Two Polish companies ZA Puławy and ZA w Tarnowie-Mościcach S.A. signed an agreement concerning the possibility of establishing an Undertaking in South-East Asia. The purpose of the Undertaking would be to transfer technologies enabling the construction of a new caprolactam plant at a local partner, while establishing beneficial business relations.
"The location of the planned plant – we are thinking of China or Taiwan – should allow us to source raw materials and energy on favourable terms, thus maintaining the cost of caprolactam production at competitive levels," says Jerzy Marciniak, President of the Management Board of ZA w Tarnowie-Mościcach S.A. "We will also take into account other technology related aspects, such as the possibility of selling ammonium sulphate on the local market."
“Our Companies have already cooperated on development of caprolactam production technologies and their marketing to third parties. We have the expertise in the form of patents and know-how related to technologies used for commercial caprolactam production," underlines Paweł Jarczewski, President of the Management Board of ZA Puławy. "For many years, we have maintained excellent business relations in the area of caprolactam processing in Asian markets.
Patents held by the two Companies enable them to design and erect a complete caprolactam unit, adapted to diverse and specific local conditions and requirements, including alternative feedstock (benzene or phenol). ZA Puławy and ZA w Tarnowie-Mościcach S.A. are the only companies in Poland to have caprolactam units and sales force dedicated to market the product internationally.
ZA Puławy and ZA w Tarnowie-Mościcach S.A. are interested in increasing the production and sales of caprolactam in Asia, where lower costs and better sales performance can be achieved. Far East is the fastest growing caprolactam market, as it possesses enormous processing capacities, yet faces a deficit of caprolactam. Globally, the demand for caprolactam increases by 3% per year, compared with as much as 8% in China.
"This project is very important for us," adds Jerzy Marciniak. "We are interested in increasing the role of Polish caprolactam technologies in the world, as well as enhancing our capabilities and entrenching our current market position."
In the nearest future, the Companies will appoint representatives and delegate them to a special Team, charged with the task of preparing and performing actions necessary to establish the Undertaking, and - having obtained the required approvals of their respective corporate bodies - establishing it.
ZA Puławy and ZA w Tarnowie-Mościcach look to gain a new foothold in Asia