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WW Shortage of Raws
I have been hearing from different sources that there is a shortage in many products and it’s going to get worse. Word on the street is the closure of factories in China is the main reason, and the fire on the BASF factory in Germany. A couple of suppliers have told me that this might be as bad as the shortage back in the 70’s (I have no idea, but this might give some of you a picture).
Have this affected to any of you?. I already had an increase on silicones and fragrances.
BTW, this is also a heads up, if your suppliers haven’t increased the prices they will soon, so it’s a good time to get stock if you are on time. I’ve heard that prices of vitamin A and E will go high, and the price of fragrances will increase too. It seems that the BASF factory is really big and the rest of the manufacturers can’t cover the demand.
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6 Replies
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We have already had one raw material impacted by the factory closures in China. We had absolutely no notice that the product which we were buying tonnes of per month would no longer be available. We were lucky that with a small amount of testing we were able to swap to a product with similar specifications.
I haven’t heard about the shortage in the 70’s but would love to know how bad it was?
Any idea what types of products the BASF factory was producing?
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Citral and Isoprenol from Basf-Germany (31st October 2017).
Also, Chinese
authorities have decided to tackle the problem of air pollution more
strongly, so some factories that did not meet environmental conditions
were shut down.
Already a company from which we buy fragrances, announced a price increase of 6%. -
@ozgirl mainly aroma ingredients, but they also produce vitamin A and E.
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Thank you very much, @DAS !
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