Merrillville-based MonoSol LLC, a global leader in the development and commercialization of water soluble products and packaging, announced yesterday it is considering expansion of their La Porte production facility to dramatically increase production pending local and State incentive offers. The company says it would invest more than $20 million over the next two years and add significant resources to its La Porte plant if approved.

“For the past five years, MonoSol has developed technology that has grown worldwide consumer and commercial product demand for water soluble films and solutions. This increasing demand has been met by consistently and methodically increasing capacity at our manufacturing sites in the United States and England,” said P. Scott Bening, President and CEO.

The new addition would add approximately 41,000 sq. ft. of production space and house an additional two production lines with the ability to add a third line in the future. This expansion will be the next phase in its growth program to increase production capacity at their global manufacturing facilities.

Tim Gropp, Executive Director of the Greater La Porte Economic Development Corporation, stated, “This expansion comes during a tough recession when jobs and investment are significantly needed. We are excited that their expansion in our community would take place so soon after their initial investment and we will continue to support their future growth in our community.”

MonoSol expects to increase capacity for water soluble film manufacturing by more than 20 percent in 2010 and an additional 20 percent in 2011 and will add similar solution production capacity. This increase is being driven by advances in several growth market areas such as unit dose packaging, composite fabricating and MonoSol’s unique new dust abatement solution product, TerraLOC.

In 2007 Monosol purchased the remaining 16 acres of the Thomas Rose Industrial Park located in La Porte and in 2008 opened a 30,000 square-foot facility to house its new high-tech film production lines and pilot facilities. The current facility houses two production lines and a mixing area.

“In addition to adding capacity, we continue to refine and enhance our market leading technology through process improvements and streamlining technology”, said David DeVoll, Vice President - Commercial Director Substrates.

Mayor Kathy Chroback added, “The City is very pleased with MonoSol’s decision to consider expanding its manufacturing facility in La Porte. This expansion is a testament to the success of MonoSol during these tough economic times, the company’s relationship with the City and the hard work of the Greater La Porte Economic Development Corporation. We are delighted that the addition of new production lines would create additional jobs for our community’s workforce. Congratulations to MonoSol for its great success.”

MonoSol has asked the La Porte City Council for authorization to utilize the ‘Enterprise Zone Investment Deduction’ program. This program allows the company to receive a tax deduction on the increase in assessed value which must then be reinvested back into their La Porte facility. A portion of the savings must also go to the La Porte Urban Enterprise Association to reinvest throughout the zone in the form of grants.