A leading supplier of plastic raw materials, industrial chemicals and lubricants
Telko is a link between industrial customers and international raw material manufacturers. Telko supplies plastics, chemicals and lubricants, as well as different raw materials required in the manufacture of high-quality products, to its customers. Telko’s strengths include its broad product range, comprehensive technical expertise and a thorough understanding of local market conditions. Technical expertise associated with Telko’s raw materials and product processes helps customers to design even better and more competitive products. Telko’s 24 outlets in 16 different countries ensure that services are flexible and products can be delivered in accordance with customers’ requirements.
Telko’s key principals are well-known manufacturers of plastic raw materials, chemicals and lubricants, such as ExxonMobil Chemical, Lotte Chemical, BASF, LG Chem, Castrol and Matrix. In plastics, Telko supplies both technical and volume plastics to companies in the packaging, construction, and electricity and electronics industries, as well as to plastics industry companies that manufacture consumer products. In chemicals, Telko supplies industrial and specialty chemicals. Its customers include companies operating in the paint, printing, packaging, cosmetics, construction and chemical industries. Furthermore, Telko supplies lubricants to the manufacturing industry, as well as the shipping and automotive industries. Telko’s product range also includes automotive chemicals.
In 2020, Telko continued to implement its strategy and improve its profitability. The development of profitability has been based on more efficient procurement activities, investments in technical products that produce more added value, the development of logistics and more active pricing. In addition, the inventory turnover rate has improved considerably and the use of capital has become much more effective. Research and development operations have increased to develop the range of alternate plastic raw materials. Furthermore, Telko aims to increase fiber-based and recycled plastics and their relative proportion, particularly in western markets.
In September 2020, Telko acquired all shares in Swedish ILS Nordic AB and its subsidiary Autolubes Nordic AB. ILS Nordic is a strategic distribution partner of BP Castrol’s lubricants in Sweden and Norway. Through the transaction, Telko strengthened its position in Nordic lubricant markets. As a result, the role of the Nordic countries in Telko’s net sales will increase close to 40%. At the same time, the transaction makes lubricants a strong segment for Telko, alongside with plastics and chemicals.
Telko closely complies with all environmental and safety regulations and invests heavily in eco-friendly alternative plastic raw materials. Industrial sectors that use plastic raw materials require options for conventional raw materials and seek to find eco-friendlier solutions. The largest raw material producers are focusing on alternate bio-based and biodegradable materials in their R&D. Business growth is expected in western markets in particular, while customers in eastern markets are also interested, for example, in raw materials suitable for the manufacture of biodegradable plastic bags and solvent-free paints. Telko’s goal is to be a pioneer in all areas of responsibility in the distribution sector. In this way, Telko also helps its partners to achieve their responsibility goals as part of the value chain.