Emery Oleochemicals Inks Strategic Joint Venture with Europe's Erca Group

01 Mac 2011 - Emery Oleochemicals Group (“Emery Oleochemicals”) has announced a new joint venture that will enable a synergistic collaboration with the Europebased ERCA Group (“ERCA”); a move that will increase both companies’ presence in the global home and personal wellness markets across Europe, Latin America and Asia.

The joint venture generates significant synergies for both partners, driven by ERCA’s strong applications knowledge in the development of technical solutions and chemical specialties coupled with Emery Oleochemical’s global distribution network.

Dr Kongkrapan Intarajang, Group CEO of Emery Oleochemicals said, “Our continuous efforts in seeking out salient joint venture opportunities in the home and personal wellness (HPW) market has resulted in yet another significant partnership with ERCA. The HPW segment is a significant growth area for us where prospects are looking exceptionally strong on the back of a gradually recovering market, coupled with an uptake in global demand. We are also extremely excited at offering an expanded and more complete set of product solutions for our customers, whilst further strengthening our presence in Europe in the area of specialties chemicals.”

As one of the world’s largest oleochemicals producers, Emery Oleochemicals is a significant global player with wide marketing coverage and capabilities as a result of its extensive network of strategic distribution partners from around the world. Notably, as a result of the JV with ERCA, the company now stands to further broaden this marketing footprint by building critical mass around the HPW global client segments.

A key building-block of this partnership rests on ERCA’s current plans to build a new ethoxylation plant in Moerdijk, Holland that will be ready in the second half of 2012. The plant in Moerdijk is not only strategically located for target export markets, but will also be located right next to Royal Dutch Shell, the third largest ethylene oxide (EO) producer in the world. The plant itself is capable of producing a wide range of ethoxylates, including premium-grade exthoxylates (or technically known as high-mole exthoxylates) which are used in a wide variety of biodegradable household cleaning products, including heavy duty liquid, power laundry detergents and all-purpose cleaners.

Giuseppe Seccomandi, CEO of ERCA Group said, “The partnership with Emery Oleochemicals will allow ERCA to gain more exposure in terms of global representation. We are happy to combine our manufacturing technology with Emery Oleochemicals as their global distribution network will enable us to strengthen and accelerate our presence worldwide, and further grow the home and personal wellness market in Latin America and Asia in the next few years.”

The ERCA Group encompasses the chemical businesses of a group of companies that are involved in the production and marketing of special chemical products mainly destined for the textile, tanning, home and personal care, paper and construction industries, as well as a wide range of intermediary chemicals sold to the most diverse industrial sectors. The Group has modern and well-equipped research and development (R&D) laboratories, both for synthesis and for applications, to enable continual improvements to be made to the existing processes and to develop new products and applications. ERCA has production sites located in Europe, Asia and Latin America that operates in close contact with its customers on the main markets worldwide, providing them with technical and logistic support.

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