| 35
I would hope that in 2023 we can come up with a more workable and affordable solution to UK REACH and thereby create a bit more certainty for the coatings manufacturers in our sector
(CLP). So the British Coatings Federation (BCF) will be looking to engage with government on all of those issues. At the same time, the EU is looking at revising REACH and also pressing ahead with a range of updates to other regulations. This matters for our coatings manufacturing members who wish to export to the EU but also because the UK is very much taking an approach of looking at what the EU is doing and then deciding whether to follow suit or not. What happens in the EU is still very important to us, given how integrated our supply chains are.
TTJ: IS THE UK STILL A NET EXPORTER OF PAINT? ARE EXPORTS HOLDING UP? TB: Yes, the UK is still a net exporter of paint and we are very proud of that. However, it is more difficult and expensive for them to do so. While we know of only a small number of members who have stopped exporting completely, we know from the previously mentioned survey that around four in 10 companies had seen a drop in exports over the past year, and around three-quarters said that whilst they are still exporting to the EU and they planned to continue, it had become more difficult and costly.
TTJ: THIS TIME LAST YEAR THERE WAS A GLOBAL RAW MATERIALS SHORTAGE, WHICH WAS HITTING BCF MEMBERS HARD. HAS THAT SITUATION EASED? TB: The situation is still tight. While availability of some raw materials has improved, prices remain high due to increased energy costs across the globe. Managing this – availability and prices of raw materials for paints, coatings and woodcare products – remains a key issue for all of our members at the present time.
TTJ: HAS THE COATINGS INDUSTRY BEEN IMPACTED BY THE WAR IN UKRAINE? TB: As well as increased energy costs we have also seen availability of certain raw materials impacted too – for instance the availability of resins for solvent based coatings and stains.
TTJ: THE COST OF RAW MATERIALS HAS ALSO BEEN A HUGE ISSUE OVER THE LAST COUPLE OF YEARS – HOW IS THE SECTOR DEALING WITH IT? TB: As noted, energy prices are still keeping many raw material prices high, although in general availability issues have improved since the peak Covid period. Members have been trying to absorb as many of these increases as possible but there comes a point where these do have to be passed on down the supply chain. Members are trying to be as transparent as possible about the reasons for this and BCF looks to help by providing information notes about the situation, which members can share with their customers. On average, paints and coatings raw material prices went up 23% in 2022, on top of 11% increases in 2021.
TTJ: WHAT PROGRESS HAS THE BCF MADE WITH ITS NET ZERO BY 2050 TARGET? TB: We spent a lot of last year working on how best to benchmark emissions data for the sector. This has taken longer than we had hoped but we will be producing a detailed road map now in 2023, which we plan will also provide information to help members
meet key decarbonisation targets. In the meantime, individual members continue to take actions to reduce energy usage and identify other areas where they can green their supply chains, from reducing packaging and waste to developing new formulations and products.
TTJ: WHERE WILL THE CHALLENGES AND OPPORTUNITIES COME FROM IN 2023? TB: As we head into 2023 the UK economy looks weak and almost all forecasters have predicted a long recession. If consumer demand is depressed, which is likely, that will potentially hit our members and many other parts of UK manufacturing, including the timber sector.
The sustainability programme will also continue to challenge and this is something BCF is keen to help members with. In terms of opportunities, I would hope that in 2023 we can come up with a more workable and affordable solution to UK REACH and thereby create a bit more certainty for the coatings manufacturers in our sector. We hope 2023 will be boring! After the last few years, businesses need time to reset, plan and invest for the future. ■
Above: On average, paints and coatings raw material prices went up 23% in 2022
www.ttjonline.com | January/February 2023 | TTJ
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68
