Frugalpac, the British leader in sustainable packaging, is revolutionizing the industry with the world’s first commercially available paper bottle for wines, spirits, and oils, alongside the machines that produce them. In a significant move to enhance customer financing, Frugalpac has entered into an agreement with Siemens Financial Services (SFS), part of Siemens AG, to support the deployment of its next-generation Frugal Bottle Assembly Machine (FBAM-2).
Through this collaboration, Siemens Financial Services will provide qualifying customers with a structured lease-purchase scheme for the FBAM-2, contingent on standard lending criteria. This initiative aims to facilitate the adoption of lower-carbon packaging solutions within the food and drink packaging sector by simplifying local Frugal Bottle production investments.
The FBAM-2 exemplifies the latest advancements in Frugalpac’s paper bottle manufacturing technology. Designed as a scalable and multi-lane platform with cutting-edge automation, the standard three-lane configuration can produce up to 14 million Frugal Bottles annually—more than five times the output of its predecessor, the FBAM-1.
Notably, the Frugal Bottle has a carbon footprint that is 84% lower than that of a traditional glass bottle. The FBAM-2 produces bottles made from 100% recycled paperboard, with a weight reduced to just 71 grams—making it six times lighter than a standard glass bottle.
In addition to this, Siemens has supplied advanced automation components that enhance the efficiency of the FBAM-2 platform. This financing agreement builds upon their fruitful partnership, enabling customers to access the technology needed for scalable paper bottle production.
As the pressure mounts on brands to reduce packaging emissions, bolster supply chain resilience, and meet evolving Extended Producer Responsibility (EPR) regulations, the capability to manufacture packaging closer to filling facilities becomes paramount. Local production minimizes transport emissions, lowers packaging costs, and offers greater control over supply chains.
Malcolm Waugh, CEO of Frugalpac, said:
“Siemens is an important technology partner for Frugalpac, supplying the advanced automation components that power our new FBAM-2 platform. The fact that Siemens Financial Services, part of Siemens AG, is prepared to support customers investing in this technology is a significant endorsement of Frugalpac’s innovation capabilities and our vision to accelerate the adoption of lower-carbon packaging across the global wines, spirits, and olive oil markets.
“This agreement creates an even easier pathway for customers to install Frugal Bottle Assembly Machines and produce Frugal Bottles locally. That helps reduce carbon emissions and EPR costs, strengthens supply chains, and provides brands and consumers with a genuinely sustainable packaging alternative.
“The Frugal Bottle also offers a unique 360-degree branding opportunity, helping products stand out on shelf while delivering both environmental and commercial benefits.”
Carolyn Newsham, SFS Account Manager for Siemens plc, said:
“Innovation delivers the greatest impact when businesses can access it quickly and efficiently. Through this agreement, we are helping remove a potential barrier to investment by providing financing solutions for Frugalpac’s next-generation Frugal Bottle Assembly Machine.
“We look forward to supporting customers as they invest in technology that enables local production, strengthens supply chains, and contributes to their wider sustainability ambitions.”
The FBAM-2 has been crafted to assist packaging companies, beverage producers, and licensed manufacturing partners in efficiently scaling paper bottle production while bringing manufacturing processes closer to bottling facilities and end markets. by enabling local assembly, the FBAM-2 effectively reduces packaging miles, lowers transport-related emissions, and fortifies supply chain resilience.
This agreement is integral to Frugalpac’s broader international growth strategy as it expands its network of licensed manufacturing partners in response to the increasing demand for eco-friendly packaging solutions.
Since its inception in 2020, the Frugal Bottle has been embraced by beverage brands across 27 countries and is available at major retailers such as Aldi, Sainsbury’s, Target, 7-Eleven, Whole Foods, and Carrefour.
Frugalpac has also successfully exported two FBAM-1 machines to the US and Canada to meet the rising demand for sustainable paper bottles in North America.
Siemens AG stands as a global technology leader, driving innovation in the realms of industry, infrastructure, and mobility through digital transformation.
