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Custom Chemicals: As the global paradigm for the custom manufacturing business continues to shift, providers struggle to differentiate themselves from the competition.
EAST HAS MET WEST. THE DESTINY OF THE CUSTOM chemical business is being shaped not only by the traditional powers in the West but also by emerging companies in the East. European and U.S. fine chemicals producers are fighting to get a foothold in Asia by putting assets there or tapping into low-cost supplies. In the meantime, Indian producers of advanced intermediates and active pharmaceutical ingredients (APIs) have created global stances by acquiring foreign operations.
The evidence is undeniable given the number of high-profile deals in just the past year. Among the larger ones is Indiabased Shasun Chemicals & Drugs' planned purchase of Rhodia Pharma Solutions' custom synthesis operations. Shasun will get two U.K. plants and hydrolytic kinetic resolution, aromatic-bond formation, and radical trifluoromethylation technologies. Rhodia will close operations at the Chambers Works site in New Jersey.
Two months earlier, Nicholas Piramal India Ltd. (NPIL) acquired Avecia's pharmaceutical custom synthesis business, which includes operations in...
