REACH

In June 2007, an entirely new set of EU chemicals legislation began a complex, phased rollout. REACH, the Registration, Evaluation, and Authorization of Chemicals, represents the most comprehensive set of laws of any kind ever ratified by the European Parliament. Replacing no less than 40 existing regulations, and with an implementation calendar spanning nearly 12 years, REACH will regulate the production, import, storage, and application of more than 30,000 chemicals across the entire European Union, and will increasingly affect other regions of the world as well.

Although the new regulations may appear to simplify compliance requirements, the reality is that they will be more complex to follow than their predecessors. Moreover, despite the fact that REACH is an EU initiative, the impact of this raft of legislation will be felt far beyond the borders of what is the world’s largest market. Clariant expects other regions and countries will find it necessary to enact similar laws in the years to come. The most likely trend-leader is the Globally Harmonized System – a new United Nations labeling convention on chemicals, similar to REACH – which will eventually be adopted globally by most UN-member states. With an implementation calendar spanning nearly 12 years, the question remains whether the industry should adopt REACH at an early stage or observe other operators’ experiences from the sidelines, so to speak.

For Clariant the decision is clear; timely implementation is the only responsible action to take. But that is not the only reason behind Clariant’s decision to ‘stay ahead of the global game’. We believe that maintaining this commitment will give us and our customers the upper hand at least throughout REACH’s 12-year legislative rollout, and possibly beyond. And here’s the reason why. Any short term cost advantages that some might hope for by delaying the inevitable investment decision will be more than offset by the commercial losses suffered when markets realize they are not being sold products compliant with the latest safety regulations.

Product Safety’s primary REACH responsibilities are to manage the registration task and implement the law’s requirements as they progressively come into force. Because of the size of the task, strategy related to building REACH into Clariant’s operations and coordination of day-to-day activities relating to the new legislation will be undertaken separately.