The Acme-Hardesty Advantage

At Acme-Hardesty, our word is our bond. We prioritize sustainability in the bio-based chemical sourcing industry and provide renewable, sustainable alternatives for manufacturers.

The Importance of Sustainable Sourcing

Bio-based chemical production is vital in high-value and specialty chemical markets — i.e. markets where functionality is key. In the past, the low price of crude oil limited the growth of sustainable sourcing. But the increase in oil prices globally has led to a rise in bio-based chemical production over the past few years.

Moving crude oil from its source to the consumer usually involves the following supply chain process:

• Production: Involves locating, extracting and transporting crude oil.
• Refinement: Requires crude oil to be transformed into products such as gasoline.
• Distribution: Emphasizes providing crude oil-based products to consumers.

The supply chain cycle is complex, as it involves a physical infrastructure that links thousands of producers, refiners, traders, brokers and consumers that buy and sell crude oil. And if even a single link breaks along this cycle, problems could arise for all parties involved.

Typically, the international economy may shift dramatically based on crude oil production and demand in various geographic areas. This may cause oil prices to fluctuate frequently, creating uncertainty for oil producers, refiners, traders, brokers and consumers.

Obtaining crude oil and other chemical sources usually requires an importer or distributor to develop an effective supply chain strategy to conduct business in underdeveloped and developing countries. To create a viable supply chain plan, an importer or distributor will need to manage a number of risk factors, including:

• Economic
• Environmental
• Legal
• Political
• Social
• Technological

In addition, the push for environmentally friendly products has impacted bio-based chemical production. A limited supply of non-renewable resources has created new opportunities for bio-based chemicals and polymers. As the global population continues to increase, the demand for sustainable sourcing likely will rise accordingly.

The transition to a bio-based economy is a work in progress, but several factors are driving its growth, including:

• The need to create an environmentally, economically and socially sustainable global economy
• The understanding that oil, gas, coal and phosphorous are available in limited supplies, and prices for these products will increase as supplies dwindle
• The desire among many nations to become less dependent on fossil fuel imports and diversify their energy sources
• The concerns associated with global climate change and the need to reduce atmospheric greenhouse gas (GHG) emissions
• The need to stimulate both regional and rural development in communities around the world

The International Energy Agency (IEA) notes the majority of organic chemicals and polymers still come from fossil-based feedstock such as oil and gas. It also estimates the global petrochemical production of chemicals and fossils is around 330 million tons.

Comparatively, the IEA has estimated the current global production of bio-based chemicals and polymers at 50 million tons. Some of the notable bio-based chemicals include:

• Cellulose fibers and derivatives
• Fatty acids
• Tall oils
• Fatty acids and fermentation products such as citric acid and ethanol

Bio-based products are becoming increasingly popular in the United States. The U.S. Department of Agriculture (USDA) reported the bio-based products industry contributed $393 billion and 4.2 million jobs to the U.S. economy in 2014. Also, the USDA indicated the bio-based products sector added 220,000 jobs and $24 billion to the U.S. economy between 2013 and 2014.

Acme-Hardesty understands relationships matter, and no one in this business does it alone. Our relationships are built on trust, innovation and sustainable performance. We call upon our deeply valued relationships to meet the needs of suppliers and customers as well as provide a dependable, cost-effective flow of quality products from source to end user.

Our supply chain process is simple and effective and consists of the following stages:

We see ourselves as a bridge that connects suppliers to consumers and provides essential materials manufacturers need to create superior products to make life better for millions of consumers worldwide. We also work with the best suppliers to ensure our customers are fully supported at all times. Our supply chain partners include:

• KLK Oleo: A globally recognized provider of oleochemicals and derivatives, KLK Oleo is based out of Kuala Lumpur, Malaysia and serves as a key contributor to one of the world’s most successful rubber and palm plantation groups.
• Sharon Laboratories: A supplier of first-rate preservatives for more than three decades, Sharon Laboratories provides preservative solutions for personal care manufacturers and is dedicated to the highest standards of professionalism, innovation and ethics.
• PolyGreen: The world’s lone manufacturer of palm oil-based natural oil polyols (NOPs), PolyGreen supplies top-notch NOPs that enable manufacturers to go green without sacrificing performance or quality.
• Temix Oleo: A manufacturer of oleochemicals in Europe, Temix Oleo manufactures oleochemicals commonly used in the auxiliary industry, lubrication, leather and textile industries, production of resins, adhesives and abrasives, cleansing products, personal care and cosmetics and custom products.

Since 1942, Acme-Hardesty has served as a leading distributor of castor and palm oils and derivatives. We provide innovative bio-based products and solutions for industrial and regulated markets, maintain preferred relationships with suppliers and exceed customer expectations with optimized logistics. Plus, our attention to detail is unmatched and allows us to manage risk consistently.

The Acme-Hardesty Difference

Acme-Hardesty strives to be different, and the Acme-Hardesty difference is transparent in several ways:

• We walk the talk. We have provided sustainable, renewable products for more than 80 years, and these products make up 96 percent of our feedstock. We even supply more than 20 products that are BioPreferred® and Roundtable on Sustainable Palm Oil (RSPO) certified.
• We manage risk for you. Managing global logistics is difficult — even when the world appears to be running smoothly, everything can collapse without notice. With Acme-Hardesty, we manage all of the supply chain risk, so you’ll never have to worry it.
• We secure the supply chain. We prioritize innovation, creativity and financial strength at all stages of the supply chain. By doing so, we’ve built a secure supply chain that delivers consistent results.
• We’ve built an outstanding heritage. We are a division of Jacob Stern and Sons, which has exceeded customers’ and suppliers’ needs for over 150 years. Our heritage is based on integrity, discipline and attention to detail, key tenets that have served us well since day one.
• We’re delighted to support our customers in any way possible. With our technical expertise and commitment to excellence, customers should have no trouble receiving essential support at any time.

The Acme-Hardesty difference is present in all we do, and we continue to explore ways to further differentiate ourselves and provide outstanding support to manufacturers in any way we can.

Benefits of Ethical Sourcing

There are many benefits of ethical sourcing, including:

1. Ethical sourcing enables organizations to comply with modern slavery laws.

Modern slavery laws such as the U.K. Modern Slavery Act of 2015 and California’s Transparency in Supply Chains Act of 2010 promote transparency. They require organizations that meet or exceed various revenue thresholds to issue an annual statement on their website that contains the following information:

• Organizational structure information, along with details about the supply chain
• Policies related to slavery and human trafficking
• Due-diligence processes used to identify and address modern slavery risks
• Steps used to mitigate modern slavery dangers
• Training available to employees related to modern slavery

Failure to comply with these requirements can be costly. A court order may be issued that will require an organization to comply with numerous mandates. Perhaps ever worse, consumers and investors may shy away from an organization that lacks visibility into possible slavery and human trafficking in its supply chain.

An organization that deploys unethical and unfair practices may garner attention from regulators, and for good reason. Ultimately, an organization must do everything possible to comply with modern slavery laws, and ethical sourcing allows it to do just that.

Ethical sourcing ensures an organization can go above and beyond the call of duty to avoid unethical and unlawful practices. Thus, this organization will be able to avoid the risk of modern slavery law violations, along with the potential brand reputation damage and revenue losses associated with them.

2. Ethical sourcing helps organizations manage legal dangers.

An organization may become entrenched in a legal dispute if an overseas supplier fails to follow modern slavery laws.

Human trafficking and modern slavery violations in the supply chain may result in lawsuits that can be both expensive and time-consuming. Meanwhile, an organization may be able to mitigate legal risk altogether if it takes a proactive approach to modern slavery concerns.

Thankfully, ethical sourcing helps an organization address legal dangers before they can develop. It ensures an organization can avoid potential legal fallout associated with supply chain issues by guaranteeing such problems are addressed immediately.

3. Ethical sourcing empowers an organization to stand out from the competition.

Let’s face it — gaining a competitive advantage can be exceedingly difficult, particularly in today’s fierce global marketplace. However, ethical sourcing enables an organization to satisfy consumer expectations for brands. As a result, an organization that deploys ethical sourcing may be able to differentiate itself from rivals.

A June 2014 Nielsen study of global online consumers across 60 countries highlighted the impact of positive social and environmental impact for brands. The study revealed 55 percent of respondents said they are willing to pay more for products and services provided by companies that are dedicated to delivering a positive social and environmental impact. Nielsen also found two-thirds of respondents indicated they would choose products from sustainable sources over other traditional products.

Clearly, ethical sourcing can deliver a competitive differentiator and revenue driver for organizations. It helps organizations provide consumers with safe, reliable products and services and ensure consumer expectations are satisfied.

4. Ethical sourcing may help an organization garner interest from talented job-seekers.

Looking to hire the best employees? Ethical sourcing may help an organization generate interest from a broad array of talented professionals.

Obtaining top talent is an ongoing challenge for many organizations, but deploying a corporate social responsibility program may help an organization stand out in a crowded job marketplace. In fact, global sourcing association SIG points out a recent study revealed companies with corporate social responsibility programs often have higher employee loyalty rates than their counterparts.

At Acme-Hardesty, we believe in the power of bio-based products and move beyond the traditional roles of suppliers and distributors. Our demand for responsibly sourced, sustainable products is growing by the minute, and we have the solutions to address ethical sourcing challenges right now.

Today, we provide products in many markets, including:

• Polyurethane: Our high-performance, top-quality NOPs are used to create exceptional polyurethane forms and versatile polyurethane elastomers that provide flexibility and durability in a variety of applications. These NOPs also have been shown to deliver significant cost savings.
• Personal Care & Cosmetics: Our bio-based fatty acids, fatty alcohols and glycerine play important roles in the manufacturing of many high-end personal care and cosmetic products. The fatty acids serve as emollients and thickening agents and can be mixed with glycerine to provide an effective cleansing agent. Furthermore, our fatty alcohols function as surfactants and may be used as emulsifiers, emollients and thickeners.
• Household & Industrial Cleaning: Our fatty acids perform well in cleaning product applications, such as surfactants, cleansing agents, emulsifiers, foam boosters and degreasers. We also supply vegetable-based, renewable oleochemicals and glycerine that are free of allergens and bovine spongiform encephalopathy (BSE), do not contain genetically modified organisms (GMOs) and come from RSPO-certified producers.
• Lubricants, Grease & Metalworking: Our fatty acids can serve as corrosion inhibitors and lubricity additives. They commonly represent formulation improvements and offer product uniformity and cost savings.
• Coatings, Adhesives, Sealants & Elastomers (CASE): Our fatty acids promote enhanced moisture protection and can be used in a number of applications, including flow enhancers in powder coating additives. Some of our CASE products include castor oil, magnesium stearate and sebacic acid.
• Flavor & Fragrance: Our fatty acids are used in the creation of esters responsible for pleasing tastes and odors. They are utilized in applications such as solubilizer or carrier in flavorings and viscosity modifier in fragrances.
• Food & Beverage: Our food and beverage industry solutions include ingredients that are used for food contact packaging materials and sanitizers approved by the U.S. Food and Drug Administration (FDA). We also provide ingredients to enhance texture or flow and food emulsifiers and food additives such as energy supplements or digestive agents.
• Pharmaceutical & Nutraceutical: Our pharmaceutical and nutraceutical products can be used as preservatives, mold release agents, anti-bacterial agents, thickening agents and more.

Acme-Hardesty is one of North America’s largest distributors of castor and palm oils and derivatives. We understand the importance of renewable raw materials for manufacturing and make it easy for manufacturers to reap the benefits of sustainable sourcing.

Why Should You Choose Acme-Hardesty?

The manufacturing landscape is changing, and organizations that fail to keep pace could fall behind the competition, miss out on growth opportunities and struggle to control their costs. Fortunately, Acme-Hardesty is available to support manufacturers and ensure these organizations can capitalize on ethical sourcing both now and in the future.

At Acme-Hardesty, we believe:

• Respect for others is essential to everything we do — without exception.
• Honesty and integrity are crucial to our relationships and serve as the foundation for the way we operate.
• Our word is our bond, and we follow through on our commitments to customers, suppliers and each other, regardless of difficulty.

We offer a massive selection of renewable, sustainable alternatives for manufacturers. Our responsibly sourced, innovative products deliver performance results and cost savings, making them increasingly valuable to manufacturers of all sizes.

Lastly, we’re dedicated to making a difference for the people and the planet, and we want to help you do the same. We understand sustainable sourcing is the present and future, and manufacturers should be able reap the benefits of ethical sourcing. As such, we’ll work with manufacturers to teach them about sustainable sourcing, ensuring they can enjoy the benefits of ethical sourcing for years to come.

Become an Acme-Hardesty supplier – contact us today to learn more about the Acme-Hardesty Advantage.

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