Insights from Azelis: Focus on Europe

Europe is a very important region for Azelis, Anna Bertona, CEO of Azelis EMEA, explains.

The European Union (EU) includes 28 member states, from Austria to [at the moment] the UK, with a diverse range of cultures bonded by political and economic systems. "The diversity that causes much of the complexity in Europe is also an advantage", declares Anna Bertona, CEO of Azelis EMEA. "There are many different markets with their own dynamics for chemical distribution, which results in interesting pockets for growth and an opportunity to diversify risks".

With corporate headquarters in Antwerp, Belgium, "Europe is where our roots lie", explains Ms Bertona. "It is also a region where many of our partners/principals reside".

Azelis has ambitious growth plans for Europe, both organic and through smart acquisitions. For example, Azelis recently acquired Danish food ingredients distributor, LCH. Ms Bertona explains, "We wanted to strengthen our footprint in Denmark and LCH was an excellent addition to our team in the Nordic region...with this acquisition, we doubled our Food business in Denmark".

In addition, she believes digitalization is an important opportunity, especially in the Chemicals (distribution) industry. "On top of our ongoing business efforts, we have several projects and initiatives that address themes like corporate social responsibility, REACH compliance and digitalization", she says. "By making use of technology, I am convinced we can increase our service to customers, become more efficient and enhance our relationship with business partners".

At the moment, Ms Bertona thinks Europe is riding 'a positive wave', with production in the chemicals industry reaching its highest level in 8 years, increased sales, and prices rising year-on-year for the first time in 4 years.

"However, we have several macro-economic issues that will continue to play a role in the near future, and I see them as interlinked", she states. "In my view, the important ones within Europe are immigration, political instability with the challenges the EU is currently facing, loss of competitive position due to legislation and an aging population. On a global level, decisions in the US regarding trade-agreements, or China's economic slow-down, have an important effect on Europe as well".

Another development with a not insignificant impact on distributors are company mergers. "As a result of mergers, a lot of specialty chemical companies need to review their distributor landscape", says Ms Bertona. "And although this can create opportunities as well as threats, we see it can lead to inward (organizational) focus".

For distributors like Azelis, the challenge is to continue delivering value to customers by addressing these issues and making the most of available opportunities.

Ms Bertona concludes, "Here in Europe, we are grateful to be able to rely on a combination of highly-skilled people, best-in-class products and our application laboratories. I am confident that Europe will remain a leading, albeit moderately, growing region".


Article published in the October 2017 issue of Specialty Chemicals Magazine. Read the full issue here.