Plastipak Packaging plans to expand its capacity in Ottumwa

Saturday, Feb 21, 2015

A major expansion project is in the works for Ottumwa’s Industrial Park. Ottumwa Economic Development Corporation (OEDC) announced Friday, Plastipak Packaging plans to expand its operation in Ottumwa by opening a manufacturing facility to service its customer base.

The company plans to buy the warehouse it currently leases on Oak Meadow Drive and add 100,000 square feet of office and production space. The proposed plan is to install two manufacturing lines which provide plastic containers to local customers.

“This is another example of how quickly OEDC can respond to inquiries from our existing industries. Plastipak’s first phone call to us was the end of October, and here we are four months later with a major industry moving production lines to our city,” said Sharon Stroh, OEDC executive director.

Its parent firm, Plastipak Holdings, started business in 1967 in Plymouth, Michigan and is now the third largest blow molder in North America.

It presently has over 4,800 employees, $2.4 billion in sales and 32 production sites in North America, South America, and Europe. Plastipak manufactures plastic preforms and containers for industries including beverage, food and juice, industrial and automotive, and consumer cleaning.

A total of over $16 million will be invested in Ottumwa.

“Not only will Plastipak retain its current workforce, it will be adding up to 20 new jobs that will offer livable wages and benefits for Ottumwa residents. This is exactly the kind of partner we look for when prospecting on behalf of our community. OEDC wishes to thank Iowa Economic Development Authority for the generous incentive package they approved for Plastipak, and to the City of Ottumwa for its cooperation and tax abatement contribution” says Stroh.

“Plastipak would also like to thank OEDC, Sharon Stroh, and the Iowa Economic Development Authority for supporting the project and helping us locate the project in Ottumwa. The company looks forward to increasing its business activity in Iowa,” said Tom Mellnick, Vice President, Tax, Plastipak Packaging, Inc.



Other News