2M Holdings, Surfachem's parent company, are acting on two fronts.
- Mitigation plans for possible implications of Brexit to our businesses.
- Advocacy directly and through the trade organisations we are members of.
We have conducted an analysis at all BU’s (Business Units) levels based on the following points:
- Supply side: products sourced from the EU and possible impact on business in case of supply disruption due to delays (Customs inspection) or increased costs (Customs Tariffs).
- Demand side: Communication with our customers to analyse how much of their production is exported to the EU. In our analysis we investigated possible impact on our customers’ businesses, possible disruption (increased costs/reduced competitiveness) and delays in export or import of products. We also asked customers whether they may relocate production.
Based on the analysis we are preparing contingencies. The contingencies include the following:
- Alternative supply sources.
- Review of storage location and needs and setting up additional or alternatives.
- Arrangement to support customers outside the UK in case they need to relocate production.
2M Holdings has now presence in Germany (2 locations), Norway, Belgium, Poland, China and Brazil. In addition, through its membership in Omni-Chem alliance (the biggest global alliance of independent chemical distributors) 2M Holdings has vast sourcing capabilities.
2M Holdings is confident that through its European and international presence it is well prepared to mitigate any consequences of “Hard Brexit”. In parallel we continue advocacy to convince decision makers in Europe and the UK that free movement of products, people and services will benefit Europe and the UK.
We will continue to update our business partners as things evolve
Mottie Kessler, Chairman - 2M Holdings Limited