Speciality Chemicals Magazine JUL / AUG 2021 - Page 46

Rodney Steel , chief executive of the BCMPA , discusses how contract and toll manufacturers are playing a vital part in helping the growth of the speciality chemical sector

Partnering with CMOs :

More beneficial than ever

Rodney Steel , chief executive of the BCMPA , discusses how contract and toll manufacturers are playing a vital part in helping the growth of the speciality chemical sector

With demand driven by the growing automotive , textile , food and beverage industries , especially in developing countries , ResearchandMarkets . com estimates the global speciality chemical sector to be worth $ 639 billion / year A widening application base , increased need for improved crop quality and rapid industrialisation are just some of the factors identified that are helping to accelerate market growth at a rate of over 5.5 %/ year .

Growth opportunities
An expanding market provides many opportunities for companies , but maximising these can sometimes bring its own set of challenges , particularly in terms of managing existing business while investigating new sectors or seeking to develop new products . It is therefore no surprise that an increasing number of firms are choosing to outsource some of their manufacturing support Contract manufacturing organisations ( CMOs ) are now playing an increasingly essential support role for businesses and brand owners . Certainly , even with the turbulence of the past months , many members of the BCMPA , the UK trade association for contract manufacturing , packing , fulfilment and logistics , have reported that they have never been busier . “ Despite all the challenges of the last year , including COVID-19 and Brexit , our strategy for growth has continued
Manufacture of hygiene products at Mirius
unabated and we have achieved exceptional year on year growth ,” confirms Jon Dutton , director of sales and marketing at Libra Speciality Chemicals , a manufacturer of surfactants and speciality chemicals . Similarly , Darren Langdon , managing director at global hygiene provider Mirius , says : “ We have seen double digit growth across all our divisions and there is no sign of this growth abating as our customer base builds across all sectors .”
Agility brings opportunities
One of the reasons for CMOs ’ continued success , even in more challenging times , is their flexibility and agility in being able to adapt quickly to changing market requirements . This has been particularly evident during the current pandemic . Contract manufacturer and packer of speciality chemicals Safapac , for example , re-focused its production capabilities to meet the huge demand for hand sanitisers and bio-secure products for disinfecting . Martin Steele , the company ' s managing director , says : “ As a business , we wanted to do all we could to meet this demand and use our expertise to deliver creative and technical solutions to the challenges the pandemic presented .” Crop protection and nutrition market supplier JT Grosvenor also responded quickly , adapting its formulation plant to produce a variety of cleaning products . “ We have built flexibility into the business , and this has meant
46 SPECIALITY CHEMICALS MAGAZINE ESTABLISHED 1981