On November 6, more than 300 customers, distributors, Kodak and Kodak Graphic Communications Group luminaries and printing industry On November 6, more than 300 customers, distributors, Kodak and Kodak Graphic Communications Group luminaries and printing industry and government officials of China celebrated the inauguration of a new offset printing plate manufacturing line in Xiamen, China. As Asia increasingly becomes the engine of the modern printing industry the event is a milestone for both this fast growing harbour city and the new Kodak as it emerges from a period of acquisitions and consolidation. The new plant reflects the company's regeneration and avowed commitment to print, to digital technology, and to China and the entire Asia Pacific region.

Philip Ferraci, Kodak GCG's Chief operating officer, said that the first new line at the Xiamen plant will add 20 million square meters capacity to Kodak with a mix of conventional and digital plates for directly imaging on computer to plate output devices. Ferraci said that the US$ 50 million  (approximately Rupees 195 crore) Xiamen plant “also provides a base of operations to increase our service and support for customers in China and the Asia Pacific region.”

The plant infrastructure and space are ready for the installation of a second line and Ferraci has ordered it to be built by 2009. Although some industry analysts estimate that 20 million square meters could be a theoretical or optimal capacity for the first line, it is clear that Kodak is throwing down the gauntlet to the entire industry. With the startup of this line in Xiamen and by doubling the plant's capacity to 40 million square meters by 2009, Kodak Xiamen will be able to supply a significant share of the digital and litho plates to the Asia Pacific region.

John Robinson, printing plate business general manager and vice president at Kodak's Graphic Communications Group, the man who wanted this line built and got it done in record time with the help of Kodak personnel from around the world, described it as the “fourth generation” of digital plate manufacturing technology. “Our Xiamen plant incorporates Kodak printing plate production expertise from around the world into what we believe is the most advanced plate manufacturing facility anywhere,” he said.

Occupying almost 21,000 square meters at Kodak's research and manufacturing center in the Haicang industrial district of Xiamen, the facility will begin production with Kodak Electra Excel no-preheat thermal plates, and conventional Kodak Winner Gold negative plates.

Along with the new facility in Xiamen, Kodak is creating a dedicated China Technical Applications Group to support customers. Kodak already has TAG operations serving Europe and the Americas.

ccording to Bhalchandra Nikumb, head of the Kodak GCG India cluster based in Mumbai, the technical applications group has already made a beginning in the country. The designated TAG person is Asim Kulkarni, with hands-on industry experience as a technical manager and user of Kodak thermal CtP devices in a high-pressure newspaper environment. At this point plates are supplied to the Indian and South Asian market from Kodak plants in the US and Europe. However, it is likely that supplies from the Xiamen line will come to India as to other parts of the region in the 2008 timeframe.

It is clear that the plates manufactured in Xiamen will have the same specifications and stringent quality characteristics as plates manufactured at any of the other seven Kodak plants. In fact it is quite likely that Xiamen will produce products that are manufactured at any of the other Kodak plants around the world. Several European suppliers of litho grade aluminum coil also attended the plant opening. Nevertheless, it was officially stated that the Xiamen plant would make every effort to qualify and source raw materials from Chinese suppliers in the future.

In addition to litho plates in Xiamen, Kodak is already manufacturing computer to plate output devices at its plant in Shanghai. The mayor of Xiamen in her address at the inauguration spoke of her total support for the company, which is seen as a high technology showcase for bringing in other investors to the city and country. She even spoke of financial incentives for the establishment of the Kodak plant and apparently there will be financial help from the government in the establishment of the second line as well.

Moreover these incentives are in addition to the obviously immaculate infrastructure of Xiamen city, its port and container terminal, and the Haicang industrial estate. From what one could see and glean from being there and talking to senior Kodak personnel, government officials and bureaucrats are ready to provide help in smoothening out some of the business wrinkles that can arise in the rapid construction of a US$ 50 million high technology manufacturing plant. The only thing that Chinese officials want in return is the opportunity to show the plant to other investors and for the plant managers to speak about their experiences in various business discussion forums.