Specialty Chemical Manufacturers Can Use InChem’s Help To Boost Production During Pandemic

Specialty chemical manufacturers have been faced with a wide variety of challenges in the business environment created by the spread of the Covid-19 virus.

For some, the products they make and sell have become more desirable and they may be struggling to keep up with recent volume increase in their facilities or in their supply chains.  For others, demand has shrunk, and as a result they have had to scale back operations.

Additionally, many manufacturers have decided to scale back on their capital budgets, leaving new product lines on hold until companies can complete their assessment of the short and long-term implications of a decline in sales. Each situation represents a unique challenge, and leveraging the assets, people, and supply chain capabilities of contract chemical manufacturers may help some companies find an appropriate solution to any problem that they may be facing.

For many fortunate specialty chemical manufacturers, the challenges and opportunities brought on by the Covid-19 pandemic have generated a surge in demand for their products.  Companies that produce hard-surface cleaners, anti-microbial agents, hand sanitizers, household paints, etc., have seen a surge in demand that is difficult to keep up with.  However, a surge in demand may mean that suppliers don’t have enough capacity in their existing equipment.  It could also be causing serious supply chain issues as their own suppliers struggle to keep up with their demand.  In both situations, enlisting the help of a third-party manufacturer like InChem may provide a solution that not only eliminates the current problem, but adds value to your organization.

If your company is having trouble finding adequate capacity in your existing asset base to produce the needed chemicals, a third-party contract chemical manufacturing partner can help to bridge the gap in volume, and help reduce the risk of an important product line being single sourced.  This can be accomplished in a number of ways.  In some situations, it may be best to have a toll manufacturer work with you to move a portion of the production of your high-volume product to their equipment.  For other companies, it may be worth taking a look at the other processes in your plant and out-sourcing the low-volume or low-margin products to a toll manufacturing partner like InChem in order to free up internal capacity.

Toll and contract chemical manufacturers can also be utilized in order to bridge supply chain gaps.  Many chemical processes require high-purity raw materials.  In tight supply situations, supply chain managers may only be able to source lower-purity variations of the needed chemical.  In order to avoid risking product quality, sourcing managers can work with wiped film evaporation providers to take low cost, low purity product and refine it to a higher purity product without thermally degrading the material.

Additionally, many companies have decided to cut back on capital budgets for the remainder of 2020 and beyond.  As a result, many new products that would require capital expenditure in order to scale-up and commercialize in house are at risk of being put on hold until the business situation normalizes.  If this is the situation you find yourself in, consider reaching out to a toll manufacturer like InChem for help.  Throughout the toll and contract manufacturing industry there are companies with an incredibly diverse range of chemical processing capability.  By utilizing the existing asset base of toll and contract chemical manufacturers, project managers regain the ability to develop and scale-up new products without the need for costly, and time-consuming capital projects.

In the current business environment, companies of all sizes are working towards adjusting their businesses to meet customer requirements.  Toll and contract manufacturing partners are capable of developing and deploying solutions to many of the problems facing businesses today.  Reputable toll and contract manufacturers will be able to help guide your decision on which approach to choose.  They will give you the flexibility to make your choice based on financial, logistical, or supply chain concerns.  You will also be able to ensure that your new toll manufacturing partner will handle your valuable intellectual property confidentially, and with all due care.  Trustworthy toll manufacturers like InChem will offer their customers full transparency in how their products and intellectual property are handled, and will work with you to ensure that you feel comfortable leaving your product in their hands.

For more information about toll and contract manufacturing, and how it can be utilized to help achieve your goals, learn about InChem’s flexible services here.  InChem has a wide variety of specialty chemical manufacturing equipment ranging from thin film distillation, flammable and toxic chemical handling, and high viscosity mixing.  We hope you will reach out to us through our online contact form to learn more about how InChem can help you, or call 1-800-331-7721.