CLIPPING
PAINT&PINTURA | Abril 2016 | 13
tructionCoatings–InmetroOrdinance529/2015”,discussedthe
effectssaidordinanceontechnical regulationsandcompliance
assessmentprograms.
Closing the forumand focusingon the coatings quality issue,
ABRAFATI’stechnicalmanagerGiseleBonfim,responsibleforthe
Industry-SpecificQualityProgram(PSQ,the initials inPortugue-
se)forDecorativePaints,presentedthe lecture“Opportunities
forNewMarketsThroughthePSQ”.
BACK INBAHIA,EBDQUIMWASAMAJORSUCCESS
The8thBrazilianMeetingofChemicalandPetrochemicalDistri-
butors(knownforshortinPortugueseasEbidquim),whichtook
placeonMarch09 through 11atClubMedTrancoso, inBahia,
featuredabroad lectureprogram.
OrganizedbyAssociquim-Sincoquim (short inPortuguese for
BrazilianAssociationofChemicalandPetrochemicalDistributors
andUnionofSãoPauloStateChemicalandPetrochemicalWho-
lesalers), the8thEbdquimwasattendedbyrepresentativesof
majorchemicaldistributorsandtheentirechemicalsupplychain
and repeated the success of its previous editions. The theme
for thisyear,namely,“Distribution:BuildingaBridgeBetween
ProducersandConsumers”, ispertinenttotheverymissionof
chemicaldistributors,accordingtoAssociquimpresidentRubens
Medrano.“Inhard times like this,our responsibility forfinding
solutionsthataddvalueandmeettheneedsofourbusinesspar-
tnersredoubles.This iswhywebrought in lecturersofnational
and international renown,who arego-toprofessionals in the
industryandcertainlycontributedtothesuccessoftheevent.”
Following the opening speech by Associquim’s president, a
solemn lecturewasdeliveredbyBrenntagCEOSteveHolland,
whoemphasizedhis company’s structure, including470 sites
around theworldand revenuesofUS$ 13billion for 2014, and
alsodiscussedhowthechemicaldistributionmodelhasevolved.
“Thedistribution service is very important andhasbecomea
pointofdifferenceinthemarketplace.Distributorsarebecoming
increasinglycompetent,providinglaboratory,mixingandmany
otherservices.”AccordingtoHolland,chemicaldistribution isa
challengingbusiness thatchangesquite rapidly. “Butwehave
beengainingmore andmore clarity and efficiency.Wemust
demonstratetheaddedvalueoftheservicesweprovidebecause
wewanttobeseenasthebestoptiontoreachthe industry.”
Holland’slecturewasfollowedbyapanelonthetheme“Global
Chemical Distribution: Prospects”, featuringBraskem’s Basic
Petrochemicalssalesdirector Isabel Figueiredo, asmoderator,
and four lecturersof great renown in themarketplace: Frank
Schneider, executive director, Germany, at the IMCDGroup,
EdgarNordmann,executivedirectoratNordmann,MartinPugh,
vicepresidentatUnivar, andGuentherEberhard,executivedirector
atDistriconsult.
Isabel Figueiredo provided an overview of the global distribution
market and itsbehavior in thepast fewyears. “Theglobal distribu-
tionmarket turnedover approximatelyUS$ 208billion in2015, and
itbreaksdown intoapproximately60percent commoditiesand50
percentspecialtychemicals.Italsoaccountsforaround10percentof
all chemicalsconsumedworldwide,which is rather relevant indeed.
Ifwe lookatdistributionby region,NorthAmerica takes 14percent,
Europe 11percent, andAsia7percent. It isavery fragmented indus-
try -whenyou lookat the20 largestglobaldistributors, theysupply
approximately23percentofthemarket,andthatissayingsomething
aboutfragmentation.
Therearemore than 10,000distributors in theworld today, and,by
region,thethree largestdistributorssupply35percentofthemarket
inNorthAmerica—which revealsaslightlyhigherconcentration—,
18percent inEurope, and8percent inAsia, according toBraskem’s
Isabel. “Another importantpieceofdataconcerningchemical sales
worldwide isthattherestill isa lotofroomforgrowth inAsia,asdis-
tributionstillrepresentsavery lowpercentageofthetotalchemicals
soldinthatmarket,whileLatinAmericaappearstobegoingtheother
wayaroundsince it represents4percentof the total chemical sales
worldwide, but 11 percent of all chemicals are soldby distributors,
whichmeans that thedistributionbusinessplaysa rathersignificant
roleinLatinAmerica,andthatisattributabletotwomainreasons:the
firstisbecauseLatinAmericaneedstoimportlotsofchemicals,asthe
region lacksasignificantproductionof specializedchemicalsorfine
chemistryproducts;andthesecondisbecausetheregionisalsoindire
needforinfrastructure,whichreflectsinthedifficultiesreachingmore
distantplaces,and it’sbybridgingthatgapthatthechemicaldistribu-
tion industryplaysa relevant role. In short, it isa rapidly-globalizing
market,andthatenhancesprofessionalism,services,etc.”
Isabelalsotalkedaboutthetrendtowardsmergersandacquisitions,
astheyhavebeenhappeningmoreandmoreofteninthemarketplace
overthepastseveralyears.“That’sareally interestingthing.Thefirst
quarterof lastyearalonesaw248mergerandacquisitiondealstake
placearoundtheworld, 132ofwhich inAsia,58 inNorthAmerica,48
inEurope,and12mergersandacquisitionsinSouthAmerica.Thisisbe-
causedistributorsarelookingfornewgeographieswheretheycando
business,andalsobecause it’saglobalbusiness,but individualopera-
tionshavetobequitelocal,asbeforeyoucancompeteanywhereelse
in theworld, youneed tocompete locally.Accordingly, acquisitions
areanexcellentwayofbreakingintoanymarket,andseveralmergers
andacquisitionshavetakenplace intheBrazilianmarketaswell.For
example,UnivarhasacquiredArinosand,morerecently,D’Altomare,
IMCD has acquiredMakeni, Potcheca has acquired Coremal, and
BreentaghasacquiredGafor,andthat istoname justafewcases.”
