Price Increase Magnesium based Additives
Veendam, August 20, 2010
The continuous upward pressure on raw materials prices as well as the substantial increase of capital costs in recent years have forced Kisuma Chemicals to increase all prices of their magnesium based plastics additives with minimum 2 - 5%, depending on product type, as from October 1 or as contracts allow.
This increase is needed to secure the continuity of the company's operation in the Netherlands and to ensure that Kisuma Chemicals will remain a reliable and innovative partner for its customers.
Kisuma Chemicals BV is the European affiliate of Kyowa Chemical Industry Co., Ltd. from Japan. Since 1999 the company operates a plant in the Netherlands that is serving the polymer producing and processing industry with magnesium based heat stabilizing, halogen scavenging and flame retardant products under the brand names Alcamizer®, DHT- 4A® and Kisuma® This plant is the world's largest production site of synthetic hydrotalcites (layered double hydroxides). Approximately one third of its products are shipped to overseas destinations, the rest is for local (means European) use. Main end applications are found in the construction and the automotive industry.
After the start-up of the company in 1999 almost Euro 100 mln have been invested to triple its original capacity. In the period 2000 - 2007 Kisuma was one of the fastest growing new companies in the North of the Netherlands, to achieve a turnover in excess of Euro 40 mln in 2007. Due to the international economic crisis, in the period 2008 - 2009 this turnover dropped with approx 30%. Currently Kisuma employs approx. 75 people and the outlook for the immediate future is moderately positive.
Kyowa Chemical Industry Co., Ltd is an independent worldwide leading manufacturer and supplier of magnesium and aluminum fine chemicals, mainly for pharmaceutical and plastics applications. Marketing and sales of their industrial products outside Asia Pacific is coordinated from Kisuma's head office in Veendam, the Netherlands.