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    Latin America Reports

    Manufacturers, Suppliers Gird for Recovery in Brazil

    ...

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    Charles W. Thurston, Latin America Correspondent12.04.17
    This is the second in a set of stories on strategies for growth in the Brazilian paint and coatings market. Part one appeared in the November issue, and examined new direct investments, distribution and logistics, and new technologies. This story will examine expanded service and laboratory networks, and new formulations with enhanced performance characteristics.

    Paint and coatings manufacturers and suppliers are adjusting their strategies for Brazil, preparing for an expected recovery in the market after a four-year slide. Many of the paint makers and suppliers in the Brazilian market gathered at the 2017 Abrafati trade show in Sao Paulo during early October.

    Providing More Service and System Assistance

    Several companies at Abrafati said that they are focusing more on customer service and overall system design, following the national quality campaign being led by Abrafati, the Brazilians coatings manufacturers’ association.

    Chemours, for example is striving to move away from an old image of commodity supplier to one of system provider and consultant, noted Claudia de Alameida Antunes, the business manager for titanium technologies in Brazil, based in Barueri, Sao Paulo state. As such the company is spending more time working with customers to develop more efficient methods of utilizing a higher-quality product.

    Similarly, Sun Chemical has increased its staff workforce by 50 percent over the last few years, as it has expanded its customer support laboratories, noted Marinha Cunha, the marketing director for the company in Guarulhos, Sao Paulo state. With local support, imported products can be warehoused for just-in-time delivery to customers, whom are adopting more complex technologies in their product demands, noted Michael Venturini, the marketing director for coatings for the company, in Cincinnati.

    Olin, too, is more active in dedicated customer service at its Guarujá, Sao Paulo state center of operations, which includes R&D, innovation centers and production facilities. For example, as environmental concerns with epoxies have risen in Brazil of late, Olin launched its new zero-VOC line of DLVE and DLVNE epoxies at the Abrafati show, noted Marcos França, Olin’s director of Latin America R&D, who spoke on the subject during the conference.

    Focus on Quality and Functionality

    From the executive board of Abrafati to the far corners of the show floor, higher quality was the most commonly mentioned goal within the industry. “There is definitely a trend toward better quality in Brazil, which has helped us in sales of our premium micro-milling media like zirconium silicate,” said Chatru Wadhwani, director of sales for Jyoti Ceramic, based in Suffern, NY.

    Evonik, which completed its integration of local Air Products assets into its Brazilian operation, will further enhance its production and product quality in the country by bringing additional best practices from its U.S. operations to Brazil, noted Ralf Ahlemeyer, the regional head of the company in Sao Paulo.

    To better quantify and specify customer interest in higher quality formulations, Dow performed a large multi-year analysis of Brazilian Internet searches for paint use, and produced broad consumer profiles. Dow found that among functional areas consumers are increasingly seeking are easy cleaning, anti-humidity, single or one coat, anti-soiling, anti-bacterial and soundproofing.

    “Based on consumer behaviors, we have identified that color is only one of the attributes for coatings and our solutions go even further. With our deep technical knowledge, we help accelerate the innovation process in the value chain, bringing productivity gains, more efficient construction methods and more durable technologies, making sustainable and innovative solutions more accessible,“ said Daniella Souza Miranda, director of the company’s Coating Materials & Performance Monomers business for Latin America.
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