News archive 2004
Tall oil products sold well in 2003
Press releaseForchem’s first full year of operations lays the groundwork for future growth
2003 marked a profitable first full year of operations for Forchem. The
Finnish tall oil product manufacturer recorded net sales of 33.6 million euros.
Although the fractionation plant in Rauma was inaugurated less than two years
ago, last year the company already needed to carry out quite an extensive 2.3
million euro investment to expand the plant.
“We knew in advance that Forchem’s first year of operations would put our new company to the test. We faced the challenge of starting full-scale production with a newly completed, modern plant, while at the same time optimising several parts of the process that had not been tested before. Nevertheless, our target was to achieve and even surpass market expectations, in terms of both products and services,” says Martti Fredrikson, Forchem’s President and CEO.
“Forchem also managed to achieve both its financial and technological goals. Excellent examples of this are the innovations of personnel, developed while carrying out their everyday work. The most important of these are the inventions relating to production optimisation and the R&D work that resulted in our new top paper chemicals product, rosin soap. We have submitted patent applications in both these areas. We have also realised that customers have quickly adopted the new operational models introduced in the markets as a result of our development work.”
According to CEO Martti Fredrikson, in just one year Forchem has become a major operator in the chemical industry in Europe, and the outlook for 2004 indicates further growth.
“We will increase our production and invest in both basic production and production equipment for new products,” Fredrikson says.
“We launched our operations because we realised that it was time for something new to happen on the tall oil market after so many quiet years. We saw that international integration would increase pressure for the tall oil industry and it’s main customer, the chemical industry, to increase mutual co-operation. These factors are still behind Forchem’s growth targets.
Established in 2000, Forchem specialises in tall oil fractionation and further processing. In 2002 in the town of Rauma, Forchem launched production in the most modern plant in the industry. The company employs altogether 40 people. Forchem has three subsidiaries in the EU which are responsible for marketing its products and services. Exports account for over 80% of Forchem’s production. The company buys approximately half of the crude tall oil produced annually by the Finnish pulp industry.
For further information please contact:
Martti Fredrikson, President and CEO
tel. +358 50 3104 400