Organik Kimya successfully invests in the Research and Development sector.


Organik Holding

Organik Kimya successfully invests in the Research and Development sector. Consequently, the R&D sector is one of the foundations of Organik Group's strategy and helps us producing environmental friendly products. Our researchers work on solutions for the challenges of the future and ensure Organik Group's sustainable and organic growth, helping our customers to be more successful in the short and long term. Patents are an important measure of research performance. They serve as indicators of long-term competitiveness and are a sign of the Company's innovative strength.

Trends in Chemical Industry

  • More innovation and research are key to securing the future of the chemicals industry

The move to a more sustainable use of resources will require new chemical solutions. In particular, climate change mitigation and other global emerging environmental and social challenges will be a very important R&D focus in chemistry and related sciences. The resulting major business opportunities for the chemical industry should be fully exploited.

While innovation is more than R&D, the link between research in chemistry and innovation is particularly strong in the chemical industry. Overall, it is necessary to increase the quantity and quality of R&D and the effectiveness of innovation, in particular by encouraging more efforts by the private sector. In general, companies are urged to review their R&D plans and to extend corporate research programs to medium and long term objectives. The public sector should provide effective support to private sector efforts and facilitate access to support programs, in particular for SMEs.

  • Responsible use of natural resources and level playing field of sourcing energy and feedstock are success factors for competitiveness and sustainability

The chemical industry is largely based on oil and gas, but also uses renewable materials such as starch, vegetable oils or ethanol. Availability and costs of these raw materials are for large parts of the industry, together with energy prices, a decisive cost element strongly influencing international competitiveness. It is therefore of highest priority to secure the reliable access to oil and natural gas (methane) at competitive prices and improved performance of the gas market by effective liberalization and by diversifying sources of supply.

The high integration of most of the chemicals industry along the product value chain is one of its main competitive advantages. It is this integration which until now largely allowed the industry to compensate for its less favorable feedstock position and higher energy costs. For example, the majority of the 300 European production sites are located in 30 clusters. Similarly, same cluster systems strongly supported by the local governments are present in Far East, USA and South America. The success of these clusters depends on having a valid combination of key assets in place, among them shared use of infrastructure and services, access to major transport modes and proximity to markets and customers. Companies in well performing clusters benefit from an optimized cost structure and better access to resources. However, in quite a number of European countries and also in Turkey, the industry is still widely dispersed and located around historical feedstock or energy resources. In addition, complete supply chain integration within clusters is often not yet achieved and the interconnection between clusters is insufficient. Consequently, clusters considered economically viable should be supported in their development.

Long distance transport is the rule in the chemical sector. Chemical companies are often quite specialized and one can supply the whole region with a particular product. Chemical distributors have an important position in the supply chain, serving a wide range of downstream users most of which are SMEs. Even if large parts of the industry are located in clusters, the distance between production sites can be huge. There is a risk that insufficient logistic infrastructure and other transport bottlenecks could prevent the achievement of stronger clusters. Therefore, improving the logistics infrastructure within and between chemical clusters is important.

  • Competitive chemicals industry needs open markets with fair competition

Further trade liberalization through a substantial reduction or elimination of tariffs both multilaterally and bilaterally would be in the interest of the chemical industry. From a European perspective, the new sectorial agreement should involve all countries with a significant chemicals industry and include all chemicals.