Aligning with a Strong Distribution Partner in a Fluctuating Market
Market fluctuations and supply chain issues are not uncommon for suppliers and manufacturers to deal with on a regular basis. Especially with the COVID-19 lockdowns and multiple severe weather events since the beginning of 2020, market instability has become a regular occurrence, and will likely continue to affect the supply chain for the next few years.
So, what can be done to ensure your company not only stays afloat, but continues to succeed, despite economic difficulties? Having strong partners to work alongside is important to the success of your company’s bottom line, and even necessary when market fluctuations occur. The team at Bamberger Polymers understands this, and we dedicate ourselves to being the strong distribution partner our customers can rely on.
What Supply Chain Issues Are Manufacturers Currently Dealing With?
Supply chain difficulties aren’t uncommon amongst manufacturers, but these troubles typically present themselves in different ways.
According to Bamberger’s Director of Procurement for Commodities, Greg Paradine, two of the worst issues distributors have to deal with are logistics problems and inclement weather:
“There’s a huge logistics issue with all supply chains… not enough employees, truck drivers, warehouse workers… customers can’t get enough people,” Greg explained. “One of the main disruptions in our industry is weather – like hurricanes. It affects our industry more than others. We are all on the Gulf Coast and interconnected because of the pipeline that feeds the chemical plants.”
Price and availability of resin are also major issues customers have to deal with, according to Bamberger’s North American Sales Manager for the US and Canada, Chris Hessenius:
“On the commodity side, it is all about price and availability on the customer’s mind,” Chris said. “That impacts supply chain, and probably the biggest issue we see with most customers is trying to get the best of the market place and availability. If customers wait too long, it causes stress.”
Not just on the North American side, but all over the world, Bamberger’s customers have been feeling the heat of supply chain problems. Ted Dwyer, the Senior Executive Vice President of Bamberger overseeing international business, including Central/South America, India, Africa and Europe, explained how container pricing and consistency affected international distribution:
“Over the last number of years, we were buying most of the products from the US,” Ted explained. “When the US pricing became so expensive it drove up the pricing. Container pricing and lack of consistency with containers became a problem.”
With so many issues plaguing the supply chain and causing market disruptions, how can customers know who to rely on for getting quality resin at affordable prices?
Distribution Partners You Can Trust
With Bamberger Polymers being one of the largest resin distributors in the world, certain supply chain problems don’t affect our company in the same way they may affect smaller, more local distributors. Bamberger is so widespread they are not dependent on a single supplier to buy resin from. Our team of experts are able to overcome any supply chain issue they encounter by dealing with many different markets, both domestic and international. Bamberger’s strong financial position has suppliers from around the globe preferring to do business with us compared to other distributors. Our favorable status provides us supply opportunism even in the tightest of markets.
In addition to having a diverse portfolio of suppliers and connections, Bamberger is able to assure customers by forecasting market fluctuations three to six months in advance. Our ability to forecast future issues in the market is due to our ability to keep a localized inventory. Bamberger has more connections with localized representation and customer service, which is a big advantage when servicing the market. We also use our knowledge of prices and availability in a global market where information flows quickly. We are localized where the customer sees us, but they also have the advantage of gaining our knowledge globally.
Supply chain issues are going to happen no matter what, which is why it is necessary for manufacturers to take precautions. The best way to not fall victim to resin shortages is by making sure inventory levels are sufficient and planning for delay in cargo in case it should happen. The team at Bamberger recommends buying more resin in advance and keeping higher inventories, which not only saves money, but keeps manufacturers from having to deal with resin shortages.
The Bamberger Difference
With several distribution and service locations worldwide, Bamberger offers a wide material portfolio of commodity thermoplastics, both branded and private label. We are an intuitive leader in the industry, and we collaboratively solve tomorrow’s problems with integrity, nimbleness, and respect while providing quality products delivered on time. We ship more than 1.5B pounds of bulk and packaged resins to manufacturers for customized projects every year, and our trusted relationships with customers and suppliers are always founded on consistent communication and support from order to shipment.