NovaNews April 2023

NOVA NEWS:

In this edition of NovaNews, we have an article about energy prices and inflation - a theme we have chosen to comments on in several previous NovaNews, as well.

Furthermore, read about the competition among employees to save on electricity - or maybe it is interesting to read about the cleaning challenges when plants enter the dairies (mixed products)?

The advantages of our new product: Nova Hoof Hygiene are also described.

And - be aware of closing day in the spring.

Novadan saves money on electricity consumption

The staff social club at Novadan has initiated an increased focus on the company’s electricity consumption. At a time where everybody’s consumption and need to reduce this is on everybody’s lips, the staff’s social club in Novadan has taken an initiative to be completely electrified by....!

The staff social club has launched a competition in Novadan with the purpose of reducing the consumption of KWH i the period from February 1. to June 30. The target is to reduce the consumption by at least 10% compared to the same period in 2022.

In order to succeed with this initiative, the staff social club has sticked several visual posters on the walls to remind us all in Novadan about the need to save electricity. Stickers have been put up at light switches and large posters with monthly consumption are decorating a wall in the canteen.

If you have any ”stories/experiences with Novadan products” from your country that could be of interest to our other partners/ distributors, please share it with us by emailing details (and images) to hoy@novadan.dk

Or if you are anxious to know more about some topics, which you would like us to write about - again please contact hoy@novadan.dk

by Brian Troels Andersen International controller

It is the intention of the staff social club to contribute to a good and constructive dialogue in the company and therefore they have hung up a box for ideas where collegues can contribute with good ideas and suggestions to a reduction. The box of ideas will be emptied by the Management Team in Novadan who actively discuss all ideas.

First and foremost to ensure that all low hanging fruts are considered but not least that the larger projects are started and get attention. The first month has started well. Novadan has reduced consumption with more than 8.000 kwh compared to the same period last year.

by Kristina E. Andersen Quality and R&D Manager

ISO-recertification

On March 6.-9. 2023, recertification was held in the standards ISO 9001 and ISO 14001 at Novadan. A recertification is an evaluation of the continued compliance with all requirements according to the relevant management system that is required to renew the certification.

The conclusion after a four-days intensive audit process was that Novadan maintains the ISO certifications. A total of two minor deviations and three observations were given. Corrective and preventive actions have already been initiated to deal with the five outstandings.

The auditor from Intertek was very pleased with what he saw and impressed by Novadan’s quality- and environmental management system and with the employees participating in the audit.

Nova Hoof Hygiene:

Read more in this flyer - CLICK LINK

by Hans Erik Nielsen Market Manager Agro

Hoof problems seem to have increased on dairy farms over the years. One reason could be thatmost cows nowadays are freely walking around each other and in this way the cows “share a bigger part of the stable environment” and at the same time, herds are getting bigger and bigger.

We know that hoof disorders will have a direct impact on the cows´ well being and that will lead to lower milk yield and again this will lead to a less good economic result.

Over the recent one and a half year we got a lot of experience on dairy farms with Nova Hoof Hygiene. It is working very well in Hoof Baths, in Hoof Mattresses and when sprayed directly on the Hoofs.

Who is better to evaluate a product than the end users on a farm? Nobody. In most markets cobber sulfate will not be legal going forward and the general message from farms are that besides “The Old Blue Stuff” we never tried anything better than Nova Hoof Hygiene.

Could we dream of any better recommendation????

Market Update

An update on the situation for raw materials and expectations for Q2, 2023.

Top 50 raw materials (only chemicals)

This curve is an illustration of the development of our 50 largest raw materials in Novadan (only chemicals). As shown, we have registered the figures since Q1 2014 and until now. There is no doubt that what we have seen during the past 18 months is an explosion of prices on raw materials.

by Jens Bramsen Sales Director

We have started 2023, and it is our feeling that the markets are stabilizing with regard to security of delivery of the raw materials.

We experience faster deliveries from our suppliers in generel which - of course - is positive and a sign that the markets are improving (and less panic with regard to supply)

The high inflation is holding on - and raw material prices are continuously at a quite high level compared to before.

This is supported by increasing costs in the market (binding energy contracts concluded in 2022, increased fixed operating costs and higher manufacturing costs in generel.) However, it is our expectation - with the stability in the markets - that we will see more stable raw materials prices.

In Q4 (2022) we found that especially the alkaline raw material prices took an enourmous increase. Fortunately it seams as if these prices are falling again. We are - however - a long way from previous prices and the market tendencies show a descending direction at the end of Q1.

Learning from experiences in 2022 it is difficult to predict the situation and what to expect.

At Novadan we follow the raw material markets closely in order to react on the market conditions while at the same time ensure the necessary raw materials for products and our customers.

How does it look right here and right now - and for Q2 in 2023?

• Force Majeure announcements from suppliers of hydrochloric acid is still a challenge in the market.

• Complex binders (MGDA): MGDA and EDTA are still challenged on delivery and price. It is expected to last all of Q2.

• Very high inflation rates in general (including wage increases) in all countries are pressuring the supply chain.

• Deliveries have improved significantly, compared to 2022.

• Q1 has shown lower energy costs (Gas and electricity) than what we saw in Q3 and Q4 in 2022, except the energy prices are still much larger than before. Several manufacturers have locked their prices in 2022 and we are therefore now dealing with higher prices in 2023.

• The war in Ukraine is still causing unsecurity and nervousness in the market and raw material supplies which have been sent from the East to Europe, no longer arrive due to sanctions etc.

Fosforsyre 75% / Phosforic Acid 75%

Which cleaning challenges arise due to the growth in processing plantbased/ mixed products in dairies?

On April 27., our Application Specialist – Membran & CIP: Ronni Rasmussen will be presenting at a seminar in Billund held by Dansk Mejeritekniske Selskab.

The theme will be: Interplay between milk and plant on the dairy

Ronni will explain the cleaning challenges in this connection as well as the development in the industry from pure milk products to the time where cheese with black cumin, yoghurt with strawberries were launched and up till today where there are numerous examples of milk and plants being mixed, and where milk is produced based on eg. oat.

At the same time, we have become more aware of the allergen-risk, and unwanted allergens in products have a lot of focus as more allergies are identified among human beings.

The “takeaway” or main message will be to make the food manufacturing industry think of involving Novadan already when developing products with a mixture of ingredients (milk and plants) or when building a separate line with eg. oat milk or maybe when starting to add a vegetable powder to the cream cheese.

Try to make easy cleaning attemps with a casserole:

1. Melt butter in a casserole, empty the casserole and rinse with 400C hot water.

2. Melt vegetable margarine in a casserole, empty the casserole and rinse with 400C hot water.

3. Boil fruit porridge (black currant) in a casserole, empty the casserole and rinse with 400C hot water.

4. Boil oat porridge in a casserole, empty the casserole and rinse with 400C hot water.

With these 4 tests you will discover that cleaning these four casseroles will differ a lot and that ordinary dish washing agents will have a hard time with the burned oat porridge and that margarine requires more work than butter....

by Jens Ole Jensen Sales Manager Food

IS POWER & SMART FUNCTION A WAY TO EXPLAIN WHY FORMULATED DETERGENTS ARE THE BEST CHOICE?

Typically, our customers use basic chemistry for cleaning. It has been like that for years and why change a winning team? The solution is also relatively cost attractive. As alkaline solution Sodium hydroxide (NaOH) is used and for the acid step Nitric acid (HNO3).

We, in Novadan, claim, that formulated chemistry is a better choice. Due to the different components in the blend, the chemistry can be designed to remove specific types of dirt. Some of the functions could be emulsifying, dispersing, foaming, softening etc.

The classic view on dirt, is that it contains organic and inorganic substances where alkaline remove the organic and acid the inorganic components. This is of course a simplified explanation and, in reality, the different components bind together in larger micelles that sticks to the surface and each other.

As mentioned before, the formulated chemistry can be designed in a specific way to have better functionality. Sequestrants can be added. Sequestrants are complex binders that help remove inorganic dirt. Different types of surfactants can be used depending on which functionality that is needed. This could be lowering the surface tension, emulsifying fat,

creating foam, or removing foam. All these skills/ qualities make it possible to create formulated products for specific issues. As an example, it is possible to do single stage CIP where traditionally double stage CIPs were used. This resulting in water and energy savings and equally important less time spend on CIP. Smart function.

Formulated product

The next part tries to explain the difference between smart function and power function. Power function to be the classic double stage CIP with raw chemicals and smart function being a single stage CIP with formulated chemicals. It is a simple way to compare the 2 CIPs and to provide an understanding the concept.

by Lars Daugaard Jensen Area Sales Manager

The idea behind the comparison between Smart and Power function is to look at the conductivity in the different solutions. Conductivity tells about a solution’s ability to transfer electrons. When a chemical dilutes in water it dissociates and with higher concentration the higher conductivity. Conductivity is widely used to measure and control the concentration during CIP.

Imagine this transferred to Smart & Power function. Imagine loosening dirt from a surface equals opening a locked door. By Power function you smash the door (high conductivity), by smart function you unluck the door. (lower conductivity) Going back to scheme 1 we can see the difference will be:

• Classic solution: Power Function 20 min at 78ms + 20 min at 35 = 2260 MS/min.

• Formulated solution: Smart function 20 min at 20ms = 400MS/min

o This reduced the MS/min by 80 %,

Dirt is now gently removed and gives as long shelf life. On top of this a rinse will be saved together with energy that is costly and today limited !

Digging a bit deeper into this, we can take a look at Sodium hydroxide NaOH (Na+ OH-) and Potassium hydroxide KOH (K+ OH-). Both products are manufactured from hydrolyzing salt NaOH or KOH.

The sole difference is the NA+ Versus K+ Our industry faces prices of NaOH going up while KOH-price is exploding.

But is still using Smart function ?

High conductivity equals to high concentration of chemistry. The higher concentration the better cleaning. Power Function. High concentration can however create several issues as this tend to be rough on the equipment. Corrosion, blue flamed stainless steel, damaged gaskets etc. could be the outcome of too high concentration.

The reason must be that K+ differs by being smarter, it reacts smarter, faster etc, which means we will use far less to open the door, than we will do by smashing it with Na+.

Imagine again: Think of a million Na+ and just 2 K+, they all want a bicycle, when 100 bicycles is available 2 of them has a K+ rider.

Digging deeper. we have to look into the organic chemistry. In short, these are alkalines built by carbon and hydrogen, the more carbon that is linked, the heavier it becomes and works from light one`s gases Methan, Ethan and in the heavier end we see Oil as fx octan etc.

The interesting is that; Through various processes these can be developed to alcohols: Ethanol, acid: Acetic acid, and millions of other products not only for our industry - think about polyethylene = plastic coming from the same Ethan.

Scientists can create compounds of these, also using inorganic chemistry. By design, surfactance and sequestrants that can do special tasks, as they become large molecules. Some can do different jobs depending which part of the molecule is facing the “dirt”. Some of these compounds are non-ionic, they do not contribute with MS the remains are very large molecules with very little dissociation, and theY will be used in modest volume a large Smart impact.

I am 38 years old and live in Århus with my girlfriend and my almost 4 years old son.

I have an education as butcher and process technologist. Earlier, I went to Institute of Technology where I wrote my final thesis. I have also worked in a company making spices as Quality Assistant for two years.

NEW EMPLOYEE

by Jimmy Sørensen Technical Consultant

I am very happy and proud to be part of Novadan. In my spare time; I enjoy spending time with my family.

Besides I spend time working out - fitness and I love watching football, film and series.

Jimmy Sørensen Technical Consultant

UPCOMING CLOSING DAYS AT NOVADAN:

Monday, May 1: Production closed International Workers’ Day

Friday, May 5: Prayers day

Thursday, May 18: Christ’s Ascension Day

Friday, May 19: Closed

Monday, May 29: Whit Monday

Monday, June 5: Production closed (Constitution Day)

The spring is the time for some public holidays - especially in Production. Therefore, remember to order well in advance in order to ensure delivery in time!