In Mumbai, a humble yet determined Indian entrepreneur Mr Kamal Khandewal seized a world-class opportunity by taking on the so- called “dirty job” of working with chlorinated products. This bold move not only transformed his small trading business but also positioned it at the forefront of the global aluminium melting industry.
Founded in 1985 by a visionary entrepreneur, Scottish Chemical Industries began with the production of hexachloroethane, a challenging and hazardous compound that few were willing to manufacture. This leap into the complex world of chemical production set the stage for the company’s rise to becoming one of the largest producers of aluminium melting products globally. Today, as a family-run business with a legacy of innovation and resilience, Scottish Chemical Industries continues to expand its horizons and maintain its commitment to excellence in the industry.
The journey of Scottish Chemical Industries is an evidence of the power of seizing opportunities and turning challenges into triumphs. The company was founded by an entrepreneur who remains actively involved in its operations to this day. His son took over the helm in 2006, and together, they have expanded their reach and capabilities, ensuring that the legacy of excellence continues to thrive.
The company’s story began with a single product: hexachloroethane. In the mid-1980s, Scottish Chemical Industries was primarily involved in the trading of chemicals. It was during this period that they were approached by Fossico, one of the world’s largest companies in the foundry products sector.
Fossico needed hexachloroethane, a chlorinated product, for their operations. However, they were unwilling to handle the production themselves due to the complexities and hazards associated with manufacturing such a compound. They sought a reliable partner who could manage the production process efficiently and safely.
Recognizing the opportunity, the founder of Scottish Chemical Industries decided to take on the challenge. He established a factory dedicated to producing hexachloroethane for Fossico. From day one, the company was exporting this product to about 30 countries around the world, supplying all of Fossico’s plants globally. This marked the beginning of Scottish Chemical Industries’ journey from a small trading business to a global leader in the chemical industry.
Over the years, the company realized that customers needed a broader range of products. This insight led to a gradual expansion into various other foundry fluxes, coatings, alloys, and ceramics. Today, Scottish Chemical Industries offers a basket of about 300 products used for aluminium melting. The company’s unique selling proposition is that it is a one-stop solution and product provider for aluminium melting, catering to the diverse needs of the industry.
Based in Mumbai, with its headquarters and five manufacturing units located in Taloja, Scottish Chemical Industries also has two joint venture companies in China. The first Chinese plant was set up in 2006, and the second one followed in 2020. These international ventures underscore the company’s commitment to global expansion and its ability to meet the growing demands of the aluminium melting industry.
Approximately 40% of Scottish Chemical Industries’ business is domestic, serving Indian customers, while the remaining 60% is export-oriented, with products reaching over 40 countries worldwide. To cater to the global market, the company has established agents, warehouses, and tie-ups with various companies. These partnerships, both exclusive and non-exclusive, ensure that Scottish Chemical Industries has a presence in every major country where aluminium is a predominant business.
Participation in industry events like Alucast has been a strategic move for Scottish Chemical Industries. Having participated in five or seven Alucast events before, the company values these platforms for the opportunity to meet customers, observe competitors, and stay updated on new technologies. The discussions at these exhibitions are often more focused and productive, providing a conducive environment for business growth.
At Alucast, Scottish Chemical Industries plans to showcase its entire range of products, including new ceramic products developed in the past few years. These unbreakable ceramics have been particularly successful in the die-casting industry, and the company is excited to promote them vigorously at the exhibition.
Running a business in the chemical industry comes with its own set of challenges. In the early days, Scottish Chemical Industries faced difficulties related to communication, access to resources, and travel. Today, the challenges are more complex and global in nature. The company must navigate changing rules and regulations, the push towards greener energy and sustainable manufacturing, and geopolitical uncertainties. These factors require constant vigilance and adaptability to manage the rising risks in the business.
Looking ahead, Scottish Chemical Industries aims to continue its growth trajectory in the short term and ultimately become the largest foundry product supplier in the world. The company believes that the future of aluminium is bright, given its critical role in various industries, including electric vehicles. The founder’s advice to the newer generation is to consider metallurgy as a growing field with immense potential, as aluminium will remain a cornerstone of technological advancements.
