Companies like Canbarco Industries, kunkle safety valve, and apollo relief valve play a vital role in supplying high-performance relief valves tailored for demanding industrial applications. This blog explores how relief valves function, their applications in oil and gas, relevant standards, and best practices for selection and maintenance.

What Are Relief Valves and Why Are They Critical?

A relief valve (also known as a pressure relief valve or safety valve) is designed to control system pressure by releasing excess fluid when pressure exceeds a preset limit. This ensures that pipelines, pressure vessels, and processing equipment remain within safe operating limits.

In oil and gas operations where systems frequently operate under extreme pressure and temperature conditions these valves are indispensable. Whether handling crude oil, natural gas, steam, or chemicals, relief valves prevent system failure by acting as a controlled escape route for excess pressure.

Key Applications in Oil & Gas

Relief valves are used across upstream, midstream, and downstream operations. Their applications vary depending on the process, fluid type, and pressure conditions.

1. Upstream (Exploration & Production)

In drilling rigs and wellheads, pressure fluctuations are common due to unpredictable reservoir conditions. Relief valves protect:

• Blowout preventers (BOPs)
• Wellhead equipment
• Drilling mud systems

2. Midstream (Transportation & Storage)

Pipelines and storage tanks transporting oil and gas across long distances require continuous pressure regulation. Relief valves help:

• Prevent pipeline rupture
• Manage thermal expansion in storage tanks
• Protect compressor stations

3. Downstream (Refining & Processing)

Refineries and petrochemical plants involve complex processes with high heat and pressure. Relief valves are critical in:

• Distillation columns
• Heat exchangers
• Reactors and separators

Manufacturers like kunkle safety valve offer valves suitable for steam, gas, air, and liquid applications, including extreme environments such as cryogenic and high-temperature systems.

Types of Relief Valves Used

Different applications require different valve designs. The most common types include:

Spring-Loaded Relief Valves

These are the most widely used valves in oil and gas. A spring mechanism determines the set pressure, and the valve opens when system pressure exceeds this threshold.

Pilot-Operated Relief Valves

Used in high-pressure systems, these valves provide more precise control and are ideal for large-scale industrial operations.

Balanced Bellows Valves

Designed for systems with backpressure, ensuring consistent operation regardless of downstream pressure variations.

Thermal Relief Valves

Used to handle pressure increases due to thermal expansion in trapped liquids.

Products from the Apollo relief valve include multi-purpose safety relief valves designed for steam, gas, and liquid systems with high reliability and durability.

Industry Standards and Compliance

Relief valves in oil and gas must comply with strict international standards to ensure safety and reliability. The most important standards include:

ASME (American Society of Mechanical Engineers)

• Section I: Power boilers
• Section VIII: Pressure vessels These standards define design, manufacturing, and testing requirements.

API (American Petroleum Institute)

• API 520: Sizing and selection
• API 521: Pressure-relieving systems
• API 526: Valve dimensions

ISO Standards

• ISO 4126: General requirements for safety valves

Compliance with these standards is mandatory in most countries and ensures that valves perform reliably under critical conditions.

Leading manufacturers like kunkle safety valves provide valves certified under ASME and other global standards, ensuring compatibility with international oil and gas projects.

Role of Canbarco Industries in Relief Valve Supply

Canbarco Industries is known for supplying high-quality industrial valves, including relief valves used in oil and gas applications. By offering trusted brands such as Kunkle and Apollo, Canbarco ensures:

• Reliable product sourcing
• Compliance with global standards
• Technical support for valve selection

Their portfolio supports industries requiring precision-engineered pressure control solutions.

Key Selection Criteria for Relief Valves

Choosing the right relief valve is critical for system safety and efficiency. Engineers must consider several factors:

1. Set Pressure

The valve must open at a pressure slightly above the system’s operating pressure but below the maximum allowable pressure.

2. Flow Capacity

The valve should be capable of releasing sufficient fluid to reduce pressure quickly and safely.

3. Fluid Type

Different materials and designs are required for gases, liquids, or corrosive fluids.

4. Temperature Range

Valves must withstand extreme temperatures, especially in refining and petrochemical processes.

5. Backpressure Conditions

In systems with backpressure, specialized designs such as bellows valves are required.

Relief valves from apollo relief valve and kunkle safety valve are engineered to handle a wide range of pressures and temperatures, making them suitable for diverse industrial environments.

Best Practices for Installation and Maintenance

Even the best relief valve will fail if not installed or maintained properly. Following best practices ensures long-term reliability.

Proper Installation

• Install valves vertically unless specified otherwise
• Ensure correct orientation and flow direction
• Avoid excessive piping stress

Regular Testing

• Periodic pressure testing ensures correct set pressure
• Leak testing helps detect early wear or damage

Preventive Maintenance

• Clean internal components regularly
• Replace worn seals and springs
• Inspect for corrosion or fouling

Documentation and Compliance

• Maintain records of inspections and certifications
• Ensure compliance with regulatory standards

Manufacturers like kunkle safety valve test and certify valves before delivery to ensure performance accuracy and reliability.

Common Challenges in Oil & Gas Applications

Despite their reliability, relief valves can face challenges in harsh environments:

• Valve chatter due to unstable flow conditions
• Corrosion from aggressive chemicals
• Fouling caused by deposits or debris
• Improper sizing leading to inefficient pressure relief

Addressing these challenges requires proper design, correct valve selection, and regular maintenance.

Future Trends in Relief Valve Technology

The oil and gas industry is evolving, and so are relief valve technologies. Key trends include:

• Smart valves with real-time monitoring
• Improved materials for corrosion resistance
• Enhanced designs to reduce emissions and leakage
• Integration with digital asset management systems

These innovations aim to improve safety, efficiency, and environmental compliance.

Conclusion

Relief valves are a cornerstone of safety in the oil and gas industry. From upstream drilling to downstream refining, they protect critical infrastructure and ensure smooth operations. Selecting the right valve, adhering to international standards, and following best practices are essential for maximizing performance and safety.

With trusted suppliers like Canbarco Industries and leading manufacturers such as knuckle safety valve and apollo relief valve, industries can rely on high-quality solutions designed to meet the toughest operational demands.

In a sector where safety is paramount, investing in the right relief valve system is not just a technical decision it’s a critical commitment to operational excellence and risk prevention.

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The showcase represents UNITED CAPS’ most integrated Interpack platform to date, bringing together product innovation, live co-development and lower-carbon packaging initiatives within a single framework. As the packaging sector faces mounting pressure from sustainability goals, regulatory complexity and increasingly demanding supply chains, the company is shifting focus beyond product display towards problem-solving engagement. “Packaging today demands solutions that combine performance, sustainability and speed to market,” said Benoît Henckes, CEO of UNITED CAPS. “IMAGINE BETTER reflects our commitment to helping customers turn challenges into practical action.”

Central to this strategy is a collaborative development model designed to accelerate packaging innovation. Under the WE ARE BETTER UNITED principle, UNITED CAPS emphasises early-stage cooperation between customers and technical teams to improve efficiency and outcomes. This is operationalised through BETTER LAB, an interactive space where visitors can schedule one-to-one sessions with design specialists and utilise live 3D prototyping to move concepts into development. “Too often good ideas stay at discussion stage,” added Henckes. “BETTER LAB is designed to move them into real development with customers, right there on the stand.” Alongside this, BETTER TALKS will provide focused discussions on PPWR and other industry-shaping topics.

The company will also introduce three new closure solutions at the event: 27 H-PAK for cartons, 26 FLIP-ON for edible oils, and 26/22 S-SPRING for beverages. Sustainability remains a defining element of the IMAGINE BETTER concept, with UNITED CAPS stating that all closures now deliver at least a 12% reduced carbon footprint compared to the previous Interpack. Its low-carbon offering, developed in collaboration with Dow, includes PE products manufactured in Europe and a dedicated version of 23 H-PAK using bio-circular feedstock and renewable wind energy. This approach can reduce carbon footprint by 35% or more depending on application, reinforcing the company’s focus on measurable environmental impact.

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At its upcoming Sokhna site, Asepto is preparing to launch what is expected to be one of the most advanced aseptic liquid packaging plants globally. ABB’s systems are designed to maintain stringent quality standards across applications including dairy, dairy-based beverages, juices, nectars and premium drinks. By aligning with Asepto’s 3P’s of Packaging – Preserve, Protect and Promote – the integrated platform combines intelligent lab data capture with performance-focused metrics. This framework is intended to enhance packaging efficiency, safeguard product integrity and ensure compliance with strict safety requirements while supporting brand presentation across diverse markets.

The project further demonstrates the expansion of ABB’s L&W Lab Management System beyond traditional pulp and paper mill environments into paper converting and liquid packaging applications. ABB’s instrumentation has already been operational at Asepto’s Sanand facility in India for more than eight years, establishing a track record of reliability and performance. “ABB’s L&W instruments have long been a trusted part of our existing operations in India, helping us maintain the highest benchmarks in quality,” said Mr Ashwani K Sharma, President & CEO, Liquid Packaging Business UFlexLtd. “For our new Egypt facility, we needed a solution that not only ensures reliability but also supports digitalization goals. ABB’s Lab Management System met that requirement, giving us greater insight and control over our lab performance.”

ABB’s digital system automatically captures measurements from connected equipment and converts them into real-time dashboards and reports, enabling actionable insights for plant operators. This improves lab efficiency and supports continuous gains in productivity and quality assurance. “This project demonstrates how ABB’s digital lab solutions are enabling quality assurance and operational excellence not only in pulp and paper mills, but also in adjacent industries like liquid packaging,” said Wilson Monteiro, Global Business Line Manager, Pulp, Paper & Fiber at ABB’s Process Industries division. With this deployment, the ABB Lab Solution reinforces its role in supporting intelligent, data-driven lab environments across emerging packaging markets.

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Embrace Consolidation Opportunities

Companies can combine multiple LTL shipments into a larger, single load. This allows shippers to handle more intensive projects while making rates more affordable. Some businesses outsource this process to logistics partners, such as Broussard Logistics, that specialize in LTL optimization and freight oversight.

In these cases, a partner brings visibility across shipment patterns, carrier performance and billing data. This information makes it easy to spot consolidation opportunities. This approach allows companies to focus their resources on other parts of their supply chain, while the partner provides greater oversight and freight bill auditing to find savings.

For example, Broussard Logistics applies its own method to optimize LTL contracts. Its transportation management system (TMS) and managed transportation team identify consolidation windows by analyzing lane density, service windows and accessorial patterns across your shipments. It’s not just weekly it is continuous. It often finds actionable opportunities when average pallets per shipment are low, dwell times are high or accessorial fees cluster by lane.

Leverage a Cloud-Based TMS for LTL Optimization

Other organizations use platforms like TMSs to identify the best financial options. TMSs are powerful tools that consolidate tasks into a singular dashboard, with load management, real-time tracking and carrier selection, among other essential duties, in one space. Broussard Logistics offers a comprehensive solution for this alongside conventional advising and expertise.

A robust TMS enables remote collaboration and data-driven insights, with capabilities like analyzing audit transportation costs and expanding cybersecurity redundancies for business-critical information. Improved communication helps coordinate inbound and outbound shipments and reduces delays caused by miscommunications and inefficiencies. TMSs can also save money by serving as hubs for identifying the lowest-cost carrier and improving routing compliance.

The value of these strategies extends beyond immediate cost savings. LTL shipments can be co-mingled with goods from other companies and sent to multiple destinations, so TMSs are essential to maintain transparency and visibility throughout the process. They can save money by preventing unnecessary mishaps, accidental redirections and delays.

As a result, more companies are making freight consolidation a key focus of their business strategy to enhance their standing in global trade, with TMSs making insights more accessible. The program also saves money on LTL shipping contracts by pulling and analyzing data to inspire more informed negotiations based on historical freight characteristics. Ultimately, these metrics culminate in a more resilient and customer-focused logistics operation, strengthening a company’s market position.

Dive Deeper Into LTL Contract Management Data Analytics

Data can help LTL teams save by consolidating based on previously unoptimized contracts, but data in TMSs and other sources can reveal countless other opportunities to preserve budgets through stronger terms.

Strategic LTL contract management is a comprehensive strategy that uses data to create more dynamic contracts. Software pulls crucial data points, including true shipping costs, volumes, damage rates and more, to curate a deal that is reflective of the organization’s trends and key performance indicators (KPIs). Analytics enable companies to continuously refine contracts based on the most successful terms while remaining open to further optimizations, solidifying long-term partnerships that continue to maximize value and eliminate pain points.

As resources, like TMSs, learn more about the most lucrative contracts, teams can use the data to forecast savings before the next negotiations begin. The insights help teams understand how well the terms could be received, having already considered the contract’s value based on market trends and internal KPIs.

Make a Deal for Lower Fuel Surcharges

Fortunately, there are numerous other ways to negotiate lower LTL contracts. Fuel surcharges plague organizations, especially when the prices are volatile and based on availability. Fortunately, LTL organizations can negotiate surcharge tables as part of the contract to identify additional savings.

For domestic LTL, FSCs are typically tied to the weekly DOE on-highway diesel indexes. These tables are often updated on Wednesdays and are based on the previous Monday’s data. It’s important to verify pricing tables with your local LTL shipping company in case they use region-specific rates. All-in rates are also available for businesses that want contracts to prioritize predictability and simplified invoicing.

Shipping organizations can use their staff to negotiate terms for a cap or hire a third party to implement a more favorable pricing system for LTL contracts, such as a tiered pricing structure. This approach prevents businesses from being susceptible to sudden price increases.  It is crucial to know the surcharge curve, so teams can determine if they need to focus on tier-based percentage increases or higher price points at the beginning.

Conduct Regular Freight Invoice Audits

Freight auditing becomes more challenging with LTL contracts, as many companies lose profits due to miscalculated invoices for conventional shipments. Implementing thorough auditing and automation can reduce total freight spend by up to 8%, yielding over $1 million in savings after processing 10,000 shipments. Audits deliver several advantages that produce smarter financial decision-making.

First, freight invoice audits are valuable assets when preparing for upcoming contract negotiations. Identifying consistent errors can prevent refund requests in the future. Manual auditing is effective, but the process becomes even more precise when combined with software. It can automatically observe shipments, contracts and shipping times to catch frequent errors, like:

• Duplicate bills
• Improperly assigned weights and dimensions
• Misappropriated delivery or liftgate fees
• Missing discounts
• Wrong freight classification

Teams work tirelessly to negotiate lucrative and fair terms, and auditing adds a security blanket to upcoming contracts. Regular reviews make sure every word is applied and that all rate caps, waived fees and other terms are compliant for every job and client. Without auditing, companies cannot confirm if their optimization techniques are producing the savings they expect.

Left unchecked, these seemingly minor discrepancies can accumulate into substantial financial losses, directly impacting a company’s bottom line. Rather than monthly or quarterly ‘audit cycles,’ continuous auditing prevents disputes from falling outside the allowable window.

The Most Affordable Ways to Optimize LTL Shipping Contracts

Ironclad contracts are the backbone of long-term partnerships in the shipping industry. Wasting resources by constantly seeking new, short-term contracts may cost more than any savings a fresh contract could yield. Developing relationships that stand the test of time will make partners more willing to offer better rates, negotiate with their most loyal customers and provide reliable service quality.

Optimizing space, leveraging technology and outsourcing negotiations to third parties are only some of the ways to solidify a competitive position in the freight management industry. Working with logistics experts like Broussard Logistics gives businesses access to the same proven strategies that industry leaders use to create a resilient and efficient foundation for their operations. Utilizing these resources enables businesses to withstand market volatility, reach as many customers as possible and achieve high returns.

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Esko at Interpack 2026: What to Expect

As packaging operations become more complex, the focus is shifting toward how systems connect across the entire lifecycle. At interpack 2026, Esko will present a connected approach to packaging that links design, data, and production within a single workflow.

Located in Hall 8b, Booth 8BC14, Esko’s presence is built around an integration-first model. Its cloud platform Esko S2, along with solutions such as WebCenter, ArtiosCAD, Studio, Store Visualizer, and Cape Pack, are positioned to show how packaging development can move faster when data remains consistent across stages. The focus is on reducing silos and enabling teams to work from a shared source of artwork and production data.

Click here to register for the guided experience

Alongside these systems, Esko will also highlight its AI-driven compliance capabilities, designed to improve accuracy and streamline artwork validation within increasingly complex regulatory environments.

Videojet at Interpack 2026: What to Expect

On the production side, Videojet will demonstrate how coding and marking systems support connected packaging workflows from pack to pallet.

Its portfolio spans continuous inkjet, laser marking, thermal inkjet, and thermal transfer overprinting, along with print and apply systems and pallet labelling solutions. These technologies will be shown operating within production environments where variable data such as dates, batch codes, and GS1-compliant identifiers must be applied consistently.

The emphasis is not only on marking technologies, but on how they integrate into broader production workflows. Software-driven controls help standardise coding processes, reduce manual input errors, and maintain traceability across packaging levels.

Videojet solutions will also be visible across multiple partner exhibits at the event, reflecting how coding and marking systems are embedded within a wide range of packaging lines.

Who Should Visit

The joint presence is relevant for professionals looking to understand how packaging workflows are evolving beyond isolated stages.

It is particularly useful for packaging and operations managers aiming to improve efficiency, brand owners seeking faster development cycles, converters and print service providers evaluating workflow integration, and supply chain teams focused on traceability. It also offers value for sustainability and compliance professionals preparing for regulatory changes and data-driven packaging requirements.

Plan Your Visit

A central part of the experience is a guided, end-to-end walkthrough that follows a product from digital concept through production, coding, and final palletisation. The session brings together multiple partners to demonstrate how connected data supports speed, compliance, and sustainability across the packaging lifecycle. Together, Esko and Videojet present a connected packaging workflow that links design, production, and traceability within a single integrated environment.

The guided experience will take place from 7 to 13 May 2026 at Messe Düsseldorf in Hall 8b, Booth 8BC14, with one session scheduled each day. For those looking to see how integrated packaging workflows operate in practice, the session offers a structured and practical perspective.

Click here to register for the guided experience

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Tjoapack brings more than 35 years of experience in delivering primary and secondary packaging services to the pharmaceutical sector. Its operations span packaging and labelling for oral solid dose products such as blister packs and bottles, alongside sterile injectables including vials, pre-filled syringes and auto-injectors. The company runs facilities in Clinton, Tennessee, and Etten-Leur in the Netherlands, employing over 400 people while serving more than 40 commercial markets globally.

Commenting on the development, Tjoapack CEO Dexter Tjoa said: “This transaction represents an important next chapter for Tjoapack. Partnering with Alcami allows us to accelerate our growth ambitions while staying true to what has made Tjoapack successful – quality, reliability, and a strong focus on our customers.

“Together, we create a more integrated transatlantic platform that enables us to support our partners more effectively as they scale and expand globally.”

Following completion, Alcami will expand its packaging and labelling capacity in the US, while also adding Qualified Person release and associated services in Europe. Customers of Tjoapack are expected to gain access to a broader set of Alcami capabilities, including pharmaceutical testing laboratories, sterile and oral solid dose drug product manufacturing, and GMP pharmaceutical storage.

Alcami CEO and chairman Patrick Walsh said: “This acquisition marks our first European expansion, which is an essential element of our investment strategy to expand our presence in the global market.

“Furthermore, this increased scale aligns with our growth and expansion in pharmaceutical testing lab services, drug product manufacturing and pharma storage service offerings at Alcami.”

The Tjoapack acquisition is expected to close in the second quarter of this year, pending the fulfilment of standard conditions.

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Formally introduced on 21 April at Sustainable Ventures in London, the initiative includes participation from major corporates such as Lidl, Unilever, Danone, and Biffa, alongside retailers like Marks and Spencer and Tesco, and public bodies including Department for Environment, Food and Rural Affairs and PackUK. The breadth of this coalition reflects a coordinated push across the packaging value chain, spanning material suppliers, converters, retailers, recyclers, and policymakers.

Strategic goals driving system-wide packaging change

The UK Packaging Pact is structured around four core priorities aimed at enabling measurable progress in circularity:

• Optimising packaging design to reduce reliance on fossil-derived and single-use materials
• Scaling reuse and refill systems to increase the share of reusable packaging
• Supporting infrastructure investment to address bottlenecks in collection and processing
• Harmonising data to improve traceability and streamline reporting requirements

These objectives are intended to address persistent operational barriers, particularly fragmentation in data systems and lack of standardisation, which have historically slowed progress in packaging redesign and recovery systems.

According to WRAP CEO Catherine David, the programme is designed to complement regulatory frameworks by providing a flexible mechanism for implementation. She noted that while policy frameworks are essential, coordinated industry action is required to deliver practical outcomes at scale.

Regulatory alignment and financial implications

The timing of the UK Packaging Pact aligns with a tightening regulatory environment in the UK packaging sector. The upcoming Deposit Return Scheme, scheduled for October 2027, will introduce financial incentives for returning beverage containers made from metal and plastic. In parallel, the Extended Producer Responsibility framework is already reshaping cost structures, requiring producers to pay material- and weight-based fees for packaging waste management.

Initial invoices under the EPR system were issued in October 2025, signalling a shift toward greater financial accountability for packaging producers and distributors. The UK Packaging Pact is positioned as a mechanism to help businesses navigate these cost pressures by identifying opportunities to reduce material usage, increase recyclability, and optimise packaging formats.

As observed by Packaging World Insights, the alignment between voluntary industry frameworks and regulatory mandates reflects a broader transition in the sector, where compliance, cost management, and sustainability objectives are increasingly interconnected.

Expanding beyond plastics to full material coverage

A defining feature of the UK Packaging Pact is its expansion beyond plastics to include all major packaging materials, including glass, paper, card, metals, and bio-based alternatives. This shift acknowledges that addressing packaging waste requires a system-wide approach rather than material-specific interventions.

The broader scope also responds to projections from WRAP indicating that global waste generation could rise by more than 80% from 2020 levels by mid-century. By integrating multiple material streams into a single framework, the Pact aims to support more holistic design strategies and reduce reliance on virgin materials across the packaging ecosystem.

Industry-wide collaboration as an operational necessity

The programme emphasises collaboration across interconnected stakeholders, recognising that packaging reform depends on coordinated action between suppliers, manufacturers, retailers, recyclers, and public authorities. By creating a shared platform for alignment on design standards, infrastructure investment, and reporting methodologies, the UK Packaging Pact seeks to accelerate implementation timelines and reduce fragmentation.

In practical terms, this collaborative model is expected to facilitate interoperable reuse systems, improve recycling efficiency, and support investment in collection and processing infrastructure, areas that have historically faced delays due to misaligned incentives and lack of coordination.

From an industry standpoint, Packaging World Insights notes that the UK Packaging Pact signals a transition toward more operationally integrated sustainability strategies, where circularity is embedded across the value chain rather than addressed through isolated initiatives.

Strategic relevance for the packaging sector

The UK Packaging Pact represents a structural shift in how packaging sustainability is approached in the UK, moving from material-specific targets to a comprehensive, system-based framework. With participation from 100 organisations at launch, the initiative begins with substantial industry backing, positioning it as a central mechanism for navigating regulatory change, cost pressures, and evolving sustainability expectations.

The long-term impact of the UK Packaging Pact will depend on how effectively its commitments translate into tangible changes in packaging design, material usage, and recovery systems. However, its emphasis on collaboration, data harmonisation, and infrastructure investment underscores a broader industry recognition that circular packaging requires coordinated, system-level transformation rather than incremental adjustments.

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The company states that its entire portfolio for the event has been developed using a PFAS-free design approach. “All solutions presented at Interzoo 2026 have been developed with a PFAS-free design approach, supporting customers in preparation for upcoming regulatory requirements and ensuring a smooth transition toward compliance,” Coveris adds. The initiative underscores how regulatory alignment is increasingly shaping material innovation in the pet food packaging segment, particularly as manufacturers seek compliant alternatives without compromising functionality.

Among the newly developed formats, the MonoFlexE Opti Weight Bag focuses on reducing material usage while maintaining performance standards. The lightweight structure is positioned to support cost optimization, including potential reductions in packaging-related taxes, while remaining fully recyclable and PFAS-free. Another solution, MonoFlexBE Metallised, incorporates a metalized inner layer within a fully recyclable PE monomaterial structure to deliver high-barrier performance. Designed to protect against oxygen and moisture, it supports shelf life extension while maintaining a premium appearance suited to high-end pet food products.

The range also includes MonoFlexE Lite, a flexible monomaterial PE solution available in both barrier and non-barrier configurations. It features adaptable sealing options and compatibility with Freshlife technology to enhance product freshness and longevity. Additional functionalities such as high-quality print capabilities and optional anti-mist features are integrated to improve on-pack communication and presentation. Together, these solutions position PFAS-free packaging as a central focus in the company’s strategy to address evolving regulatory and performance requirements in the pet food sector.

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The newly formed business will begin by producing paper bags primarily for Indocement, addressing increasing demand across Southeast Asia. Under the agreed structure, Mondi will take a 60% stake in the venture, with the remaining share held by Indocement, which will also act as the anchor customer. This arrangement is expected to ensure consistent demand visibility while enabling the joint operation to build a stable production pipeline from the outset.

The Mondi Indocement JV is designed to reinforce the company’s manufacturing base in Indonesia while leveraging Indocement’s established market reach and customer network. By situating operations within the existing cement facility, the partners aim to enable closer operational alignment, streamline logistics, and improve execution efficiency on a day-to-day basis. Mondi has also outlined plans to install an additional production line adjacent to the initial setup, a move that is projected to increase its global output capacity by more than 200 million paper bags annually.

Operations at the site are scheduled to commence towards the end of the year, pending the completion of required commercial, operational, and legal processes. Commenting on the development, Mondi paper bags chief operating officer Claudio Fedalto said: “This joint venture is an excellent strategic fit for our paper bags business. It allows us to establish a strong local platform in a structurally growing market, underpinned by a reliable long-term customer. At the same time, it provides a clear pathway for scalable growth while applying Mondi’s high standards in operational excellence, safety and quality.” The Mondi Indocement JV is expected to serve as a foundation for further expansion across the Southeast Asian packaging market.

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