“Italian Icons of China”, Goglio SpA
This article was originally published in Italian in Panorama on 24th Sep 2024.
Please note that this is a courtesy translation of the Italian language article originally published in the Panorama Magazine Issue at: https://www.panorama.it/economia/industria/italian-icons-of-china-goglio-spa
To provide our readers with an in-depth overview of Italian companies operating in international markets, including China, we have launched the article series “Italian Icons of China.” This series features exclusive interviews with key figures from some of the most important Italian companies present in China.
Through these interviews, we explore the history of the brands, the expansion of their businesses, and their successes. We also offer valuable insights and suggestions, useful for both multinational corporations and small and medium-sized enterprises, as well as entrepreneurs interested in international markets, all based on the investment experiences and sectors of the interviewed companies.
In this article, we had the pleasure of conducting an exclusive interview with Dr. Mirko Turrina, General Manager of Goglio (Tianjin) Packaging Co., Ltd.
Founded in Milan in 1850, the Goglio Group is a global pioneer in flexible packaging, with 173 years of innovation and growth. From Milan, the company has expanded to Italy, the United States, Spain, the Netherlands, Brazil, China and Japan, offering cutting-edge solutions that combine sustainability and technology.
Goglio (Tianjin) Packaging Co., Ltd. a Chinese subsidiary of the group, was established in 2004 and began production in 2006. Located in Tianjin, China, it covers over 50,000 square meters and offers a wide range of packaging systems. With a recent investment of 15 million euros, the company continues to innovate, ensuring freshness and safety for the food industry.
At the helm of Goglio (Tianjin) is Mirko Turrina, an experienced professional who has been active in the Chinese market since 2004. Throughout his career, he has held various roles in the aluminum industry and his experience extends to the automotive, aerospace, and high-speed train industries. Turrina holds an MBA from the Hong Kong University of Science and Technology, a degree in Mechanical Engineering from the University of Padua, and a certificate in Business Sustainability Management from the University of Cambridge. Being directly involved in the engaging growth and success journey of Goglio China, his insights provide an in-depth look into his experience and the strategies that have shaped the group's success.
1.How many years has Goglio been operating in China and what is the main reason for focusing on this specific market?
Goglio began operating in China in the late 1990s with an exclusively commercial presence to support the growing processed fruit market, particularly tomatoes.
In 2004, to better meet market needs and taking advantage of the benefits offered by the municipality of Tianjin, the ownership decided to invest in a local facility, founding Goglio (Tianjin) Packaging.
The choice of Tianjin proved to be successful, as the city’s port is the main outlet for the export of processed fruit produced in the northwestern inland of China, where numerous industry operators are involved in storage and sales.
Starting from the Chinese tomato market, Goglio Tianjin has today expanded its operations into new geographic markets and sectors, operating throughout Southeast Asia and supplying growing markets such as coffee, Ho.Re.Ca., and the industrial sector.
2.How have you addressed and capitalized on the opportunities and challenges arising from the significant cultural differences between China and Italy during your operations in China?
Every culture has something valuable to offer, and it is essential to appreciate diversity.
Both Chinese and Italian cultures have ancient roots, as evidenced by the Silk Road, which connected our peoples for centuries. This long-shared history naturally makes us open to dialogue.
Working in a multicultural environment, I have learned a great deal from the different approaches of my colleagues. It is only through the confrontation of varied perspectives that innovation can arise.
Our Chinese employees are invaluable for their deep knowledge of the local market. At the same time, our Italian heritage positions us as leaders in sectors like coffee and tomatoes, not only because of our products but also through the support provided along the production chain by companies like Goglio.
Collaboration with universities like Nankai and Tongji helps us broaden our horizons. I believe that cultural openness is crucial for looking to the future with new perspectives.
Our most cutting-edge clients choose us precisely because they know that our international nature can lead to innovative and sustainable solutions.
3.Are the challenges faced by companies in the packaging sector in China significantly different from those in other markets?
In such a competitive market, we cannot afford to compete solely on price.
We must strive every day to maintain and enhance our reputation for excellence, built on years of hard work. Our major Chinese competitors now offer good quality products, so something more is needed to set us apart.
That “something more” is the strength of our brand, founded on trusted relationships with customers and end consumers. We are a guarantee of reliable solutions, but we also know how to continuously evolve by listening to the market.
Unlike Japan, here in China customers forgive small mistakes but do not tolerate delays in responses. It is speed, along with quality and constant innovation, that allows us to continue growing in this sector.
We will continue to work hard to improve continuously and to be regarded as the ideal choice, not only for our reputation but especially for the tangible value we provide. This is the only path to take in a market like this.
4.As technologies continue to evolve, has Goglio introduced specific innovations for the Chinese market that differ from those in other markets?
Goglio Tianjin is an integral part of the Goglio Group and works closely with the R&D department to bring constant innovation.
We have always focused on sustainability and technological progress. Together with major clients, we have developed cutting-edge solutions such as modular FIBCs for lubricating oils, which are more eco-friendly and cost-effective.
This year, we installed a new visual inspection system based on artificial intelligence, which, thanks to technology, minimizes defects in packaging, ensuring the best for our clients.
We continue to patent exclusive ideas, such as the recent coffee valve, thus meeting the demands of emerging markets such as China.
Being recognized as "High-tech" by Chinese institutions not only gives us advantages but also implies a constant commitment to R&D, which is a fundamental pillar of our offering and our success.
Only by continually placing innovation and sustainability at the center can we look confidently to the future.
5.In line with this year’s Italian Design Icons (IDI) event theme, "Creating Value: Inclusivity, Innovation, and Sustainability," what initiatives have you planned to enhance sustainability?
We are strongly committed to sustainability. We offer green solutions such as compostable capsules, easily recyclable laminates, and flexible packaging solutions as alternatives to cans.
In the food industry, it’s not enough to simply reduce, reuse, and recycle; it is crucial to preserve the product by extending its shelf life. Only by doing so can we truly limit waste, which is a fundamental goal if we want to operate with genuine sustainability in mind. That’s why, alongside the 3Rs, we emphasize the "E" for Extend. Through our packaging and innovative solutions, we help customers prolong the shelf life of their products while maintaining their characteristics over time.
We were recently recognized by local authorities in Tianjin as a "green factory," thanks also to our photovoltaic system, which supplies about 20% of our energy needs. With new policies allowing us to purchase energy from renewable sources at attractive costs, we aim to use a greater share of renewable energy in the coming year.
True sustainability involves everyone, which is why we work closely with Chinese associations to promote increasingly virtuous standards and advocate for forward-thinking policies. The challenges are not easy to overcome, but China's decarbonization goal is clear, and historically, these objectives have always been achieved, so I expect growing attention on this issue.
6.What advice would you give to investors or managers considering investing in China?
The Chinese economy is strongly influenced and driven by central policies. These policies are generally made public through various documents, with the main one being the famous "five-year plan." For those looking to approach this market, I highly recommend reading this document, as it outlines the sectors in which China has decided to grow and often bridge the gap with other developed nations. Obviously, if an entrepreneur operates in one of the sectors listed in the Plan, the chances of success are greater. However, it is important to understand what the country wants to develop, what the market lacks, and what can be provided within the required conditions; otherwise, it will be extremely difficult.
In the past, China was open to adapting and assimilating new solutions developed for other markets, but that is no longer the case. The market and the customer now demand products or services that align with local needs and cultural nuances. Choosing a good local partner is essential to understand what those important factors are and the true perceived value.
From my perspective, a certain cultural understanding is also absolutely necessary. I would recommend a famous Chinese book, “The Art of War” by Sun Tzu. One tactic that I find very useful is, "The supreme art of war is to subdue the enemy without fighting."
Regarding the current situation, Western media portrays an overly alarmist scenario. The Chinese economy has the resources to adjust its course and continues to offer enormous opportunities for those who can truly understand it.
By: Attorney Carlo Diego D’Andrea, Vice President of the European Union Chamber of Commerce in China
