AMG Packaging Paper Co hopes to box out imports

AMG Packaging Paper Co hopes to box out imports

BY STEVEN JACKSON Business reporter

Tuesday, April 14, 2015

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AMG Packaging Paper Company Ltd (AMG), which makes cardboard boxes, hopes that its recent ISO certification will result in manufacturers choosing locally made boxes over imports.

It's the latest announcement by a company seeking to substitute imports with local production. The company received ISO certification in January, but told shareholders this month in a statement accompanying its quarterly financials.

"With this achievement we gain global and local recognition as it reflects the high quality that is being produced by AMG. This should encourage more of our local manufacturers to confidently come on board and dramatically cut down on the importation of corrugated products that are already being manufactured locally," stated AMG general manager Michael Chin in a statement prefacing the financials.

AMG made $16.2 million net profit on $150.1 million in sales over three months ending February 2015 or 194 per cent higher profit year-on-year. AMG's cardboard box inventory also grew by one-third year-on-year to $120 million, which indicates increased capacity for growth.

The certification indicates that AMG sought to optimise the quality, safety and efficiency of its products by eliminating risks along its production line. It thus makes AMG's systems recognised by the ISO which is an international standards organisation based in Switzerland. AMG spent $1.2 million on ISO certification expenses over six months ending February, 2015, which adds on the $900,000 spent over six months ending February 2014, according to the financials.

"The scope of certification is the design and manufacture of paperboard , including printing and conversion. The team was determined to achieve this certification on our first attempt," Chin stated.

AMG was certified to ISO 9001 standards by the National Certification Body of Jamaica, which is the independent certification unit of the Bureau of Standards Jamaica. It is one of the largest packaging companies in Jamaica and was the second packaging company reportedly certified by the National Certification Body of Jamaica to ISO 9001 Standard.

"We are pleased to announce that AMG is ISO certified," stated Chin, who added that AMG's main focus for the ensuing financial year will include building its customer base while maintaining satisfaction levels.

The company was listed on the junior arm of the Jamaica Stock Exchange in July 2011 and incorporated in 2005.

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