increase its turnover by approximately 17% - from M 41.9 litas last year to M 49 litas this year.
The growth rate of PakMarkas this year has been encouraged by the implementation of several big packaging equipment sale projects in the second quarter that had been prepared for in advance. Among the largest customers of the company to buy packaging equipment this year were Kraft Foods and Novelita.
“Moreover, the second quarter in industry is traditionally more active - manufacturing companies having planned the investments begin to realize them”, says the Marketing Director of PakMarkas Ronaldas Vaitiekűnas.
The packaging solutions company itself in the first half of the year only considered its investments that are intended for the end of this summer and autumn. PakMarkas invested more than M 4 litas in new equipment and services last year. One of the major purchases of the company was a printing device for shrink label-sleeves.
This new equipment is designed to produce label-sleeves that have not been used in Lithuania before but are very promising; they cover the whole product and therefore give it an exclusive appearance.
“A bottle or other package is simply covered by a film with a graphic picture and the whole surface from the bottom to the top is a place for trademark promotion. Previously this was possible only by printing straight on the bottle. However, in terms of quality, this kind of design is much poorer; it also restricts the choice of a bottle shape, as it is impossible to print on a curved surface”, says Mr. Vaitiekűnas.
We are only beginning to use the advantages of this kind of labels in the Lithuanian market today, whereas in western countries it has become popular long time ago. In Lithuania alcohol cocktails Belinda produced by Latvijas Balzams, as well as some yoghurts and drinks of Danone and Nestle are labeled in this way. The food processing company Pieno Ţvaigţdës has also begun to use this innovative technology by labeling their new milk drinks.
“This type of labels has a bright future”, says Mr. Vaitiekűnas. Market analysts indicate that the growth of the section of label-sleeves will be the fastest over the coming 5 years and in 2005 will reach 24% of all label market and become twice as large as the section of traditional inadhessive labels. The market share of the latter will fall from 40% in the year 2000 to 11% in 2005.
PakMarkas is still the only packaging and labeling service company in the Baltic States that produces label-sleeves. | 
