Given your past experience at some of the largest companies in the sector, what are the key differences between working at large corporations and Holland Colours?
Holland Colours, despite being listed, has a unique shareholding structure with the majority of shares held by an investment company, Holland Pigments, which is owned by four families and all employees. This setup requires us to adhere to the listing requirements of the Amsterdam Stock Exchange, similar to larger corporate companies. Additionally, our company blends a mid-sized, family-type culture with a performance-driven focus. Although we are categorized as small in the chemical industry, we benefit from being agile and focused on our positioning, especially when adapting to sustainability changes.
In a $4.7 trillion market, positioning is incredibly important. What is Holland Colours’ specific positioning?
Holland Colours differentiates itself by being highly customer-oriented; we do not produce standard products but instead, offer masterbatches and liquid products tailored to specific customer needs. Our products are customized recipe-based, ensuring they meet the unique requirements of each client, which positions us neither as cost leaders nor as product champions, but as partners in innovation for our customers.
As an example, one of our signature innovations is in the piping industry where we developed Holcobatch MasterBatch, which incorporates pigments with natural ingredients like castor oil to enhance flow and cleanliness during the manufacturing process of the customer. Another recent example is in the PET bottle market, particularly in recycling. Our products like TintMask and chain extenders help maintain the polymer’s strength and clarity through multiple recycling processes, thus enabling customers to recycle more effectively and sustainably.
There has been a movement towards using PET, and I understand there are also new regulations affecting this. Can you discuss Holland Colours' innovations related to ultra-high temperature (UHT) milk packaging?
Our product for UHT dairy product packaging is unique because it extends shelf life by protecting against sunlight, combining titanium dioxide for whiteness and UV blockers. Regarding recycling, we are focusing on making the recycling of colored and white PET more feasible. Although there's a current shortage of recycled PET due to high demand across various industries, we are developing ways to enable the recycling of white PET back into new white bottles, aiding companies like Coca-Cola in achieving their sustainability goals.
As circularity becomes a dominant theme in your industry, what role does Holland Colours play in this cycle, and why is urgency emphasized?
We are deeply embedded in the movement towards a circular economy, particularly in our approach to plastic usage. This urgency stems from a global need to address environmental sustainability, which is very much in line with our corporate ethos. We believe in doing what is right not just for the environment but also for people.
As a company where employees are shareholders, there is a personal and collective commitment to meet these high standards. Public debates and customer expectations further drive our focus on circularity, which underline the need to consume responsibly and sustainably as global populations grow and living standards improve.
How does Holland Colours specifically address these circular challenges, and what collaborative efforts are in place to enhance recyclability and meet regulatory standards?
In tackling the challenges of circularity, we are actively developing solutions that upgrade waste into valuable raw materials that are easier to recycle and meet stringent food-grade standards. We cannot achieve these goals in isolation; we work closely with customers and suppliers to co-develop these recycling solutions. This collaborative approach ensures that we leverage collective expertise and resources to make significant strides in sustainability, thereby supporting a transition from linear to circular waste management practices.
Looking at the broader chemical industry in Europe, how has the recent economic climate affected Holland Colours, and what are your predictions for the future?
The past few years have indeed been challenging, influenced significantly by geopolitical tensions and economic uncertainties, such as those stemming from the war in Ukraine. These factors have caused fluctuations in demand and prices, impacting sectors like building and construction. However, the packaging sector presents a brighter outlook due to our innovative approaches to sustainability. While the overall economic recovery might be slow and incremental due to persistent high interest rates, we anticipate modest improvements in demand and are particularly optimistic about the opportunities in packaging.
What markets are you focusing on for future growth, and how does the geopolitical landscape influence your strategy?
One of our strategic focus markets is packaging, where we see significant challenges but also substantial opportunities to influence sustainability practices. But also building and construction and some other key segments are on our strategic road map. Geographically, we are exploring opportunities for growth in the Asia-Pacific region, particularly in Indonesia, Vietnam, and the Philippines, where economic conditions remain favorable. While there are political risks, notably in regions like China and the South China Sea, we remain cautiously optimistic about our growth prospects in these markets. Our presence in Indonesia and investments across Asia are important for our growth strategy. In North America we plan to further expand our market presence and leverage our position as a strong player in building - and construction markets.
What should people know about Holland Colours, especially with regard to your contributions in Europe?
We prioritize sustainability , recognizing the unique challenges and responsibilities that come with our position in the plastics and packaging industries. Our long-standing presence in these markets underscores our commitment to leading the transition towards sustainable practices. Being in Europe, where environmental issues receive significant attention, places us in a strategic position to advocate for and implement these changes.
