Earlier this year, I returned to Singapore after spending a couple of years in the United States managing P&G Chemicals’ glycerin portfolio. I was excited to dive into the hustle and bustle of the dynamic Asia marketplace, chart the path forward for P&G Chemicals’ Asia sales team and of course, see my family and friends again. It’s been quite the roller coaster ride, to say the least!
We remain cautiously optimistic. The oleochemicals business is a cyclical one. High prices make low prices, and low prices make high prices. The outlook for Asia is uncertain – recessions, currency devaluations, inflation, export downturns, emerging new regulations – and the list goes on. However, following a challenging first half of 2023, we are seeing requests for unforecast customer demand. Has inventory destocking across the supply chain run its course?
We see some bright spots in several market segments and regions with demand starting to pick up, and recent spot demand linked to both tightening of supply and excess inventories approaching depletion after months of destocking. Amid these developments in the continually evolving Asia marketplace, I often must pause and remind myself that change is the only constant. In an unpredictable market, we can choose to make a difference by focusing on things that are within our sphere of influence.
What can P&G Chemicals, as sellers of oleochemicals, influence? I’ve distilled it into three key areas:
1. Exceptional Customer Experiences. Buyers buy from people they can rely on and trust. In today’s increasingly digital world, where business transactions often take place online, the value of face-to-face interactions to build partnerships and find solutions remains paramount in B2B relationships. Nowhere is this more evident than in the dynamic and diverse markets of Asia. While having tools to connect virtually is important, they will never replace the magic of face-to-face interactions. As technology continues to advance, it is crucial to strike a balance between on-demand digital interactions and the invaluable benefits that come from meaningful, in-person connections that demonstrate commitment and foster trust.
Engaging in industry conferences and trade shows allows sellers to expand their networks, gain visibility and tap into valuable resources and information. Plus, we love meeting new people! Find out here which trade shows and events we attend around the world.
2.Consistency and Reliability. We strive to provide high-quality oleochemical products from world-class plants with strong cross-functional technical and supply chain support. Honoring our agreements is important to us because it builds trust and delivers on our reliability promise. Customers appreciate consistent product quality, reliable service and adherence to commitments. We aim to understand their needs and provide win-win solutions.
For all of us at P&G Chemicals, customer satisfaction is important. We have launched our annual Global Customer Survey and hope to get feedback from you, our valued customers, on how we can continue to better serve your needs.
3.Competitive Value. We focus on bringing value to our customers and their stakeholders. P&G Chemicals continues to invest in our plants to improve our high-purity oleochemical products and maintain best-in-class quality systems.
Our glycerin refinery in Kuantan, Malaysia, has consistently been rated AA for the BRCGS Global Food Safety Standard. P&G Chemicals has a strong regulatory team that ensures our products have the right certifications. We pride ourselves on staying ahead of market trends and being on top of regulatory changes so that customers can use our materials with peace of mind, freeing up their time to focus on building their businesses.
With sustainability at the top of everyone’s mind, P&G Chemicals is committed to ensuring that our products are fully compliant. Keep an eye on our LinkedIn page and our website to learn more about our palm sustainability program. Reach out to us through your account representative or here for more details on how we can help you navigate and meet your sustainability needs.
There is a lot that sellers of oleochemicals cannot control. That includes the weather, oil prices and when the global economy will rebound. But there is a lot we can control. P&G Chemicals will continue to invest in customer relationships and strive to provide win-win solutions and the best-in-class service that our customers have come to expect.
