2nd Meet the Grease Market debated important issues for the segment

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Meet the Grease Market 2022

Meet the Grease Market 2022

Meet the Grease Market 2022 – The 2nd Meet the Grease Market Conference, which took place on November 8, 2022, at the Hotel Travel Inn – Ibirapuera, in São Paulo, presented several lectures with specialists from large companies, in addition to a debate on topics of relevance to the market, in which issues such as market figures, the issue of lithium in Brazil, producer responsibilities, competition for raw materials and legal obligations with safety were raised.

A Great Content Panel

The event’s initial debate was coordinated by Pedro Nelson Belmiro and attended by the coordinator of the IBP’s grease subcommittee, Manoel Honorato, and by the lubricant manager of the Brazilian Downstram Association – ABD, Giancarlo Passalacqua. The conversation was very enlightening on important points, with a detailed presentation of the initiatives already carried out with the ANP, Federal Government and ABNT in relation to the points raised.

Belmiro highlighted the importance of obtaining data on greases from the ANP’s SIMP system, for greater market guidance, and Giancarlo informed that the IBP has already sent a letter to the Superintendence of Distribution and Logistics – SDL, requesting this data officially and that he obtained a good receptivity on the part of the superintendent, waving the possibility of making this year’s numbers available at the beginning of 2023.

Unregulated market does not mean no control

Manoel reminded the producers that there are many rules to be followed, even though there is no specific regulation by the ANP for the grease market, although biodegradable and food grade products are still regulated by RANP 804. He showed that there are some other guidelines for the producers, such as the Consumer Defense Code, ABNT with NBR-14725 Part 3 and the Regional Chemistry Council – C.R.Q. which requires the product to have on its label the name of the chemist responsible for the production. Thus, grease producers need to be framed in various standards, even without ANP regulation.

First import of lithium hydroxide

Giancarlo summarized the work done by ABD with government agencies and, mainly, directly with the Ministry of Economy, which had just created the Intensive Front for Regulatory and Competitive Assessment – ​​FIARC and was committed to defending economic freedom. The request was accepted and the positive opinion will be published shortly. In September, Camex adjusted its import system and in October of that year the first import was carried out without having passed the Nuclear Energy Commission, that is, the required release is working. Giancarlo also warned that lithium prices are quite volatile and have also increased significantly in the international market, so it is very important for the producer to have a good assessment of the business, and there may be an expectation that prices will return to normal in the near future. .

Competition between markets for raw materials

The quality of the final products was highly emphasized by Manoel Honorato, noting that the socialization of specific information becomes fundamental for a healthy market. The production of grease uses products derived from oilseeds and also from animal tallow, and in both cases, the availability of these raw materials depends on the production and export market. New restrictions related to Covid-19 in China may impact the demand for vegetable oils in Brazil, as well as the demand for palm, soy and sunflower vegetable oil in the world and competition with biodiesel in Brazil and also with products for improvement the appearance of the meat.

Fire safety requirements for growers

The ABNT working group is studying the issue of placing fixed foam generator liquid systems in grease factories. Giancarlo, informed that a presentation was made to the ABNT study group, showing the distinction between the flammable characteristics between fuels and lubricants, mainly in relation to the flash point. He recalled that NBR 17505 has recently undergone an update that refers a series of definitions to NBR 12615 that specifically deals with fire fighting with foam generating liquid (LGE), which was not done by NBR 17505. of the NBR 12615 standard has several LGE producers who have a direct interest in using this product. The big question posed by the IBP to the study group was to show that a special classification had already been created for lubricants and that there is a clear indication of not using LGE in the event of a fire with very high temperatures, which would happen in a possible event with lubricants. It is expected that after the presentation of the IBP in the group, the issue can be properly addressed without the mandatory use of LGE.

Pedro Nelson Belmiro emphasized at the end of the panel the importance of taking this and other information to the market and that companies in the sector are engaged in participating in these debates and events to gradually increase the maturity and quality of this market. Thus, one of the main motivators of the 2nd Meeting with the Grease Market, promoted by Editora Onze and Revista Lubes em Foco, was successfully held for an audience of around 140 participants from companies linked to the grease segment.