Industries Economic Development

Smyth County expansion expected to create 42 jobs

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Scholle IPN Packaging Inc. plans to expand its production facility in Smyth County.

The $10.29 million investment in the Chilhowie plant is expected to add 42 jobs to the plant’s workforce.

Illinois-based Scholle is one of the world’s largest packaging manufacturers. It provides sustainable packaging for a variety of industries, including the food and beverage, agriculture, automotive, cleaning, personal-care and pharmaceutical sectors.

The company employs 2,000 workers at sites in 14 countries. 

Kent Kisselle, Scholle’s vice president and general manager of North America, said the expansion is a key milestone in the company’s long-range plan for its North American business.

“Our decision to expand in Chilhowie was necessitated by our continued growth in core flexible packaging markets along with the need to support our long-term strategic objectives,” he said in a statement. “These initiatives include the development and application of a broad range of technologies to our business, and training our people in using these tools.”

He described Southwest Virginia as a “strong fit” for the company’s plans because of the availability of high-quality labor.

The Virginia Economic Development Partnership worked with Smyth County, the Virginia Industrial Advancement Alliance, the Virginia Tobacco Region Revitalization Commission and the Virginia Port Authority to secure the project.

Gov. Ralph Northam approved a $125,000 grant from the Commonwealth’s Opportunity Fund to assist with the project. The Tobacco Region Revitalization Commission approved $195,000 in Tobacco Region Opportunity Funds.

Scholle also will be eligible to receive Sales and Use Tax exemptions on manufacturing equipment, as well as benefits from the Port of Virginia Economic and Infrastructure Development Zone Grant Program. The company also qualifies for state benefits from the Virginia Enterprise Zone Program, administered by the Virginia Department of Housing and Community Development.

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