Meeting increasingly stringent regulation driven in part by a greater consciousness of the impact the chemical industry has on the environment, continues to impact profitability. The chemical industry is also very heavily regulated to ensure the safety, safe use and disposal of products, with the cost of meeting increasingly stringent legislation estimated to have doubled over the last 10 years.
One aspect of this has been the alignment of previous EU legislation on chemical labelling and packaging with the UN GHS (Globally Harmonised System of Classification and Labelling of Chemicals) through CLP (Classification, Labelling and Packaging) Regulation (CE) 1272/2008 which completes on 1 June 2017.
A similar impact has been felt in the US. Since 1 June 2015 chemical manufacturers and importers have been required to transition to GHS-inspired standards for labelling. These GHS-inspired standards require chemical manufacturers and importers to label chemical containers with 1) a harmonized signal word 2) GHS pictogram(s) 3) a hazard statement for each hazard class and category and 4) a precautionary statement.
The increasing complexity of Control of Substances Hazardous to Health (COSHH) legislation is also a particular burden for the chemical industry. Ensuring the consistency of precise, compliant language, translated appropriately for each country, resulting in numerous versions of artwork, can be highly labour-intensive.
The new EPA (Environmental Protection Agency) & NHTSA (National Highway Traffic Safety Administration) CAFE (Corporate Average Fuel Economy) standards for vehicle model years 2017 through 2025 will also have an impact on the chemical industry with the labelling of petroleum and lubricant products expected to carry new conformity statements.
Responding to this legislation will have raised awareness of the impact and importance of being able to quickly and accurately trace affected products in order to perform labelling changes quickly and cost effectively within timescales set by regulatory authorities. In addition, it’s not just product labelling that needs to be managed, these requirements also extend to the content contained within ‘Chemical Safety Data Sheets’ that are required by law if a substance is categorised as being dangerous for supply.
The challenges of maintaining growth across an industry experiencing increased competition from economies such as China continues to drive focus towards export markets. One of the key factors in selling into such markets is to ensure that product & package labelling as well as safety information shipped with the product and/or presented electronically satisfies local market regulation. Failure to do so could result in products being impounded, wastage and delays and potential loss of market share.
As a provider of cloud-based labelling and artwork management solutions for heavily regulated industries, Kallik is able to help the chemical industry more effectively respond to both new and changing regulation and legislation. All labelling content, whether required for product & packaging, and /or for Chemical Safety Data Sheets is managed and controlled within a single environment. This ensures maximum reusability, minimises duplicated effort and ensures consistency and alignment with marketing and regulatory statements. Furthermore, local market variants and translations, can each be traced back to the master approved statements and imagery in a matter of seconds as opposed to weeks or months.
Kallik’s software provides a simple yet effective method of managing all of these demanding and evolving requirements, and collating local market translations, maximising quality and consistency while minimising the risk, delays and costs of production.
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