Fecc Business Plan 2012 by FeccEurope

European Association of Chemical Distributors

European business plan 2012 November 2011

Reaching OUT 2011-2014

www.fecc.org

Table of Contents

Foreword.................................................................................................................. 3 Executive Summary.................................................................................................. 5 SHE Committee........................................................................................................10 GTDP Committee......................................................................................................13 International Trade Committee................................................................................15 Precursors Committee.............................................................................................16 Responsible Care Committee...................................................................................18 Cefic-Fecc SQAS Distributor/ESAD.............................................................................21 Product Stewardship Committee..............................................................................24 Logistics Committee.................................................................................................25 Surveys....................................................................................................................26 Members.................................................................................................................31

Fecc Secretariat Uta Jensen -Korte - Director General María Jesús Almenar Martín - Responsible Care & Logistics Manager Camila Diaz - Communications Manager Monika Drążek - Life Science & International Trade Manager (Until November 2011) Joel D’Silva - Life Science & International Trade Manager (As from November 2011) Ophélie Roblot - Health, Safety & Environment Officer Catherine Lefranc - Assistant

2 | Fecc Business Plan 2012

Foreword

This report marks my first year as Fecc’s Director, I therefore take this opportunity to express how much I have appreciated and enjoyed working for this professional organisation and our members. During this time I also had the honour to welcome one more member to our association, the Stockmeier-Group joined our association in April. The past year has gone by swiftly, but has it been action-packed. Fecc centred its efforts on regulatory matters and voluntary initiatives such as Responsible Care, our main areas of activity. We adjusted some of our activities, with the intention to provide added value for our members.

Regulation and the CBRN Action list, are some of the regulations currently under negotiations by the European institutions.

Dr. Uta Jensen-Korte Director General

The past year also viewed the launch of the complete review of the SQAS/ESAD assessment scheme. The new version has a more time effective assessment system covering important new topics such as GMP, Responsible Care and REACH.

On the regulatory side, we were confronted New challenges come with the challenging but some priorities “We adjusted some of deadlines of December remain the same and our activities, with the intention 2010 and January Responsible Care is 2011 for both REACH one of them. In 2011 to provide added value and CLP implementaa record number of for our members.” tion. This was a great companies applied challenge, however, it t o j o i n t h e Fe c c European Responshowed that all players involved were fully committed to make REACH sible Care Programme. This rewards our assowork and succeeded to do so. ciation’s dedication to the active promotion of Responsible Care. It also highlights the Our members –like the manufacturers– dedicated growing importance of its integration in all plenty of resources to comply with REACH and distributors’ business strategy. Aiming at a CLP. Nevertheless they should continue to do so more precise audience, we hosted the Responto be able to cope for example, with informasible Care Seminar, separate from our annual tion in the extended safety data sheets. While congress. Krakow served as the ideal location at the same time, begin with the preparation to aid us in our aim to increase our presence for the 2013 registration deadline, I can only say in Easter Europe. “The clock is ticking again”. To raise awareness and to provide tips to all members, the Fecc SHE The Fecc Annual Congress is the highlight Committee developed a guidance document. of our association’s programme. With the theme; “Turning challenge into opportunity”, Fecc continues to play an important role in the our goal was to provide the participants tools REACH debate by advocating workable solutions to discover the opportunities hidden in the and practical improvements for implementation. challenges that our industry faces constantly We continue to monitor the REACH review 2012 Fecc also hosted a press gathering during the process, as well as participating in the relevant congress. With a record number of journa studies launched by the European Commission. lists attending the event, this was not only and opportunity for Fecc to get our position Nevertheless, these are not the only regulatory challenges our industry faces. To name a few, on the current hot topics across, but also for the Seveso Directive, the Explosive Precursors our members to promote their companies.

Fecc Business Plan 2012 | 3

Foreword

This resulted in an increased media presence for our association and additional coverage of our positions. Europeâ&#x20AC;&#x2122;s chemical distributors are increasingly operating on a global scale, sourcing materials from Asia and exporting, although in a smaller proportion, to Russia, the Maghreb region and Turkey. Trade policy and issues are moving up in the agenda and are followed by the International Trade Committee. This year the focus fell especially on the Maghreb region, but we continue to closely look into the market situation of the new member states. It is of utmost importance to build partnerships and strategic alliances within in the supply chain. To join forces and expertise allow us to present â&#x20AC;&#x201C;wherever possibleâ&#x20AC;&#x201C; a unified voice to regulator; with the aim to achieve a smarter regulatory framework. Therefore we have strengthened our relationships with the Downstream Users Chemicals Co-ordination Group (DUCC), EuroCommerce and we are proud to announce that we have also received Affiliate Status within Cefic.

4 | Fecc Business Plan 2012

Since the launch of the Fecc Strategy 2011 -2014, its implementation became one of our priorities. I believe the achievements of the different working committees are testimony of the efforts made to accomplish the objectives set out by the strategy. I would like to take the opportunity to thank the National Associations, our company members and associated members for all their support and engagement in this past year, as well as my colleagues here in the Brussels office. It is a great pleasure for me to work with such a committed and motivated team, their commitment will allow us to reach our targets in the years ahead. These are only a few highlights of what is reported in our business plan 2012; I wish you a pleasant and informative read. I look forward to 2012,

Dr. Uta Jensen-Korte, Director General

Executive Summary

Fecc board President: Edgar Nordmann - Nordmann, Rassmann GmbH Vice-President: Enea Marchesi - AssICC (Italian Association) Treasurer: Peter Skou - R2 Group A/S Harry Van Baarlen - Brenntag Jordi Badosa - Quimidroga Alessandro Clerici - Azelis Francois-Xavier Du Passage - UFCC (French Association)

Ann-Christin Ericsson - P&K (Swedish Association) Thorsten Harke - Harke Group Neville Prior - CBA (UK Association) Peter Steinbach - VCH (German Association) Ramón J. Viñas - AECQ (Spanish Association)

Director General: Uta Jensen-Korte

About Fecc Fecc is the voice of the Chemical Distribution Industry in Europe. With a growing membership of companies and national associations, Fecc represents around 1,400 companies of which many are small and medium sized companies (SMEs). The Chemical distribution in Europe employs more than 31,000 people and has an annual sales leverage of approximately €26 billion. Fecc promotes initiatives such as Responsible Care, Product Stewardship and Good Trade and Distribution Practices. Fecc and its working committees give extensive information on current and proposed legislation to the members, while at the same time providing input and feedback to the European Institutions. Fecc is recognised as the discussion partner for all stakeholders giving the chemical distribution sector a voice that is heard. By being actively involved in the EU decision-making process and contributing constructively to the debate, Fecc ensures that the specific needs of the chemical distributors are taken into account. Fecc is represented in international ambit through ICCTA, the International Council of Chemical Trade Associations. Fecc regularly organises workshops, seminars and meetings on topics that are important for its members. In addition, Fecc hosts its Annual Congress, an event that has become a must on the European chemical industry’s calendar.

Representing 1,400 companies with over 31,000 employees, at over 1,400 sites handling 20 million tonnes shipped with an industry turnover of €26 billion Latest Key Documents ,,Fecc

Recommendation paper “Be prepared for 2013: obligations and recommendations to the registrants” ,,Cefic, Concawe, Fecc and DUCC “Messages to communicate in the supply chain on extended SDS for substances II” ,,Fecc Position on the “Seveso Directive” status: 21 December 2010 ,,Fecc Position on the “Seveso Directive” status: 27 September 2011 ,,Fecc/Cefic Position paper on guidance intermediates ,,Fecc/Cefic joint position paper on the draft regulation on explosive precursors and the amendments proposed in the LIBE Committee to MEPs ,,Fecc position on CBRN Action Plan related to Chemicals and the methodology suggested by the consultants ,,Cefic/Fecc position on the DG Home proposal on CBRN chemical thresholds ,,Analysis of the situation in the Eastern European Market

Fecc Business Plan 2012 | 5

Executive Summary

Members Facing a still challenging world economy, Fecc’s sustained its membership and welcomed one new member company. The Stockmeier-Group, founded in 1920 a 100% family owned business, joined Fecc in early April 2011.

them to continuously innovate and capitalise on new opportunities. This year’s Gala Dinner was reminiscent of a Vienne’s ball. Hosted at the stunning Palais Ferstel, the guests danced to the rhythms of a classical music band.

Beside the main business of chemical distribution which represents around 60% of the turnover, the Stockmeier-Group has various areas of own developed and produced products. The Stockmeier-Group has an annual Turnover of €350 Mill, the group employs 650 people.

Fecc hosted a press gathering during the congress. With a record number of journalists attending the event, this was not only an opportunity for Fecc to get its messages on the current hot topics across, but also for the members to promote their companies.

As Fecc’s continues to establish itself as the voice of the chemical distribution industry in Europe; its membership strengthens its leadership position.

Fecc is confident that the delegates were able to take new ideas and insights useful for their business. The next Fecc Annual Congress will take place in Lisbon, 21-23 May 2012.

Fecc Annual Congress 2011

Fecc Award 2011

The grand Austrian capital, Vienna, served as the perfect backdrop for the successful Fecc Annual Congress. From 6 to 8 June over 200 participants from across Europe –with special representatives joining all the way from United States, Mexico, China, Brazil and Korea– exchanged experiences on the industry’s top issues.

Fecc Annual Congress 2011

This year’s theme “Turning challenge into opportunity”, embraced a wide range of key topics for the chemical distribution industry. The programme addressed four fundamental subjects: crisis management, life science, policy and legislation and corporate social responsibility. The Fecc Annual Congress is the highlight of association’s programme. Its goal was to give the participants tools to discover the opportunities hidden in the challenges that our industry faces constantly. The speakers ensured that the delegates could take away new insight and strategies that will lead

6 | Fecc Business Plan 2012

Edgar E. Nordmann and Giorgio Bonetti During the Fecc Annual Congress in Vienna, Fecc’s President Edgar E. Nordmann, presented Mr. Giorgio Bonetti, Chairman of the Italian Association of Chemical Trade, AssICC, with the Fecc Award. This recognition is awarded to those who have distinguished themselves for outstanding performance in the European chemical distribution industry. And this year’s recipient has truly made an outstanding personal contribution to our sector.

Executive Summary

Giorgio Bonetti continues to play a leading role in the distribution industry and his support for Fecc’s activities is outstanding. With over 45 years of experience, Mr. Bonnetti’s impressive career in the chemical industry is testimony to his capabilities and dedication.

Fecc and ICCTA In 2010, Fecc took over the International Council of Chemical Trade Associations (ICCTA) Secretariat, from the National Association of Chemical Distributors (NACD) in the United States. ICCTA provides a platform where chemical distributors from many different countries can meet and exchange information and best practises. Fecc actively participates at the ICCTA meetings with the aim to exchange views on practical matters related to Responsible Care/Responsible Distribution/Social Responsibility initiatives. With the recent recognition of CCCMMC –China’s National Association– as a full member of ICCTA, and given the wish of the Council to expand ICCTA’s membership to other continents and countries, the revision of the ICCTA Internal Rules began in 2010. These internal rules set out the objectives, qualifications for membership, organisation, and working principles of ICCTA.

REACH Fecc plays an important role in the REACH debate by advocating workable solutions and practical improvements for implementation. Fecc monitors the REACH review 2012 process, participating in the relevant studies launched by the European Commission. Fecc developed guidance for our members to comply with the 2013 registration deadline. This gives recommendations to fit with the timeline, face each registrant’s obligations and to ease SIEF management. Fecc provides advice promoting the use of communication in all levels of the supply chain and gives training on how to best read and

comply with the extended safety data sheet obligations. Advocacy activities include: representation of Distributors’ interests through the Director Contact Group, participation in Partner Expert Groups (PEGs) for the revision of the European Chemicals Agency’s (ECHA) guidance documents and the follow up of the intermediates issue. Other activities include: monitoring of existing chemicals legislation outside of Europe, monitoring of enforcement actions conducted at Member States level, the development of the Downstream User CSA project and the update of the Fecc Mapping of uses.

CLP Fecc members have to apply the CLP Regulation for substances since 1 December 2010. This is the reason why Fecc continuously updates and advises companies on their obligations regarding labelling and packaging, (unused diamonds issue, substances and mixtures on stock) and notification.

Seveso Fecc provides input and follows up the review of the Seveso Directive. Fecc is actively involved in the advocacy of distributors’ position regarding the Commission’s proposal for amending the Seveso directive to relevant MEPs and to various political parties.

Excipact certification scheme Fecc has been strongly involved in the development of the Excipact project, a certification scheme for pharmaceutical excipients, which is planned to be launched on 25 January 2012. Fecc took charge of the communication topics in addition to contributing with the work of the Global Steering Committee as a direct Member. The Excipact certification scheme is an industry voluntary action and will provide an independent certification of manufacturers and suppliers of pharmaceutical excipients as a means of ensuring patient safety and supplier quality, while minimising the overall supply chain costs.

Fecc Business Plan 2012 | 7

Executive Summary

It will also serve as an indirect response to the legislation requirements. With proposed legislation requiring cGMP (current Good Manufacturing Practice) and cGDP (current Good Distribution Practice) for excipients in Europe and the United States, it is very likely that excipient suppliers will be faced with an avalanche of quality audits and related requests to ensure their facilities and products meet these new requirements. In this regard, a group of industry experts from the European Fine Chemicals Group (EFCG), the International Pharmaceuticals Excipients Council (IPEC) Europe, IPEC Americas, the European Association of Chemicals Distributors (Fecc), and the Pharmaceutical Quality Group (PQG), has worked together on the development of a certification scheme for pharmaceutical excipient suppliers. This scheme will ensure the quality and reliability of these key ingredients for medicinal products throughout the supply chain.

Pharma

This document has been presented to the ESAD Steering Committee and will be used by Cefic and Fecc in the future.

International Trade In 2011 the International Trade Committee decided to amend its scope of work in order to provide more market oriented information about foreign markets to the members. In accordance with this line of work the Maghreb region –in particular Morocco– was chosen as the focus area. The purpose was to inform members about economic climate, investment opportunities, access to credits, special programmes, chemical associations and fairs in this region. Representatives from the relevant bodies, including the Embassy of Morocco in Belgium and a chemical distributor active in Casablanca, were invited to share their expertise with the members. The committee also monitored the development of European trade policy. This group also analysed trade regimes including current and upcoming FTA, the reform of GSP and GSP+. Among other topics followed by the members were ongoing and new anti-dumping investigations, as well as the international recognised rules, Incoterms. Fecc’s secretariat prepared an analysis of the situation in the Eastern European market.

Precursors

Fecc’s Good Trade and Distribution Practice (GTDP) Committee took part in the public consultation and provided valuable input on Chapter 5 Production of the EU GMP Guidelines. The European Commission will consider all the stakeholders contributions to the updated version of Chapter 5. Next to this, GTDP Committee members provided an update on the transposition table of 2001/83/EC and 2004/27/EC, which presents different requirements for APIs, excipients and intermediates across the EU. Moreover, the Committee in cooperation with IPEC Europe Federation submitted a proposal for the e-examination for the accredited ESAD F&G assessors.

8 | Fecc Business Plan 2012

Fecc’s Precursors Committee has actively monitored and participated in the development of the draft regulation on Explosive Precursors, as discussed in the European Parliament and the Council Working Group. Committee members liaised with representatives of the European Commission to present the industry’s position and to better understand the scope of the future regulation. Fecc participation secured the principle of applying concentration thresholds and the need for an Impact Assessment by the responsible parties. The Committee submitted a joint Fecc/Cefic position to MEPs explaining industry concerns about the workability of proposed amendments, one of the points was taken up by the Parliament’s rapporteur. Fecc also presented the industry’s position at

Executive Summary

EuroCommerce meetings attended by representatives from other downstream sectors. Committee members have been actively involved in the discussion on the development of the Action Plan in both the CBRN Advisory Group and the Chemical Subgroup. The work on drafting of a chemical threat list -including developing the methodology- was one of the main topics for the Committee. Fecc submitted a position paper to the responsible parties at the Commission and also joined forces with Cefic in sending a common position to DG Home on CBRN chemical thresholds. With regard to the list of high risk chemicals industry input has been much appreciated and the list has been significantly shortened after the joint discussions. Fecc proposals to introduce thresholds as well as the removal of hydrazine form the list has been also supported by the Commission.

Responsible Care The promotion of Responsible Care is a priority for Fecc. The Responsible Care (RC) Committee has held regular meetings during 2011 with member companies’ RC Coordinators and Managers of National Associations in order to provide practical help, support and to share best practices on the RC Programme. The dimensions of sustainability, such as environmental, social and economic aspects, are incorporated into the Programme via regular reporting of industry’s Key Performance Indicators (KPIs), presence of the improvement plan and regular exchange of best practices. Fecc received during 2011 a record number of applications to join the Fecc European Responsible Care Programme, mainly from company members’ subsidiaries, highlighting the commitment of our member companies to Responsible Care.

Responsible Care Seminar

in the Eastern European Countries and to attract new companies from that region to join the Responsible Care Programme. Participants included Responsible Care Coordinators from RC compliant companies’ and National Associations, as well as participants from different companies based in Eastern Europe interested in joining the Responsible Care initiative. Responsible Care Coordinators and other experts in the field shared their experiences in implementing Responsible Care in their own companies and the importance of the Third Party Verification tool, SQAS Distributor/ESAD.

SQAS Distributor/ESAD A complete review of the SQAS/ESAD assessment scheme took place in 2010 and 2011. After the preparation work done in 2009, several working groups reviewed the assessment questionnaires and supporting guidance for the different SQAS modules. The launch of the new system took place on April 2011. The new SQAS 2010 version has resulted in a more value added and time efficient assessment system covering important new topics such as GDP, Responsible Care and REACH.

Logistics The Logistics Committee has held regular meetings during 2011 with representatives from Cefic, National Associations and Company members in order to monitor developments in European and international legislation concerning the safe transport and handling of dangerous goods (i.e. ADR, RID, IMDG, EU transport regulations). In 2011 the Logistics Committee participated in several initiatives; like the revision of the SQAS/ ESAD Warehouse assessment and gave input to the Cefic Issue Team on safety at un/loading sites (SULID document).

This year’s Fecc Responsible Care Seminar was organised in Krakow, Poland. The theme was “Responsible Care: Kick-off in Eastern Europe” and the aim was to promote Responsible Care

Fecc Business Plan 2012 | 9

SHE Committee

Inventec Chairperson (until October 2011)

Michael Paetzold IMCD Chairperson (as from October 2011)

members

Patrice Rollet

Ophélie Roblot - Fecc Henk Boden - Caldic Ahmed Diboune - Azelis Group Peter Cooper - Univar Jacques Declercq - BACD (Belgian Association) Olaf C. Fehr - VWR International Simona Lai - Omya Marianne Lyngsaae - Brenntag Heinz-Werner Dobbertin - VCH (German Association) Douglas Leech - CBA (British Association)

Linda van Gaalen - VHCP (Dutch Association) Birthe Oldenborg - KB (Danish Association) Renato Porta - AssICC (Italian Association) Gilles Richard - UFCC (French Association) Jan Skov Norby - R2 Group Peter Steinbach - VCH (German Association) Heinrich Van Megen - Brenntag Iris Verdeyen - Barentz Steffen Voss - Aug. Hedinger Dorota Zakrzewska - HSH Chemie

Introduction

,,Member of the Directors’ Contact group, represent

The Safety, Health and Environment (SHE) Committee is an expert group that monitors developments in the areas of safety, health and environment, evaluates critical developments in the legislation process and works closely with relevant stakeholders. Currently the committee focuses on the Commission’s Regulation on Registration, Evaluation, Authorisation and Restriction of chemicals (REACH), on the CLP Regulation and on Seveso. Fecc’s contribution to the REACH and CLP debate involved the preparation of several Fecc position papers and amendments –or adaptations to technical process to the REACH and CLP proposals. The committee also deals with the implementation of REACH through the participation in ECHA’s Partner Expert groups (PEGs). Other issues of priority include the Globally Harmonised System of Classification and Labelling of Chemicals (GHS), the adoption and the implementation of the Seveso Directive, Biocides and several initiatives concerning the safety of chemicals.

Activities 2011 The Committee has prepared Fecc’s input for the regular contacts with the European Commission, the European Chemicals Agency (ECHA) and other industry Associations. REACH ,,Participation in EU Conference organised by institutions or industry ,,Active participation in the REACH review 2012 process (participate in the relevant studies for distributors)

10 | Fecc Business Plan 2012

distributors’ interest in the development and update of guidance documents (PEGs): ◊ revision of the Guidance on CSA/IR, ◊ new Guidance on SDS, ◊ revision of the Guidance on registration ,,Raising awareness campaign for the 2013 registration deadline ,,Provided advice regarding REACH implementation for companies (registration, authorisation, restrictions) ,,Tested of ECHA’s Chesar tool ,,Participated in the DUCC Task Force to develop a Downstream User Chemical Safety Assessment (DU CSA) ,,Monitored and gave input regarding uses communication and Exposure Scenarios issues ◊ Participated in the organisation of a joint Cefic-DUCC workshop on how to read Exposure Scenarios ,,Provided input to the ESIG’s Generic Exposure Scenario working group ,,Monitored emerging and existing chemicals legislation outside of Europe (e.g. China, Turkey) ,,Monitored enforcement of REACH throughout the EU member states (e.g. meeting with the Commission to raise the blockage of goods issue at the customs) ,,Cost optimisation advice for companies ,,Developed with Cefic a joint position paper “Cefic and Fecc disappointed about the revised Guidance on Intermediates under REACH” ,,Participated

SHE Committee

CLP ,,Monitored the EU discussion regarding the information requirements to Poison centres, participated in consultations ,,Monitored the Classification and Labelling inventory process Seveso ,,Actively provided input and follow up on the review of the Seveso Directive ,,Actively advocated Fecc position regarding the Commission’s proposal for amending the Seveso Directive to relevant MEPs and various political parties ,,Aligned and shared positions with other industry associations where practicable ,,Provided information to National Associations to aid discussions at the national level with regulators

Achievements 2011 REACH ,,Exposure

Scenarios Developed and circulated recommendation and advice on “how to handle Exposure Scenarios” ◊ Invited to become a founder member of the ECHA Expert Exposure Scenarios Network and participate in the organization of a workshop on Exposure Scenarios ◊ Developed the Exposure Scenario XLM 1.1 software together with DUCC, Cefic and VCI ◊ Development of a library of uses for the development of Exposure Scenarios with all relevant sectors and update of the Mapping of uses of the distributor sector ,,Actively participated and gained concessions within Industry guidance on the communication in the supply chain: ◊ Cefic paper: “Messages to communicate in the supply chain I” ◊ Cefic, Concawe, Fecc and DUCC “Messages to communicate in the supply chain on extended SDS for substances II” ,,Raising awareness campaign for the 2013 registration deadline ◊ Recommendation paper “Be prepared for 2013: obligations and recommendations to the registrants” ◊

,,Generated

advice on how to interpret the registration numbers and circulated via SHE Committee mailing list

CLP ,,Developed

a recommendation document regarding the use of blank diamonds on generic labels to aid transition between the regimes without excessive cost being incurred

Seveso ,,Successfully

expressed our views to the European Parliament, which resulted in some of the Fecc amendment principles being accepted into specific amend proposals

Work plan 2012 General ,,Prepare

Fecc’s views to be communicated to the EU institutions ,,Give input to the Fecc representatives working in external fora ,,Monitor other relevant legislations that have an effect on health, environment or safety, as needed REACH ,,Advice on REACH implementation for companies (registration, authorisation, restrictions) ,,Support Fecc’s members for the 2013 registration deadline ,,Member of the DCG: identify solutions for new issues related to the 2013 registration deadline and represent distributors’ interests ,,Launch a survey amongst Fecc Membership on registration intentions for 2013 deadline in conjunction with the ECHA survey ,,Update the Fecc Mapping of uses table for the distribution sector ,,Take part in the DUCC Task force to develop DU CSA ,,Provide company members with advice regarding use communication and implementation of Exposure Scenarios ,,Maintenance of the Exposure scenario XLM 1.1 with DUCC, Cefic and VCI ,,Monitor and influence reviews in REACH e.g. REACH review 2012

Fecc Business Plan 2012 | 11

SHE Committee

,,Participation

in the development and update of guidance documents (PEGs): e.g. revision of the Guidance on CSA/IR, revision of the Guidance on registration ,,Monitor the public consultation regarding substance inclusion on the candidate list, restriction and authorisation annexes ,,Monitor enforcement actions at member state level, identify membersâ&#x20AC;&#x2122; issues and discuss with appropriate bodies CLP ,,Continue to provide advice on the implementation of CLP (e.g. Adaptations to technical progress (ATPs)) ,,Continue to monitor the implementation of GHS within other countries to provide advice on the global adoption of GHS ,,Monitor the Harmonized Inventory process and advise where necessary

12 | Fecc Business Plan 2012

Seveso ,,Continue

to provide input and follow regarding the review of the Seveso Directive to align with CLP

Environment ,,Monitor the development in environmental legislation such as waste legislation and Integrated Pollution Prevention Control (IPPC) Other topics ,,Nanomaterials: Give input where necessary and follow up on the latest developments ,,Working at Heights: Inform on the development of member state enforcement policies in this area ,,Overlapping legislation: Follow up on the activities of the GTDP with regards to biocides and give input where necessary ,,Follow up on the activities of the Precursors committee and give input where necessary

members

GTDP Committee

Monika Drążek - Fecc until November 2011 Joel D’Silva - Fecc as from November 2011 Ralph Alberti - VCH (German Association) Pauline Ayres - Azelis Anja Budde - Aug Hedinger GmbH & Co. KG Monica Comajuam - Quimidroga Daniela Fermo - AssICC (Italian Association) Marta Ferrer Monsech - Campi y Jové Ulrike Gerster - Barentz Douglas Leech - CBA (British Association)

Introduction The Good Trade and Distribution Practice (GTDP) Committee deals with European and World Health Organization (WHO) initiatives that affect chemical distributors. Initially, the committee focused on the pharmaceutical sector where Fecc members are committed to the WHO standards for GTDP. Since then, the committee has expanded its activities to include the food, feed and cosmetics industries, where it monitors European and international initiatives, and works actively to define good trade and distribution practices for these sectors. The committee formulates Fecc views related to the distribution of pharmaceutical starting materials that are aimed at the European and global health authorities. The committee also facilitates GTDP education for Fecc members by organising technical seminars and conferences on related issues. The Committee acts as a stakeholder in relevant meetings with European and international regulatory authorities, including the European Medicines Agency (EMEA), the Council of Europe, WHO and the European Food Safety Authority (EFSA). It monitors and works closely with other international organisations involved in the pharmaceutical supply chain.

Activities 2011 Pharmaceutical ingredients Committee closely monitored the proposals made to the draft Directive on falsified medicinal products and communicated with European Parliament

Catherine Martin - Univar Europe Anneliese Neuser - Harke Jan Skov Norby - R2 Group Gilles Richard - UFCC (French Association) Stephan Rynka - IMCD Ringo Viane - Univar Europe Claudio Zanotto - AssICC (Italian Association)

Frank Milek Aug. Hedinger GmbH & Co KG Chairperson

,,Fecc

actively participated in the development of the Excipact project ◊ Membership in the Global Steering Committee which entailed involvement in the preparation of the business plan and the structure of the project ◊ Lead on the communication topics and a direct involvement in the preparation of the Excipact launch event ,,Members were provided with an access to the Codema database ,,Revised the Fecc transposition table related to 2001/83/EC and 2004/27/EC ,,Fecc provided an input to the consultation on Chapter 5 of the EU GMP Guidelines Food, feed and cosmetic ingredient ,,Monitoring the recast of the biocides regulation ,,Analysis the recast of the cosmetics directive

Achievements 2011 Pharmaceutical ingredients that the auditor qualification in Excipact includes a separate GDP auditor qualification schedule which can be used by accredited ESAD F&G auditors to become a Excipact GDP auditor

,,Secured

SQAS Distributor/ESAD ,,E-examination for accredited ESAD F&G assessors, jointly developed by Fecc and IPEC Europe

,,The

Fecc Business Plan 2012 | 13

GTDP Committee

Work Plan 2012 Pharmaceutical ingredients monitoring of implementation of the Directive on falsified medicinal products ◊ Contribution to the GDP Guidelines for APIs ◊ Contribution to the risk assessment guidelines for excipients ◊ Co-operation with other stakeholders to achieve a workable solution for the industry ,,Involvement in the finalisation of the Excipact project and its launch ◊ Working on alignment of SQAS ESAD F&G assessment with Excipact TM GDP certification; and in this way maximising the cross recognition of SQAS ESAD F&G verification to minimise cost to distributors for the addition of the Excipact certification ◊ Co-operation with IPEC, EFCG and other stakeholders ◊ Lead on the communication topics and a direct involvement in preparation of the Excipact launch event ,,Review and follow up on regulatory changes ,,Systematic

14 | Fecc Business Plan 2012

Food, feed and cosmetic ingredients ,,Finalisation of the new Cosmetics Directive analysis ,,Follow up on the recast of the biocides directive and its implementation ,,Analysis of industry relevant topics concerning food, feed and cosmetics ,,Monitoring of the Cosmetics Regulations SQAS Distributor/ESAD ,,Provision of information to Fecc members about the acceptance of sections F&G in SQAS Development of tools and training ,,Possible organisation of a training with IPEC ,,Continue organising educational sites visits at the member’s premises during the GTDP Committee meetings

members

International Trade Committee

Monika Drążek - Fecc until November 2011 Joel D’Silva - Fecc as from November 2011 Sandro Clerici - Azelis David Garcia - Barcelonesa Irene Guardiola - Quimidroga Carsten Guentner - Nordmann Rassmann GmbH Nathalie Veronelli - Eigenmann & Veronelli Juan Manuel Wilke - Campi y Jové

Franz Saif BTC Speciality Chemical Distribution Chairperson

Introduction

Achievements 2011

The International Trade Committee was begun working in 2009. Its objective is to deal with international trade issues related to the major emerging markets in Asia, South America, Africa, Middle East and Eastern Europe. The committee wants to focus not only on exports and imports, but also on distribution in the above mentioned markets.

,,Analysis

of Eastern European countries prepared by the Fecc secretariat

Work plan 2012 In the future the International Trade Committee wants to focus on the following topics: ,,Provision

of information on foreign markets Analysis of economic data of different countries and regions ◊ Presentation of the economic climate, investment opportunities, access to credits, special programmes, chemical associations, fairs etc. in foreign markets ◊ Local regulations affecting chemical distribution. In co-operation with the SHE Committee ,,Consider looking into distributor/agent and principal, distribution - agency agreements ,,Continue analysing and monitoring the trade practices of the major trading partners. Giving regular updates to its members on: ◊ Free Trade Agreements (FTA’s) ◊ Anti dumping investigations and antisubsidy measures ◊ EU regulations on sanctions ◊ Other tariff and non-tariff barriers ,,Analysis of upcoming regulations ◊ Scrutiny of the new custom codes ◊ Incoterms ◊ Authorised Economic operator ,,Monitoring the Russia Round Table discussions and the Customs Union (Russian Federation, Belarus and Kazakhstan) ,,Participation in the Market Access Working Group on Chemicals with Cefic ◊

Activities 2011 ,,Analysis

of the Maghreb region with focus on Morocco ◊ Presentation of the representatives from the Moroccan Embassy at the International Trade Committee meeting and the invitation of the Ambassador of the Kingdom of Morocco as a keynote speaker to the Fecc Membership Gala Dinner ◊ Exchange of experiences of an European chemical distributor in Morocco ◊ Provision of economic data about the region to the members ,,The Committee looked into the existing trade regimes and trade defence instruments ◊ Assessment of General System of Preferences (GSP) and GSP+ ◊ Analysis of the FTA with Korea ◊ Provision of information on the major existing anti-dumping investigations relevant for the Members ◊ Representation of the group in EuroCommerce, International Trade Committee and DG Trade Market Access Working Group on Chemicals

Fecc Business Plan 2012 | 15

Precursors Committee

VHC (German Association) Chairperson

members

Ralph Alberti

Monika Drążek - Fecc until November 2011 María Jesús Almenar Martín - Fecc as from November 2011 Rinaldo Canofari - AssICC (Italian Association) Douglas Leech - CBA (British Association) Peter J. C. Newport - CBA (British Association) Birthe Oldenborg - KB (Danish Association) José M. Plana - Quimidroga S.A.

Introduction

Activities 2011

The Precursors Committee is a group of experts that shares information and discusses the latest European and global developments in the fields of drug precursors, Prior Informed Consent Procedure (PIC), explosives precursors and the chemical, biological, radiological, and nuclear (CBRN) chemical element.

Explosive Precursors ,,Active participation in the discussion on the draft Regulation on the marketing and use of explosive precursors ◊ Fecc/Cefic submitted a joint position paper on the draft regulation on explosive precursors and the amendments proposed in the LIBE Committee to MEPs ◊ Fecc continues discussion and provides industry feedback on the draft regulation on explosives precursors to DG Enterprise and Home ◊ Secretariat presents industry position at EuroCommerce meetings ◊ Joint Fecc/Cefic response to amendments document submitted to LIBE Committee

The Committee meets few times a year has an active circulation of information and is engaged with increasing frequency in the formulation of Fecc positions and advocacy. It informally reports on the progress to other working Committees. Fecc is investigating the establishment of industry codes of conduct and further sharing existing industry voluntary initiatives including knowing customers and the reporting of suspicious transactions. Working closely with the European institutions and relevant stakeholders, some of the issues being examined are the European Commission’s drug precursor guidelines for industry, explosive precursors, the EU CBRN Action Plan, the Chemical Weapons Convention guidelines and developments, and the modification of the Rotterdam Convention on Prior Informed Consent (PIC).

CBRN ,,Active participation and input in the CBRN Advisory group and chemicals sub-group ◊ Participation in chemical threat list discussion ◊ Submission of Cefic/Fecc position on the DG Home proposal on CBRN chemical thresholds ◊ Preparation of Fecc position on CBRN Action Plan related to Chemicals and the methodology suggested by the consultants ,,Liaising with Cefic and presenting common industry position Drug Precursors ,,Active participation and input in the Drug Precursor Working Group PIC ,,Fecc member in the PIC Working Group

16 | Fecc Business Plan 2012

Precursors Committee

Achievements 2011

Work Plan 2012

,,Joint

,,Develop

development and publication of a voluntary Responsible Care security agreement with Cefic

Explosive Precursors ,,Influenced the Commission, Parliament, national competent authorities and industry on the current work in progress ◊ Adoption of the principle of the concentration thresholds ◊ Acceptance of the need for a regulatory Impact Assessment ◊ Article 6 (4) draft amendment taken up by several MEPs CBRN ,,Influenced the Commission, national competent authorities and industry on the current work in progress ◊ Significant reduction in scope of named chemicals on draft CBRN list ◊ Adoption of the principle of concentration thresholds ◊ Removal of hydrazine from the proposed CBRN list ◊ Agreement to a joint DG Home / Move working group on transport actions

a model voluntary security agreement for distributors

Explosive Precursors ,,Continue monitoring and influencing the development of the draft regulation on explosive in the European Parliament and the Council ,,Further develop the contact with the EU institutions and other stakeholders ,,Liaison with Cefic on exchange of best practices Drug Precursors monitoring and influencing the work of the Drug Precursor Working Group ,,Providing information to the Commission on the impact the possible revision of the drug precursors and advocating the distributor industry position ,,Continue

CBRN ,,Continue monitoring and influencing the CBRN Advisory group and chemicals sub-group ,,Broaden and deepen good contact and discussions with the Commission ,,Regular cooperation with Cefic on industry relevant issues PIC ,,Continue active involvement and influencing in PIC Working Group

Fecc Business Plan 2012 | 17

Responsible Care Committee

HSH Chemie Chairperson

members

Justyna Marciniak

María Jesús Almenar Martín - Fecc Ralph Alberti - VCH (German Association) Monica Comajuan - Quimidroga Maarten Dankloff - Arkema Patrick Delahaye - BACD (Belgian Association) Ahmed Diboune - Azelis Remi Magniere - Azelis Bernd Klein - C.H. Erbslöh Verena Friedrichs - BTC Speciality Chemical Distribution Chair Peter From - DK (Danish Association) Eva Frostell - TKL (Finnish Association) Joaquim Gândara Marques - Groquifar (Portuguese Association) Catarina Carvalho - Groquifar (Portuguese Association) Felix Hartmann - Omya

Jakob Lamm Zeuthen - KB (Danish Association) Alan Looney - CDI (Irish Association) Karel Naessens - IMCD Michael Pätzold - IMCD José M. Plana - Quimidroga Renato Porta - AssICC (Italian Association) Lucille Coriou - UFCC (French Association) Steffen Saecker - Safechem Paulo Soares - Quimitecnica Robert Stuyt - VHCP (Dutch Association) Gemma Torroella - Campi y Jové Heinrich Van Megen - Brenntag Holding Thomas Pühringer - Brenntag CEE Dorota Zakrzewska - HSH Chemie Haimo Zekoll - Solvay Phil Hockaday - Univar

Introduction

countries. This confirms the increasing interest in the Responsible Care programme. With the current trend, 2012 promises to be another good year in companies, and their subsidiaries, joining the Responsible Care programme.

Responsible Care (RC) helps the chemical industry globally to operate safely and with care for future generations. Through the sharing of information and a system of checklists, performance indicators and verification procedures, Responsible Care enables the industry to demonstrate how its health, safety and environmental performance has improved over the years, and to develop policies for further improvement. Responsible Care requires companies to be open and transparent with their stakeholders –from local communities to environmental groups, from local authorities and government to the media, and of course the general public. On the national level, the Fecc Member National Associations (NAs) have developed local RC programmes in line with International Council of Chemical Trade Associations (ICCTA) Joint RC/RD Programme. Fecc actively promotes the implementation of this joint programme. Fecc has also developed its own European RC Programme which was approved by Cefic in 2009. The last year has been a record year in applications to the Fecc European Responsible Care Programme: Fecc has received over 15 applications coming from subsidiaries of top distribution companies, mainly located in Eastern European

18 | Fecc Business Plan 2012

In order to promote the implementation of Responsible Care in Easter European countries, Fecc organised a Responsible Care Seminar in Krakow, Poland. The aim was to explain the Responsible Care concept and present SQAS/ ESAD as an assessment tool to verify companies’ compliance with Responsible Care. The promotion of Responsible Care is a priority for Fecc and the Responsible Care Committee has been established to strengthen and develop as well as to coordinate Responsible Care with national associations. The Committee is composed of company RC co-ordinators and national association RC managers. The Committee monitors the developments of the RC programme in Europe, with the yearly collection and review of performance indicators, ensures an active promotion and communication of RC and carries out educational initiatives like seminars and conferences.

Responsible Care Committee

Activities 2011

Work Plan 2012

,,Regular

,,Support

meetings of companies’ RC co-ordinators and RC managers of national associations ,,Preparation of promotional material, presentations and guidelines ,,Organisation of the Responsible Care Seminar in Krakow (Poland) ,,Practical help and support to share best practices on the RC programme ,,Practical help and support to help companies join the RC programme ,,Promotion of the RC programme with customers, suppliers and other stakeholders ,,Monitoring the implementation of RC at national level for ICCTA compliance ,,Monitoring implementation of the Fecc European RC Programme ,,Annual analysis of Key Performance Indicators and recommendation of improvements ,,Discussion about the Third Party Verification (TPV) tools ,,Promotion of ESAD as one of the TPV tools ,,Publishing average score SQAS Distributor/ ESAD for benchmarking ,,Cooperation with Cefic and the European Chemical Transport Association (ECTA) to promote RC across the supply chain ,,Attendance to external meetings and seminars on RC ,,Review and check all the applications (over 15) received from companies applying to the Fecc European Responsible Care Programme: CEO letter of commitment, RC Coordinator nomination, KPIs (Key Performance Indicators), selfassessments or ESAD Reports and improvement plans

Achievements 2011 ,,Update

of the Responsible Care Fecc website section in order to ease the programme’s application process ,,New sites joined the Fecc European RC Programme

and practical help on the RC programme implementation ,,Training for new RC coordinators, workshops and information sessions will be organised in order to share best practices and to promote the RC programme with customers, suppliers and other stakeholders ,,Establishing a European list of all RC distributors companies in collaboration with Chemagility (the World Chemical Distribution directory) and to make it available on both the Chemagility and Fecc websites ,,Development of a guidance document for companies and National Associations to be used on a voluntary basis, explaining the Eight Guiding Principles from a practical/ business point of view ,,Work on further harmonisation of RC programmes within Fecc NAs (following the ICCTA Joint Programme and its Milestones) ,,Monitor the needs of SMEs (e.g. use of ISO plus complementary RC questions for TPV, specific tools for SME’s) ,,Increased communication on RC (e.g. Sustainability as integral part of corporate strategies & stakeholders expectations) ,,Explore the possibility to develop a Responsible Care Security Code for Distributors and security Key Performance Indicators ,,Explore the monitoring of environmental impact and discuss measures on how to diminish it with for example development of KPI ,,View of the distributors to “Rio+20”, the United Nations Conference on Sustainable Development (UNSCD) in Brazil on 2012, to mark the 20th anniversary of the 1992 United Nations Conference on Environment and Development (UNCED), in Rio de Janeiro ,,The Fecc RC Committee agreed on a set of goals in regard to the RC implementation in Europe. The committee will prepare a timeline and work plan to achieve for 2015: ◊ Increase the Fecc NA members belonging to RC ◊ Increase the number of KPIs respondents ◊ Encourage RC companies to have an Improvement Plan in place

Fecc Business Plan 2012 | 19

Responsible Care Committee

The Fecc European RC Programme The Fecc European RC Programme is tailored for distributors and establishes a harmonised European approach for RC implementation. The programme assists companies comply with environmental, health and safety legislation by diminishing the risk of accidents, but also helps to optimise operational conditions and company performance. The programme’s core principles are based on the eight guiding principles of the International Council of Chemical Trade Associations’ (ICCTA) Joint Responsible Care & Distribution programme. The programme is developed especially for members such as: ,,Companies

operating in European countries where no national association exists ,,National associations that need support with the implementation of RC in their country or are currently applying the manufacturers’ RC programme ,,Pan-European companies operating in more than one country that are authorised by the respective national associations to apply the programme

20 | Fecc Business Plan 2012

Companies applying the programme undergo independent third party assessment by, for example, SQAS Distributor/ESAD, demonstrating its quality, safety, and environmental performance. The main requirements and responsibilities for applying Fecc’s Responsible Care programme are: ,,CEO

signs the commitment to RC of an RC coordinator ,,Third party assessment ,,Drafting an Improvement Action Plan ,,Annual reporting of key performance indicators (KPI) to Fecc ,,Participation in working groups and promoting the programme ,,Appointment

members

Cefic-Fecc SQAS Distributor/ESAD

The SQAS Distributor/ESAD Steering Committee Robert Stuyt - Dutch Association (VHCP) Uta Jensen-Korte - Fecc Philippe Lavigne - TOTAL Wolfgang Marquard - Cefic Leo Rupert - Shell Frank Milek - Hedinger

Peter Newport - CBA (British Association) Peter Steinbach - VCH (German Association) Inge Van Disthuizen - LyondellBasell Haimo Zekoll - Solvay Frank Braeckmans - ExxonMobil

Introduction

Activities 2011

SQAS has developed to become a joint initiative between Europe’s chemical manufacturers association (Cefic) and the European association of chemical distributors (Fecc) to develop and oversee a voluntary system to evaluate the quality, safety, security and environmental performance of Logistics Service Providers and Chemical Distributors in a uniform manner by single standardised assessments carried out by independent assessors using a standard questionnaire and guidelines.

,,Monitoring

The system is based on four pillars: ,,A

common questionnaire for each category of companies ,,The accreditation of assessors ,,The electronic database of assessment reports ,,The service group For Distributors the objective is also to assess performance against the Eight Guiding Principles of the Responsible Care Programme. This approach ensures that the Health, Safety, Security and Environmental aspects of the management systems of chemical distributors are assessed in a uniform manner, thereby avoiding the costly practice of multiple assessments by different suppliers.

The SQAS Distributor / ESAD Steering Committee The Fecc Director General and several Fecc Members participate in the ESAD Steering Committee which is held in cooperation with Cefic. The aim is to oversee the ESAD system and identify issues of concern. The review of the ESAD questionnaires and new related issues are also decided in this Steering Committee.

and input to the revision of the SQAS / ESAD 2011 ,,Status and progress of the ESAD system ,,Feedback on questionnaire, guidelines and functioning of the system ,,Use of the SQAS / ESAD database - analysis of trends and statistics ,,Progress of the ESAD Service Group ,,Progress of the Logistics and Distributors User Group ,,ESAD communication and promotion

Achievements 2011 ,,Launch

of the new SQAS / ESAD 2011 in April

2011

Work Plan 2012 ,,Consolidation

of the new SQAS/ESAD 2011 scheme ,,Monitoring the implementation of the upgraded SQAS / ESAD 2011 ,,Status and progress of the revised ESAD system ,,Feedback on questionnaire/guidelines and functioning of the system ,,Use of the SQAS / ESAD Database - analysis of trends and statistics ,,Promotion of the distributors participation in the SQAS Logistics and Distributors User Group ,,Monitoring the assessor accreditation and to clarify issues regarding assessors’ accreditation ,,ESAD communication and promotion

Fecc Business Plan 2012 | 21

Cefic-Fecc SQAS Distributor/ESAD members

SQAS Technical and Accreditation Committee Steven Beddegenoodts - SABIC Luc Haesaerts - Haesaerts Intermodal Jean Christophe Hermand - Total Jessie Huang - BASF Evert de Jong - De Rijke Rob Montfoort - Shell Chemicals Peter Newport - Fecc/CBA (British Association) Thomas Pindris - Wincanton Erwin Spaanderman - Panalon

Patrice Vaille - SNCF Victor Trapani - Cefic Andrea Franke - Bayer Sabrina Robbe - Hoyer Alain Delzenne - Solvay Bernhard Haidacher - LKW Walter Observers María Jesús Almenar - Fecc Colin Humphrey - ECTA Hugo Kerkhofs - EFTCO

SQAS Technical and Accreditation Committee

Major changes in SQAS/ESAD 2010: ,,Single Core questionnaire ,,Questions on Responsible Care included in the Core questionnaire ,,Updated and simplified Site, CS & F&G questionnaires ,,More detailed pre-assessment document to be filled in by the assessed company three weeks prior to the assessment ,,Improved question quality and reductions in duplication ,,BBS questions have been added ,,Pre-defined template ,,Reference table towards ISO9001 & ISO14001 ,,Compulsory comments on defined questions ,,Access for the assessor to previous reports ,,Possibility of company’s comments to each question ,,Upgraded and improved SQAS website

SQAS T & A Committee, composed of manufacturers, transport service providers and distributors, maintains the SQAS database system and conducts detailed technical work on the questionnaires and guidelines. It also manages the training, accreditation and the quality monitoring of the assessors. The committee also prepares recommendation for decision by the SQAS Steering Committee. Activities 2011 A complete review of the SQAS/ESAD assessment scheme took place in 2010/2011. After the preparation work done in 2009, several working groups reviewed the assessment questionnaires and supporting guidance for the different SQAS modules. Each of these working groups consisted of relevant representatives from chemical companies, logistics service providers and distributors. The complete review was finalized by early 2011. Achievements 2011 The launch of the new system took place on April 2011 and transition to the new system completed in the scheduled three months. The new SQAS 2010 version has resulted in a more value added and time effective assessment system covering important new topics such as GMP, Responsible Care and REACH.

22 | Fecc Business Plan 2012

Assessor training: ,,Open General Accreditation Training in January 2010 ,,Accreditations to assessors in May 2011 ,,Actions taken with regard to the lack of assessors in Eastern Europe

members

Cefic-Fecc SQAS Distributor/ESAD

SQAS Warehouse Working Group Jos Ooms - Exxon Mobil Evert De Jong - De Rijke Thomas Grau - BASF Peter Newport - Fecc/CBA (British Association) Marc Twisk - Cefic

The SQAS Warehouse module covers third party packaged warehouse and storage service provider installations.

Achievements 2011 ,,New

SQAS Warehouse questionnaire and supporting guidance

120

109 93

100

N° of reports

During the SQAS 2010/2011 revision, this module was also reviewed and the questionnaire was iteratively aligned where possible with the SQAS ESAD questionnaire content.

Number of active ESAD reports per year (08 - 11) (as of 20 October 2011)

60 40

SQAS Logistics & Distributors User Group

2008

2009

2010

2011

Year

Fecc participates in the “Logistics & Distributors” User group of the SQAS system. The aim of this group is to exchange experiences among the users of SQAS. SQAS data system enables access to SQAS Assessments of their partner companies such as their subcontracted transport companies.

Number of active ESAD reports per country (07 - 11) (as of 20 October 2011)

100

28 20

12 5

13 12

7 1

10 1

Be lic lgi De um nm a Fin rk lan Fr d an Ge ce rm a Hu ny ng ar Ire y lan d Ne It th aly er lan No ds rw a Po y lan Po d rtu ga Ru l ss Slo ia va ki a Sp ain Sw ed S Un witz en ite er d lan Ki ng d do m

ria

Re p

N° of reports

the developments regarding ESAD in terms of number of assessments and availability of assessors ,,Feedback from the Members on ESAD assessments ,,Promotion of ESAD system among producers, distributors and customer industries in order to enhance the benefit of the assessment ,,Analysis of the trends and statistics to identify areas for improvement

,,Monitor

Activities

Country

Fecc Business Plan 2012 | 23

Product Stewardship Committee members

Maarten Dankloff

María Jesús Almenar Martín - Fecc Fernand Breton - Dow Corning Monica Comajuan - Quimidroga Christiaan Fetter - Lyondellbasell Hartwig Mandau - Biesterfeld Justyna Marciniak - HSH Chemie Heinrich Van Megen - Brenntag

Dorota Zakrzewska - HSH Chemie Haimo Zekoll - Solvay Peter Cooper - Univar Martin Rowlands - Dow Corning Michele Incagli - IMCD Remi Magniere - Azelis Representative - Dow Chemical

Introduction

Work Plan 2012

The Product Stewardship (PS) Committee brings together representatives of the chemical distributor community and the main European chemical manufactures holding Fecc associate membership to promote a better cooperation and implementation of Product Stewardship along the supply chain. The aim is to discuss, develop and coordinate common initiatives of producers and distributors on safety, health and environmental matters.

Product Stewardship initiatives ,,Collect PS initiatives and promote them ,,Collect information on incidents that occur repeatedly in both the distribution and producers sectors and share experiences ,,Preparation of the updated flowchart for incident reporting to Fecc ,,Identify specific products that lack of PS initiatives ,,Identify PS initiatives on specific products in consolidation with the producers ,,To inform on Security of Explosive Precursors, CBRN and drug precursors

Arkema Chairperson

Activities 2011 Product Stewardship initiatives of PS initiatives on concrete sectors and promotion through the members area of the Fecc website ,,To inform on Security of Explosive Precursors, CBRN and drug precursors ,,Collection

SQAS Distributor/ESAD ,,Evaluated of the number of SQAS/ESAD assessments and average scores ,,Evaluated the responses on specific PS questions ,,Input to the Steering Committee of SQAS Distributor/ESAD REACH and CLP ,,To inform on uses under REACH in the supply chain ,,To inform on CLP and the amendments to technical progress Achievements 2011 ,,Update of the Fecc PS guidance document ,,Collection of Product Stewardship initiatives: GPS – Best Practice Guidelines

24 | Fecc Business Plan 2012

SQAS Distributor/ESAD ,,Give input to the SQAS Distributor/ESAD Steering Committee ,,Monitor the statistics on specific PS questions ,,Raise awareness of suppliers ,,Identify problems on carrying out an assessment exchange of experiences among participants regarding the assessments ,,Improvement of incident data sharing REACH/CLP ,,To inform on those aspects of REACH where communication in the supply chain is key ,,To inform on the developments regarding CLP and the Adaptation to Technical Progress (ATP) External relations ,,Ensure that the activities of the Committee are coordinated with the work of Cefic and the other Fecc committees as necessary ,,Enhance cooperation with other associations e.g. European Solvent Industry Group (ESIG), European Chemical Transport Association (ECTA), etc.

members

Logistics Committee

María Jesús Almenar Martín - Fecc Anaide Burel - UFCC (French Association) Ignace Dejager - Brenntag John Gustin - Univar Paul Natens - Azelis Christian Hultenschmidt - VCH (German Association)

Peter Steinbach - VCH (German Association) Robert Stuyt - VHCP (Dutch Association) Franz Saif - BTC Speciality Chemical Distribution Francisco Jimenez - Campi y Jové

Peter Newport CBA (British Association) Chairperson

Introduction

,,Input

The Logistics Committee monitors developments in EU and international legislation concerning the safe transport and handling of dangerous goods as well as related security issues. Some of the regulations followed by this Committee are: UN Model rules/ADR-/RID-/IMDG, and other issues dealing with the carriage of dangerous goods (i.e. EU Transport legislations), security issues in the transport of dangerous goods, SQAS Distributor/ ESAD& Warehouse assessment systems and accident statistics.

Achievements 2011

The Committee works directly with relevant industry groups dealing with similar issues, such as Cefic (European Chemical Industry Council), IRU (International Road Union) and ECTA (European Chemical Transport Association), as well as through Chairmanship of INDA (Alliance of European Industry Sectors Involved in the transport of dangerous goods).

Activities 2011 ,,UN

level - Monitoring the developments at the UN Sub-Committee of Experts for Transport of Dangerous Goods (UN/ADR/RID/IMDG), especially the ADR revision 2011/2013 ,,EU level - Participation at the European Commission’s DG MOVE Committee on Transport of Dangerous Goods ,,Involvement with stakeholders - Cooperation and exchange of experiences with relevant international associations (INDA, Cefic, ECTA) ,,Work started on diverging national load securing legislations ,,Input to the Cefic Issue Team on safety at un/ loading sites ,,Update of INDA Security Guidance and publication for first time by DG MOVE on Commission website

to the SQAS Technical & Accreditation Committee - Revision of SQAS/ESAD & Warehouse 2011 system ,,Participation in ECTA Working at Height work group

,,Input

to Cefic helped secure a reformat of the draft SULID output document in to three separate forms for Bulk Liquids, solids and packaged cargoes

Work Plan 2012 ,,UN

level - monitor and input to the UN Model Rules and ADR 2013 revision ,,EU level - development of positions and/or comments to European initiatives affecting logistics aspects of the chemical distribution sector: ◊ The Commission White Paper – Future of Transport 2010-2020 ◊ Weights and Dimensions ◊ Revision of the Eurovignette Directive ◊ Urban transport ◊ Supply Chain Security ,,Input to the Industry Guidelines on Safety at (un)loading ,,Enhance the relationships with the partners in the supply chain (Cefic, ECTA) ,,Exchange of best business practices (e.g. learning from incidents) ,,Monitor and evaluation of the SQAS/ESAD & Warehouse 2011 implementation and input to the SQAS Technical & Accreditation Committee (number of assessments and feedback from the members on ESAD assessments, analysis of the trends and statistics to identify areas of improvement) ,,Explore the possibility for pan European guidance documents on logistics

Fecc Business Plan 2012 | 25

Surveys

Introduction

Fecc Company Members Survey 2011

Each year Fecc collects a series of statistical data from its National Associations and Company Members. The collection, analysis and interpretation of these data allow Fecc to draw conclusions in different areas, such as demographics of the sector, international trade and main activities among other. The results of the survey have also proven to be very useful for the Fecc advocacy activities.

Results (data 2010) This year’s results show that, Fecc Company Members have around 13,8 billion Euros turnover (12,3 billion € in 2009), 19 thousand employees and 859 sites (689 in 2009). Fecc’s company members’ turnover represents almost half of the total reported by Fecc National Associations of 26 billion Euros. National Associations represent 31 thousand employees and 1385 sites.

Sectors supplied 100

2009

2008

2011

2010

90 80 70 60 50 40 30 20 10 ry st

ics

du In

et sm Ch

Pa in

es siv

ct tru

ns Co

Fo o

m ar

er tre

bb Ru

s/ tic

Wa t

as Pl

Fe e

Te x

til

ica

tic

ro c

er Ae

Au to

ive

ro n

ics

Pa p

ro n ct

Ele

Members activities (comp 11 vs. 10) 100 95 90 85 80 75 70 65 60 55 50 45 40 35 30 25 20 15 10 5 0

2011 - Percentage of Members with this activity 2010 - Percentage of Members with this activity

Other Re-labelling (e.i. technical assistance)

26 | Fecc Business Plan 2012

Formulating

Blending

Warehousing/ Re-packaging Distribution Storage

Surveys

Main sectors supplied by Fecc Members include the chemical industry (83%), food (80%), paints (74%), and cosmetics (71%).

In the field of risk management and regarding the number of Seveso sites, there has been a slight increase: from 113 last year to 139 sites in 2010, the majority of them falling under lower tier.

Distribution remains the main activity with 100% of the companies performing this activity; almost 75% of the Members have warehousing/storage as second most important activity after distribution and in third place re-packaging with 69% of company members performing this activity.

Members presence in non-EU countries

100

% Members present 2008 2009

2011

2010

a Ch

ia ss

e Uk

lka

d lan

a itz Sw

lA ra

hSo

ica

ia m

st Ea

M a-

ric Af

re b

Tu r

Ca &

lia

Memberâ&#x20AC;&#x2122;s import (Non-EU Country / IMPORT) % Members importing

100

2008

2009

2011

2010

2 60

2 40

a in

na Ca

a di In

ia st

ut hEa So

Am ut So

ica

n pa Ja

ss ia Ru

sia Ea

st A

a Af ric

lan itz er Sw

Fecc Business Plan 2012 | 27

Surveys

In the field of international trade, figures show that 45% of Fecc Company members are present in China and Russia, around 36% in Switzerland and 31% in Turkey. The main markets which companies import from are South-East Asia with 72%, an important increase compared with last year survey where the percentage was 45%, China with 70%, a decreased compared to last year. Regarding export Russia and Switzerland lead the percentages with around 25%, followed by Scandinavia 22%, SouthEast Asia 19% and Turkey 17%.

Sector Others Electronics Paper Agrochemicals Automotive & Aeronautics Textiles Feed Plastics/Rubber Water treatment Pharma Construction Adhesives Food Paints Cosmetics Chem Industry 0 20 40 60 80 Percentage of Members supplying to this sector

100

Memberâ&#x20AC;&#x2122;s export (Non-EU Country / EXPORT) 100

% Members exporting

2008 (2007 data) 2010 (2009 data)

2009 (2008 data) 2011 (2010 data)

ia ss Ru

ag M

itz

lan

hr eb

y ke Sw

Tu r

ica Am

As So ut h-

Ca & US

28 | Fecc Business Plan 2012

da na

av ia di n

n an

lka

ra Be ine lar us

Surveys

Fecc Single Questionnaire 2011 Demographic, RC, KPIs National Associations Results (data 2010)

No. of Chemical Distributors (Fecc) 1150 1117

1128 1076

1070

980

The data collected via National Associations through the online Fecc Single Questionnaire allows Fecc to know also about the RC implementation and Key Performance Indicators (KPIs) from its National Associations Members (NAs). The key statistical data shows an increase of the total number of member companies in the National Associations (1638 in 2010 vs. 1457 in 2009), as well as an increase of turnover from 23 billion Euros in 2009 to almost 26 billion Euros in 2010. This increase is visible in the number of employees counting more than 30,000. These figures show that the industry has recovered from the 2009 world economic crisis. Nevertheless we have noted a decrease in the number of distributors compared to last year’s survey (from 1031 to 885).This difference is mainly due to the amendment made by the Italian National Association (AssICC) on their reporting strategy, focusing only on chemical distributors and not including pharmaceutical companies. AssICC reported 231 distribution company members in the 2010 survey while this year the number of reported companies was 79. National Association members have around 1 million m2 of warehouse area and have made more than 5,5 million shipments representing more than 20,5 million tonnes shipped.

1031

885

810

640

470

300

2005

2006

2007

2008

2009

2010

No. of Employees (Fecc)

45000

40000

38892

37824 35000 32917 31219

33368 30000

2005

2006

2007

2008

2009

31548

2010

Fecc Business Plan 2012 | 29

Surveys

Regarding the Responsible Care (RC) implementation, there has been an improvement in the percentage of companies belonging to RC; from around 40% of Fecc National Association members to around 55% in 2010. Moreover, in some countries the turnovers of RC National Association companies represent 72% of total turnover, around 50% of employees and 54% of sites belonging to RC companies.

% RC companies in NA membership (2010 data) % RC companies in NA turnover (2010 data) 100

y ar ng

ain Sp

nm De

en ed

lan

Fin

lic

hR ep

um ec

lgi

lan

Ire

ria

Po r

st Au

Ita

lan

itz

*Switzerland reports to Manufacturers’ Association (Cefic)

Employees belonging to RC (FECC) 25

100% 21464

20635

21143

18959

20460

80%

68%

64%

63%

65%

50%

60%

40%

44%

% of employees RC

No of employees RC

17091

20%

0 2005

2006

2008

2007

2009

2010

Year

Germany UKSwitzerland Italy Austria Portugal Ireland Belgium CzechRepublic FranceFinland SwedenSpainDenmark NL Hungary

30 | Fecc Business Plan 2012

Finally, about the 2010 KPIs and compared to the 2009 results, in the area of “Legal requirements” there has been the same order of magnitude of convictions; “Policies and documentation”– a slight increase in the number of ISO & ESAD assessments, “Provision of information”– slight decrease in TPV members assessed (this decrease can be explained by the three year cycle of SQAS Distributor/ESAD); and “Ongoing improvements” an important increase in the number of improvement plans in place (431 in 2010 vs. 308 in 2009). In the field of “Risk Management” –transport, site and (un)loading incidents, there has been an increase in the number of transport incidents.

Members

Company members Algol Azelis Barcelonesa Grup Barentz Biesterfeld Brenntag BTC Speciality Chemical Distribution Caldic Campi y Jové C.H. Erbslöh Eigenmann & Veronelli Grolman Group Harke Group Aug. Hedinger HSH Chemie IMCD Group Inventec JSC Ruskhimset

Associate members Krahn Chemie Nordmann Rassmann Omya Penta Chemikalien Quimidroga Quimitecnica.com R2 Group SAFECHEM SteraChemicals STOCKMEIER Group Telko Tennants Distribution Ter Hell Univar Europe VELOX VWR International Welding

AkzoNobel Chemicals Arkema Group BASF Dow Corning Dow Europe LANXESS LyondellBasell Sasol Solvents Shell Chemicals Europe Solvay SQM Europe Wacker Chemiew

Affiliate members Amlin Corporate Insurance

National Associations Austria

France

Portugal

Wirtschaftskammer Österreich (WKO), Bundesgremium des Handels mit Arzneimitteln, Drogerie- und Parfümeriewaren sowie Chemikalien und Farben

Union Française du Commerce Chimique (UFCC)

Associação de Grossistas de Productos Químicos e Farmacêuticos (GROQUIFAR)

Germany Verband Chemiehandel (VCH)

Belgium Belgian Association of Chemical Distributors (BACD)

Hungary The Hungarian Chemical Industry Association (MAVESZ)

Czech Republic Svaz Chemickych Obchodníku A Distributoru Ceské Republiky (SCHOD CR)

Ireland

Denmark

Italy

Kemikaliebranchen (KB)

Associazione Italiana Commercio Chimico (AssICC)

Chemical Distribution Ireland (CDI)

Finland Teknisen Kaupan ja Palveluiden yhdistys (TKL)

Spain Asociación Española del Comercio Químico (AECQ) Switzerland Scienceindustries (SGCI) Sweden Plast- & Kemiföretagen (P&K) United Kingdom Chemical Business Association (CBA)

The Netherlands Verbond van Handelaren in Chemische Producten (VHCP)

Fecc Business Plan 2012 | 31

www.fecc.org European Association of Chemical Distributors (Fecc) Rue du Luxembourg 16B B-1000 Brussels, Belgium Tel: +32.2.679.02.60 Fax: +32.2.672.73.55