RetailReady Newsmagazine Issue #10, by SOMIC Packaging

Page 1


INSIDE: Mozart sings a new tune. pg. 9

Come celebrate our Open House with us –details on back page.

MORE CHEESE PLEASE

Masters Gallery Foods expands business and will add a fourth SOMIC machine this summer

On the Fast Track to another Incredible Year

One thing I have wanted to do for a long time finally happened in February. Brad Addington, the quintessential editor of Packaging Strategies magazine, graciously asked me to do a podcast with him.

It was a great opportunity and I invite you to visit their website and listen to it. It is called "Trends in Secondary and End of Line Packaging". Brad is a very good authority on the packaging world and he is dialed in on all the latest developments.

We talked at length about SOMIC and the industry as a whole. One part of our conversation was about the differences between Europe and North America when it comes to end-of-line packaging solutions. We covered a lot of ground and I was surprised how quickly 25 minutes went by.

Speaking of fast, since our last issue of Retail Ready Magazine, our production floor has never been busier since we moved in last October. We completed a full slate of Factory Acceptance Tests (FATs) in the first quarter, and the schedule for the next quarter is packed with more FATs and the assembly of new machines.

Masters Gallery Foods, Inc.

You can read about one of those units in the cover story of this issue. Wisconsin-based Masters Gallery Foods will soon be installing their fourth SOMIC 424 machine when they add a new flow wrapped cheese slice line at their plant in Oostburg. Their business has boomed since they replaced manual packing with our first machine in 2022. I first met them in 2014 when we were just getting our business started in North America.

Both of our companies have grown greatly in the past decade, and in their case, they have expanded production facility capability many times over the years.

Growing their private label business has been instrumental to their success. Becoming an exclusive partner for a new Texas company two years ago has helped fuel new volume to the point where they are running 24/7 to keep ahead of demand. Masters Gallery Foods is a true success story and I’m happy we are playing a role in it.

Come See Us

Looking out over our production floor, I see more opportunities ahead in our future with the newest version of the SOMIC 434 machine platform we introduced to the North American market last year. When we launch the 434 SuperFlex at PACK EXPO Las Vegas this September, I can assure you it will be a gamechanging machine for brands across many industries.

But for now, let’s get back to the present. CheeseCon takes place this month, April 15-17, at the Alliant Energy Center in Madison, Wis., and we will be in booth 805.

We support this show – which rotates every other year with CheeseExpo – since more than 50% of our machines are installed at cheese manufacturing facilities in North America. If you are planning on attending, make sure you stop by and talk with Rosann Bagin, our Midwest regional sales manager.

If you can’t make it to CheeseCon, there is another opportunity to see us besides PACK Expo Las Vegas. We have started planning our Open House event here in Inver Grove Heights for September 25, a few days before PACK Expo. Keep tabs on the latest developments by visiting our website or reach out to any of our regional sales managers.

More details will be available in the coming months, and we are putting together a full schedule with

Retail-Ready Magazine is published by SOMIC Packaging, focusing on the Retail-Ready industry. We manufacture advanced mechatronic case-packing systems that collate, unitize and load cartons, trays, retail-ready packages, and wraparound cases.

See how SOMIC can bring new efficiencies to your packaging line.

tours of our new facility, food and entertainment. If you haven’t already made your travel plans for PACK Expo, it’s a great way to spend a day before heading on to Las Vegas.

It would also be a good opportunity for you to meet some of our employees you don’t already know. One of the many positives our new headquarters affords us is room for future growth. When we began the new year with 42 employees, more than 55% of them – 24 to be exact –had joined us in 2024.

In this issue we are recognizing those who celebrated a work anniversary in the first quarter. We plan to have similar updates throughout the year and we hope to honor even more employees as time goes on. Enjoy reading this issue and I look forward to crossing paths with you soon.

Respectfully,

April 15-17, 2025

Alliant Energy Center Madison, WI

CheeseCon.org

Booth #805

8270 Courthouse Blvd. Inver Grove Heights, MN 55077

+1.651.419.6050 us.somic-packaging.com info@somic.us

Follow us on our SOMIC Packaging –USA page:

linkedin.com/company/ somic-packaging-usa

Happy Anniversary!

In the first quarter of 2025, we had many dedicated employees reach their anniversary hiring dates. The majority we are recognizing are those who joined us in early 2024. Congratulations to all and here is some background about who they are:

Our Apprentices

Kenbrick Rosas Villanueva (left) and David Rubio (right) joined our program two years ago. It was rewarding to watch them go from their first steel cube to building their own PLC machine. They have learned many things about our industry and machines, and will soon be graduating from our apprentice program with straight A grades! We are confident they have bright futures ahead and both recently became first-time homeowners. Congratulations!

“I enjoy taking walks, listening to music and reading, and like to travel; I’m looking forward to our yearly trip to Mexico. I have two cats and like spending time with family and friends.”

Brian Neill – After Sales & Service

“I like to play darts and compete in local tournaments. I also love spending time with my dog, Brushy. She’s the ‘Head of Product Sample Testing’ in our U.S. office.”

“I live in Colorado, enjoy drinking Heineken, I’m an outdoor enthusiast and like to hike, snowboard and paddleboard. I love going to concerts and am a big fan of Dead And Company, Phish and SCI.”

Blake

“I’m from the Chicago area and moved to Minnesota to work here. I was a musical theatre kid and I like running. In my free time, I watch YouTube videos and enjoy learning about history and the art of storytelling.”

Lee Cooper – Electrical Engineer/PLC Programmer

“I like to play computer games and enjoy the outdoors. My hobbies include fishing, camping and boating. I have three children who are about to be teenagers and are heavily involved in music and sports.”

“I am a Brazilian jiu jitsu brown belt who trains often and competes at events. I am also an avid gamer, anime lover, and devoted father of three children. When I travel, my copilot is my French bulldog Benny.”

Chris Montalvo – Senior Automation Technician

Devin Fleck –

“I like learning about 20th century history, especially moments that highlight great successes and failures of leadership. In my free time I like watching videos and playing video, tabletop, and card games.”

Tony Greenwell –Commissioning Technician

“I like to spend time with my family. I work out several times a week and I’m into financial and personal development podcasts. I like walking, hiking and riding my bike. I’ve been bowling since I was 4 and have played corn hole since I was 16.”

Klare Hollenkamp –

When not at work, I’m designing and planning construction as a firsttime homeowner. I like to cook and bake with my family and boyfriend. I’m a melanoma cancer survivor, first generation college student (Go Badgers!), and enjoy traveling and shopping with friends.”

Matt Knight –Commissioning

“When I’m not working, I spend my time outdoors hunting, fishing, and camping with my girlfriend. I really enjoy watching Minnesota football and hockey. Go Vikes and go Wild!”

Chad Leon – Sales Support and Inventory Analyst

“I love going to movies and the theatre, especially with my family. I am obsessed with Disney World, spreadsheets are my jam, and I’m a board game collector. I’m also a dance dad, supporting my 12-yearold daughter Mady.”

Harry Letofsky –Mechanical Assembler

“I’m a real estate investor, former bodybuilder and power lifter, and a techie at heart. I have a great mechanical aptitude, enjoy travel, and I’ve had the opportunity to work in three countries in leadership and production. I also have a newborn daughter, Skyler, who is named after my nickname, ‘Sky’.”

Dan Maier – Packaging Project

“In my free time I enjoy being outdoors and visiting national parks across the United States. Also, I’m still alive somehow after eating a White Castle Crave Case (30 sliders), plus fries and a drink!”

Brad Nelson – After Sales & Service Coordinator

“When I’m not in the office, I spend time with friends and family. I play pickleball, love going on bike rides and camping with friends, and I love cooking and spending time with my nephew Archie, who is now 2 years old.”

“I love watching cricket, spending time meditating, studying mythology, and playing video games. I’m originally from India and have traveled to the United Arab Emirates and Germany. I moved to Minnesota in 2016 to attend college and stayed.”

Yash Verandani –Mechanical Engineer

Visit any grocery store today and one of the largest product sections you’ll see is the cheese aisle. The larger the store, often there are more brands and especially private label ones to choose from. While you won’t find their name on the package, chances are you have seen or purchased Masters Gallery Foods packaged products.

The cheese industry is growing and so is Masters Gallery Foods. The Plymouth, Wis. cheese packager and distributor celebrated its golden business anniversary in 2024 and the momentum has carried over into 2025. The company is running non-stop 24/7 to fulfill orders for a customer base of national grocery chains, wholesalers, restaurants, and distributors with a full line of cheese and cheese-related products.

Sales have increased since Masters Gallery Foods became the exclusive off-take partner for a new Texas cheese manufacturer in 2023. Located in Dumas, which is north of Amarillo and not far from the Oklahoma border, the aptly named Panhandle Products is producing a significant amount of Americanstyle cheese products.

The agreement not only helped stretch Master Galley Foods’ boundaries beyond the United States, it also boosted sales from about $1.6 billion in 2023, to nearly $1.8 billion last year, says Jeff Gentine, the company’s secondgeneration president and CEO.

“For years we’ve sold retail products into Puerto Rico and China but we were never major exporters. Now with Panhandle, we sell a substantial amount of bulk cheese into Mexico, with in-roads into Central and South America,” he said. “Within the next two years, we expect to be marketing over one billion pounds of cheese with sales reaching over $2 billion.”

In October 2022, SOMIC Packaging began helping Masters by replacing a time-consuming manual packing operation with automated solutions. After the first packaging machine was installed, two more followed in 2023. To keep up with new

demand, Master Gallery Foods will be installing a new slice line this summer, complete with another automated packer. All of them are from SOMIC’s signature 424 platform.

A Dairyland heritage that continues to grow

There is good reason why Wisconsin is referred to as “America’s Dairyland”. It is the top ranked producing state for cheese production and has been for many years. Between Masters Gallery Foods and three other manufacturers in the Plymouth area, an estimated 15% of the cheese consumed in the U.S. moves through Sheboygan County north of Milwaukee.

Gentine’s grandfather, Leonard Gentine, Sr. opened one of those manufacturing companies –Sargento Foods – in 1953. Leonard’s son, Butch, got his start there in sales and later left the company to open Master Gallery Foods in 1974. In the 1980’s, he expanded the company’s core business from being primarily focused on bulk industrial cheese sales, to adding private label business for retail customers.

By leveraging relationships with their industrial clients, it opened the door to bigger success. Today, about 45% of the company’s volume comes from the industrial and ingredients segment. Retail sales account for 30% and the remaining 25% is food service clients.

Growth during the 1980s resulted in changes which put them on the path for greater success. After several years of co-manufacturing its private label shreds and chunks, Masters Gallery Foods in 1989 constructed its first production and distribution facility in Plymouth. The first reclosable packaging for private label shredded cheese was

“Speed, functionality, and reliability were very important to u s. ”
Jeff Gentine, President and CEO; Masters Gallery Foods, Inc.
"We found the SOMIC wraparound solution would be much more accurate for (our chunk products) than the standard robotic pick-and-place that we were used to."

manufactured in the 45,000 squarefoot facility.

After installing new large format shred equipment in the mid-1990s so they could sell to restaurants and distributors, Masters Gallery Foods later added a third shift to generate more capacity to support the growing private label sector.

The Plymouth facility was doubled in size in 2000, and by 2007 another expansion to 170,000 square feet of space was necessary. After a third major expansion in 2013, the building now totals more than 300,000 square feet.

Spurred by high demand across both retail and food service, in 2018 the company opened a new facility about 20 miles away in Oostburg. Expanded in 2022, the Oostburg plant also provides over 300,000 square-feet of production and distribution space. The company currently employs nearly 1,200 people and runs three conventional shifts during the week, and several 12-hour crews on the weekends.

“Our Oostburg facility could be expanded once more,” explained Jeff Gentine, “but it may make more sense to do something out of state at some point down the road.”

SOMIC automation sparks future plans

Although the first SOMIC packaging machine for chunk cheese was not installed in Oostburg until October 2022, the automation seed was first planted in 2014.

“I first learned about SOMIC when I saw a magazine ad and was intrigued by their equipment. I soon met with their CEO, Peter Fox, at PACK Expo in Chicago and got to see their machine for the first time,” recalled TJ Lenz, the Packaging Development Manager at Masters Gallery Foods since 2019. A 27-year company veteran, he worked with multiple types of primary and secondary packaging equipment as a line operator and line lead for 16 years before moving to the Packaging Engineering department in 2014.

“I was intrigued with their equipment so we stayed in contact regularly,” continued Lenz. “For the next several years, we discussed future concepts and Peter would keep me updated on new and innovative installations. He also put us in touch with some of their customers so we could ask questions,

From left to right; TJ Lenz stands in front of one of the SOMIC machines with line attendant Judi Even and line lead Cameran Lehrer.
Packaging Development
Manager TJ Lenz, in the test kitchen at Masters Gallery Foods in Oostburg.

and we were aware they had added several machines in our industry that were packing similar products and formats. It led to us working on the first flow wrapped chunk line project in 2021.”

Lenz said this machine replaced manual packing and met other objectives.

“We needed to find a high speed case packing solution for our chunk products. The equipment needed to be able to tightly collate the product and to fit into existing small case dimensions. We found the SOMIC wraparound solution would be much more accurate for this than the standard robotic pick-and-place that we were used to.

“Speed, functionality, and reliability were very important to us,” he added. “We did lose the flexibility to easily add new formats, but with the aftermarket additional format tooling, we at least have options if necessary in the future. The compact size and monobloc machine design was also a great fit by eliminating the space need for separate case forming, packing and sealing equipment.”

Two other SOMIC machines were installed to handle another flow wrapped chunk cheese line in Plymouth in June 2023, and a cracker cut line in Oostburg six months later. Industry statistics have since revealed private label cheese brand growth jumped from 17% in 2019 to about 19% by 2023.

According to a 2024 Supermarket News report, private label cheese represents 25% of all supermarket packaged cheese sales. The annual growth rate the past five years was led by an expansion of natural shredded, sliced and chunk cheese varieties, followed by processed slices, cream cheese and grated cheese. These are all products Masters Gallery Foods distributes.

“The new slice line,” said Gentine, in reference to the SOMIC 424 tray and cover machine scheduled to be installed in Oostburg this July, “is to keep up with the organic growth of our existing customers and the overall strong demand for slices in both retail and food service packs.”

Lenz confirmed this new machine will operate like the others in a “Packoff” area.

“It is a separate environment from our converting and primary packaging. The room is kept between 55-to-60 degrees,” he indicated. “All of the SOMIC machines have one employee operating them at a time. The infeed comes from our upstream primary packaging equipment, and downstream is robotic palletizing.”

Lenz pointed out the operational and service advantages to the SOMIC machines.

“The die cut blanks use about 30% less corrugate material than a typical Regular Slotted Container (RSC) box we use on other equipment. The changeovers are much more accurate and repeatable due to the specific format parts and documented change point positioning. Since there is no corrugate variance in the die cut blanks compared to a typical RSC style case, once the changeover is complete the machine just runs with no further tweaks necessary.”

He added, “At this point, we have only needed SOMIC’s onsite service for machine installation and additional format programming. When scheduling those visits, communication has been very responsive and flexible to work around our requirements and production schedules. Our Technical Services team has not needed to use their phone support, but they do communicate with SOMIC via email as needed. They have been very helpful in those instances.”

MOZART CHOCOLATES SATISFY IN MORE WAYS THAN ONE

The precision of SOMIC’s 424 DT makes it all possible

The chocolate you find in any carton cannot be made without any intermediate steps. For Paul Reber GmbH & Co KG, it all starts with finely exquisite raw materials and a perfectly interlinked process for the production of Reber Mozart-KugeinÆ.

To ensure the specialty with a nougat and pistachio marzipan core catches consumers’ attention on supermarket shelves, it requires shipping and presentation packaging. This is where their SOMIC 424 DT wraparound case packer comes into play.

In the game: The Specialist

As soon as you reach the gates to the production facility of Paul Reber GmbH & Co KG in Bad Reichenhall in Bavaria, Germany, you can’t miss the hint of chocolate fragrance in the air. They manufacture the famous genuine chocolates in golden tin foil with the portrait of Wolfgang Amadeus Mozart. These and many other fine specialties are produced at the highest technical level not far from the Austrian border.

At the front of the production lines, liquid chocolate, marzipan and nougat await further composition. The chocolates are transported to the SOMIC 424 DT end-of-line packaging machine in folding cartons with lids or as sideload packs. High productivity is a success factor because chocolate production must run continuously. Prior to investing in the machine, the company had previously completed all cartoning activity manually.

“Whenever we decide to invest in a machine, we always focus on the specialists,” said Reinhold Kaiser, operations manager at the Bad Reichenhall plant, when looking back on the decision-making process. “SOMIC is a specialist in the end-ofline packaging sector. I continuously observed SOMIC at several trade fairs and at other manufacturers, and could only support the decision for SOMIC here in the company on this basis.”

For Paul Reber, quality means the genuine Reber-Mozart-Kugein chocolates are grouped together in the outer carton to protect the product. Depending on the shipping unit, the SOMIC machine handles up to 100 packs per minute into the cartons.

The machine processes nine different carton sizes in either a tray or lid tray format. The product range for processing extends from 120-260 mm (roughly 4 ¾ to 10-1/4 inches) in length, to 100-200 mm (about 4 to 7-3/4 inches) in width and 25-50 mm (1 to 2 inches) in height. The processed packs each weigh between 100 to 400 grams (between onequarter to just under one pound.)

With the classic format set –including a matching compartment collector – Kaiser says Paul Reber can set the desired product grouping for the defined carton of each packaging variant.

“We were able to use the packaging machine in standard operation very quickly after the commissioning process. The employees, as well as the technicians and line managers, get on very well with the machine and the format changeovers work quickly and easily.”

Apart from the need for employees, SOMIC provided support with further optimizations for the packaging line. Reber was able to rely on SOMIC’s service for the carton variants design during project planning.

“We previously used a classic Regular Slotted Container (RSC) carton, which we sealed with wet adhesive strips. Now we work with a wet blank,” explained Kaiser. “We didn’t have to change the quality of the cardboard material; we still use a socalled B flute. However, by optimizing the new cut with the help of SIOMIC’s experts, we were able to significantly reduce the amount of material used for a considerable savings.”

Kaiser added that with the new cardboard concept and gluing in the wraparound cardboard, they achieve even greater stability of the shipping cartons and further savings are associated with the inkjet unit docked in the machine’s outfeed.

“We used to apply labels to all our outer cartons after sealing, which contained all the necessary information for shipping and product labeling. We have now solved this with the help of the inkjet printer directly in the outfeed of the packaging machine,” he said.

This has several advantages for production operations. Label printing is no longer necessary since there is no need to stick on the label, and there is no need to dispose of the carrier tape.

“We save several million labels in production with this combination of end-of-line packaging machine and direct printing unit,” summed up Kaiser.

No Coincidence

SOMIC laid the foundation for rapid commissioning with the established procedure of a Factory Acceptance Test at SOMIC’s facility in Amerang.

“The installation of our production line was completed within two weeks, and we were able to go into standard operation immediately,” recalled Kaiser. “Despite the pandemic and difficult conditions with masks, access controls and stricter hygiene measures, the installation worked perfectly from A to Z, right through the commissioning and production support.”

When asked about ongoing operations, Kaiser acknowledged the packaging machine is currently being used for a two-shift operation and the robust design is proving itself.

“We hardly need any wearing parts and the drive technology also works perfectly. In terms of needing spare parts, the SOMIC 424 DT is doing well. We can keep it that way,” he said.

The operations manager also put a desired operational target figure on the table.

“We are aiming for an efficiency level of 97%, and currently are a few percentage points below it, but that has nothing to do with the machine.”

He indicated the Paul Reber team receives the required data from the machine’s control system, such as quantities, operating status, and operating and changeover times or faults. This helps them for overall planning.

“We had a very good working relationship with SOMIC from the first point of contact at a trade fair, through the commissioning at our plant. This gives us reason to continue developing SOMIC in our company.”

1.651.419.6050 us.somic-packaging.com

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