A question of trust for CEFIC

Peter Elverding, new president of the European Chemical Industry Council (CEFIC), has called for a return to the theme of trust to ensure that the public understood and appreciated the chemical industry, rather than seeing it as a threat to their health.

Elverding, who is chairman of Dutch chemical major DSM, told the General Assembly of the European Chemical Industry Council, CEFIC, and the Society of Chemical Industry (SCI) that the industry needs to cooperate both within itself, with companies and the various European industry associations working more closely together, and with outsiders such as the European institutions, governments and NGOs.

'Mutual trust is needed to make this possible,' he said.

The theme of trust is hardly new, Elverding conceded, 'but is has never been more relevant than today,' he said. But the industry's previous tactics, which have focused on PR campaigns, are no longer sufficient: 'You cannot build trust just by stating that you can be trusted. We have to prove, demonstrate, explain, share, involve.'

Openness has to be embraced, Elverding said, even if it is in sensitive areas. 'Where chemistry touches upon the daily lives of millions of people, the industry should be open, to the point and absolutely clear,' he said.

'The genetic modification of organisms and, for example, product labelling are two examples of issues which are high on the societal agenda in Europe.' However, the industry should not shift position on unpopular issues; for example, it should continue to stress that regulations on risk control 'make no sense whatsoever' when risk is a unavoidable part of work and life.

Also speaking at the meeting was Dutch Minister of Economic Affairs, Laurens Jan Brinkhorst, who lent his support to the establishment of the European strategy group for the chemicals industry, to set priorities for the industry in the expanded European Union on how to meet its regulatory obligations while preserving its profitability.

Brinkhorst said that a European Strategy Group 'may fulfil a key role in striking a balance between political, economic and environmental interests.'

The chemical industry's long process of consolidation is clearly not over yet, Brinkhorst said, and it is now having to cope with a variety of new challenges. The expansion of the European Union this year has seen Europe grow instantly not just as a producer of chemicals, but as a market for them as well.

'Our newcomers have a higher growth rate, which gives rise to an increase in demand for products, also from the chemicals sector. This in turn creates more sales opportunities for the Western European chmical industry.'

However, the new members inevitably require restructuring, which will lead to closures, revaluations of companies, product improvement and optimisation of processes.

'Substantial capital will be required if they want to compete on a global level,' he commented.