US ingredients player targets Russian personal care market
The two companies said they have signed a co-operation agreement to share ‘know-how, expertise and resources’ to target further development within the market for surfactants in Russia.
The agreement will see Texas-based Huntsman’s performance products division market and sell 50 percent of the anionic and amphoteric surfactants manufactactured in Zavod’s Sintanolov’s newly commissioned production facility in St.Petersburg, Western Russia.
Tapping into synergies and surfactent expertise
Although the terms of the deal and further details about the plant were not revealed, the companies said that they will also be producing the surfactants for a range of detergent products.
Sergey Rybatchenko, director general of Zavod Sintanolov, said that the deal would enable it to tap into a number of synergies with its new business partner, and benefit from Huntsman’s expertise in the area of surfactants.
Surfactants combine high performance and functionality. The more functional surfactants are found in some of the more advanced and premium personal care formulations, where their addition helps to lower the surface tension of a liquid, making it easier to spread.
Focus on EMEA market
Huntsman says the move is part of a focus on growing its business in the European, Middle East and Africa region (EMEA), which has been playing an increasingly important part in the company’s annual $10bn turnover.
The latest partnership lends itself to the company’s focus on increasing the supply-side network within the EMEA region, adding to the six manufacturing sites and two partnerships that already exist in the region.
“The agreement will also allow us to continue to support our key customers as they expand geographically,” said Daniele Ferrari, vice presidents for Huntman’s performance product division.