German specialty chemicals company Lanxess will invest around Euro 60 million in the expansion of the Leverkusen production facilities of Saltigo GmbH, a leading supplier in the field of custom synthesis.
The biggest single investment in Saltigo since it was founded as a fine chemicals company in 2006 will sustainably strengthen the Lanxess subsidiary’s market position. “Once again this year, we have many projects in the pipeline and see further growth potential,” opined Wolfgang Schmitz, managing director, Saltigo. This is why the Lanxess subsidiary is significantly expanding its multi-purpose production facilities in the Central Organics Pilot Plant (ZeTO).
“This expansion will further expand our flexibility and also ensure in the future that Saltigo remains optimally positioned in the dynamic custom manufacturing market. In the crop protection segment alone we anticipate annual market growth of 3 percent on average through 2025 despite weaker demand at the moment. To grow with our customers, we are expanding synthesis capacities for custom manufacturing in the ZeTO by around a third,” added Schmitz. A part of these future capacities is already contractually secured.
Saltigo will use a large share of this investment to add further reactors to its existing multi-purpose facilities and to construct two new solids isolation and drying lines. In addition, it will ensure an even more efficient raw material and solvent supply of the production facilities through the installation of a new container warehouse next to the plant. Planning also leaves scope for further expansion of this storage capacity. The complete facility will be equipped with a modern new process control system to combine the highest possible qualitative requirements with maximum productivity.
The construction launch is scheduled for the middle of next year, while production should start at the end of 2017.
With this investment in Leverkusen, Lanxess is strengthening its biggest production site for the agrochemicals market. More than a third of the company’s plants there manufacture products that are used in agriculture following further processing by agrochemical companies.
Saltigo's plants are ideally placed within a highly developed integrated network, the benefits of which include reliable supply and disposal facilities. “There is no doubt that efficient processes and network structures pay dividends when it comes to large production volumes, such as in the agrochemical and fine chemicals fields,” explained Jorg Schneider, head of Marketing at Saltigo GmbH.