Top 5 Vendors in the Global Third-party Chemical Distribution Market from 2017 to 2021 | Technavio

Technavio has announced the top five leading vendors in their recent global third-party chemical distribution market report. This market research report also lists 11 other prominent vendors that are expected to impact the market during the forecast period.

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Technavio has published a new report on the global third-party chemical distribution market from 201 ...

Technavio has published a new report on the global third-party chemical distribution market from 2017-2021. (Graphic: Business Wire)

Competitive vendor landscape

According to the research analysis, the global third-party chemical distribution market includes well-diversified local, regional, and global vendors that provide services to chemical manufacturers to supply and store their chemicals. They provide a bridge between manufacturers and end customers. Third-party chemical distributors have a strong logistics network, and they can access hard-to-reach areas through their well-connected network of roadways, seaways, railways, and airways.

Global distributors such as Brenntag and Univar continue to acquire smaller firms to increase their global reach and fill in gaps in their portfolios. Moreover, they are also developing advanced distribution models to minimize the cost and increase their product knowledge to meet specific application requirements. Prominent manufacturers followed an acquisition strategy to maintain their leadership positions. For instance, Univar acquired Arinos Quimica in 2011 to increase its expertise and geographical expansion in the third-party chemical distribution market.

“Sourcing chemical products from APAC and Africa through third-party chemical distributors allows manufacturers to save cost and time and strengthen their presence in the developing regions. It helps manufacturers and distributors to increase their market shares and revenue in the global chemical industry. Moreover, it enables regional and local manufacturers in the developing regions to increase their customer base and build their brand image in the global market. These chemical distributors provide value-added services to customers in Europe and America, which is challenging for manufacturers in developing regions,” says Ajay Adikhari, a lead analyst at Technavio for specialty chemicals research.

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Technavio market research analysts identify the following key vendors:

Brenntag

Brenntag is one of the leading chemical distributing companies with a strong operational track record. The company balances complex supply chains for users and chemical manufacturers by streamlining market access to various products and services. They also provide customers several other services such as technical support and value-added services, including on-time delivery, product mixing, formulation, repackaging, inventory management and drum return handling.

HELM

HELM is a multifunctional distribution company that specializes in chemicals, crop protection, active pharmaceutical ingredients, pharmaceuticals, medical products, and fertilizers. The company is a key independent chemical marketing company with 100 subsidiaries, sales offices, and participations in over 30 countries. Under the chemicals business, HELM offers chemical feedstock such as ethanol, methanol, propylene, styrene monomer and derivatives such as isobutanol, acetic acid, acetone, adipic acid, castor oil, copper sulfate, melamine, and others.

Univar

Univar is the leading chemical and ingredients provider and distributor of specialty services. The company buys chemicals from various chemical producers and sells these chemicals to several customers spread across various locations in approximately 150 countries. It serves a wide range of industries such as agriculture, coatings and adhesives, food ingredients, environmental sciences, household and industrial cleaning, oil and gas, mining, personal care, water treatment chemicals, and pharma ingredients.

Nexeo Solutions

Nexeo Solutions is a privately-owned company and has operations in North America, Europe, and Asia. The company provides industrial and specialty chemicals to its customers through a dedicated network of logistics that ensures on-time delivery. They also offer value-added services such as custom blending along with technical expertise and environmental services to its customers and suppliers.

IMCD

IMCD sells, markets, and distributes specialty chemicals and food ingredients. They provide optimum tailored solutions to their customers for multi-territory distribution management in APAC, Europe, and the Americas. IMCD also provides advice and solutions on value-added services such as formulation, production process, and applications. The company provides commodity and specialty chemicals, technical expertise, and on-time delivery to its customers through a dedicated network of logistics. They also provide value-added services to different end-use industries such as pharmaceuticals, personal care, food and beverage, lubricants, and plastics.

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