Essel Propack America LLC announced Friday plans to invest $10 million in an expansion-consolidation project in Airside Industrial Park in Danville.
It marks the fourth expansion of the facility since Essel Propack came to Danville eight years ago, said Ted Sojourner, vice president of the Americas for Essel Propack, which is based in Mumbai.
“Importantly, it will position us for continued success and long-term growth here in Danville,” Sojourner said. “ … Our journey continues.”
The plastic tubes and caps manufacturer will buy the Airside building it had been leasing from Danville’s Industrial Development Authority for $2.7 million and will double the facility in size by 100,000 square feet.
Arista Tubes on Stinson Drive will move to the Airside site so that all of Essel’s operations are under one roof. Essel Propack acquired Arista Tubes, a manufacturer of seamless plastic tubes, in 2004 and opened an Arista facility in Danville in 2006.
The consolidation will help Essel Propack not only with logistics in operations, but will help morale and motivation as all the employees are brought together, Sojourner said.
Acquiring ownership of the building also shows Essel Propack’s commitment to Danville, he added.
“It puts us more in control of our destiny,” Sojourner said.
The consolidation will optimally position Essel Propack for future business contracts that could lead to job announcements, according to a news release from Danville’s Office of Economic Development.
“When our existing businesses and industries can leverage a competitive advantage in the global marketplace and continue to expand, this means more job opportunities for everyone, said Danville Mayor Sherman Saunders in the release. “I congratulate Essel Propack on their newest announcement and wish them continued success.”
Blair Construction, a family-owned business based in Gretna, will do the construction and has been a partner with Essel Propack over the last eight years.
Tim Clark, vice president of operations for Blair Construction and chair of the West Piedmont Workforce Investment Board, said the project will bring people back to work as it will create roughly 60 construction jobs for the next five or six months.
“It’s pleasing Essel has taken the steps to move forward,” Clark said. “It’s exciting to have manufacturing companies have faith in the community to expand.”
Sojourner hopes the investment will show a start of economic recovery.
“My hope is it will give confidence to other businesses and the general population that things will turn around and the future is bright,” Sojourner said.
Bozick is a staff writer for the Danville Register & Bee.
Essel Propack timeline
June 2002: EP announces its launch in the United States with a $21 million investment to establish EP America LLC in Danville, creating 81 jobs
November 2002: First commercial tube comes off product line
2003: EP announces $10.4 million expansion, creating 50 new jobs
2005: EP announces $15 million expansion, creating 40 new jobs
2006: EP announces $24 million investment with launch of Arista Tubes in Danville, creating more than 100 jobs
2007: EP announces $15 million expansion, creating 36 new jobs
2010: EP announces $10 million investment
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