LLC "Pakmarkas" investments in automation and digitization of production, increasing labor productivity

About this project

<p>UAB "PakMarkas" is one of the largest and most modern companies offering labeling, packaging and automation solutions in Lithuania. The company has been doing excellent work in the field of packaging for more than two decades.<br> The company's target customers: the largest companies, industrial bulk, frozen products, milk, fish, vegetables, spices and confectionery branches, whose growth is planned to be 3 to 5 percent from the market until 2020. 2021-2022 revenues from adhesive labels and printing on film grew by 10 and 11 percent, respectively. In this period, when European markets are recovering from Covid-19, adapting to the challenges posed by the war in Ukraine, UAB "PakMarkas" with an increase in order requests for "shrink sleeve" labels. Shrink Sleeve Labels Market Overview indicates that this market will grow by 2030. expected to grow at a CAGR of 6.4%. Also in Europe, pressure is growing on all supply chains due to the implementation of green industry measures, aiming to increase the circularity of the production process. This creates another problem for the company - the growing demand for more sustainable products produced in more sustainable ways. Also, currently the company's equipment does not have the technical parameters for the production of adhesive labels and label-sleeves with more complex configurations and larger dimensions.<br> Taking this into account, the need to increase production volumes by investing in innovative ICT (digitalized technologies) integrated equipment, which allows labels to be produced in a much more automated, efficient and less polluting manner, has been identified. There is also a need to cooperate with companies from Scandinavian countries in order to expand the sales market in this region in the future, and in the project to install and start manufacturing new innovative products with next-generation ICT equipment as efficiently and quickly as possible.&nbsp;</p>

Bilateral cooperation results

Together with Oddvar Johnsen AS companies shared experiences in increasing efficiency and implementing similar projects. Strived to increase efficiency and reduce the volume of manual labor, so the main goal of the project was to modernize production by introducing automation (digitization) technologies, which would allow to achieve higher labor productivity, increase production volumes, fulfill more complex orders and ensure the quality of products.

Project partners

• Oddvar Johnsen AS Donor project partner· Norway