Symphony Environmental Technologies Plc (LON:SYM) global specialists in technologies that make plastic and rubber products smarter, safer and sustainable, has announced the completion of a manufacturing agreement with Ecobatch Plastic Factory in the UAE.
As reported on 1 August 2022, this Agreement is for production of our biodegradable d2w masterbatch, primarily for supply into the Middle East, but the factory can also supply our other markets if desired. Production should commence during Q3 of this year after ESMA (UAE) and SASO (Saudi Arabia) certification.
Ecobatch, which is owned within the same family as the Group’s distributor in the region, Ecopolymers, has received state funding to set up this masterbatch manufacturing facility, which is already producing white, black and coloured masterbatch products for the plastics industry in the UAE and Saudi Arabia. This also fits in with Symphony’s capital-light model.
The Middle East is one of our prime markets, and the operation of this Agreement is anticipated to improve stock availability and control throughout the supply chain, reduce cost, improve efficiencies and increase sales, as locally-made products are usually preferred by customers. Importantly, this is entirely compatible with our ESG strategy and in particular minimising Co2 emissions through lengthy transport systems.
Ecobatch has sufficient capacity to support a substantial increase in demand in the region, which is anticipated due to wider enforcement of regulations which support the d2w type of biodegradable technology.
Michael Laurier, CEO of Symphony Environmental said “We are delighted to be using Ecobatch to improve our supply chain and have been working with the owners for many years now in developing the market for our products, which we believe is primed for further growth.”
