It has been three years since SABIC and Synthos started working together. The Group Synthos S.A. is one of the largest manufacturers of petrochemicals in Poland, as well as being Europe's No. 1 manufacturer of emulsion rubbers and third largest manufacturer of polystyrene for foaming applications. Apart from the current production of emulsion and polybutadiene rubbers, next year Synthos will start production of solution rubbers. The growth strategy of the company will strengthen their position in the main business areas - synthetic rubber, polystyrene and dispersions.
Synthos buys crude C4 from SABIC for their BD extraction unit in Kralupy Czech Rep. and butadiene for their rubber operations in Oswiecim, Poland. The Raffinate-1 that remains after the processing of crude C4 is returned to SABIC to fulfill its feedstock requirements for the MTBE plant in Geleen, The Netherlands. "Transport of our products to Geleen is via rail, and instead of the common situation in which the trains return empty, they are now filled with the Raffinate-1, on the 'back haul'," says Job Lindenbergh, Sales Manager C4s. "This clever way of logistical optimization significantly reduces SABIC's integral purchase costs. It ensures a consistent steady supply of strategic feedstock that enables our MTBE plant to continually run at maximum rates".
As well as operating in Europe, Synthos exports their products to Asia and the U.S. and is looking to go global. SABIC can assist its customer in this ambition by being their strategic feedstock partner of choice. Therefore, whilst supporting Synthos to expand their European business significantly. SABIC, with the large scope and scale of its operations and business-oriented management is an appreciated partner for Synthos. For a successful strategic partnership it is necessary to understand mutual needs and constraints, and to identify possibilities for mutual growth. Our current agreements resulted from partnership-attitude and business experience.
"As a responsible partner for our customers, we look to source our strategic raw materials from the most reliable supplier and partner in the market," says Ilona Starzynska, Purchase Director, Synthos Group. "Over the years we have worked with SABIC on tailor-made operational solutions, of high value to both parties, and look forward to continuing to combine our strengths and work on future synergies and directions together".
"I see our partnership with Synthos as a perfect example of our positioning - Chemistry That MattersTM where we strive to power our customers' competitive advantage for the long term", says Maurice Kramer, European Marketing and Sales Manager Aromatics and C4s. "SABIC and Synthos have a strong relationship; flexibility is key, as we are both fully aware of each other's needs and constraints. After meeting requirements on a strategic and operational level we agreed on an 'evergreen' contract, demonstrating strong commitment from both sides to make the partnership work".
SABIC and Synthos satisfied with a partnership
2014-03-28