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GOLDEN YEARS DISTRIBUTION • NACD CELEBRATES ITS GOLDEN ANNIVERSARY NEXT YEAR. PRESIDENT/CEO ERIC R BYER LOOKS BACK AT SOME OF ITS SUCCESSES OVER THE PAST FIFTY YEARS THE NATIONAL ASSOCIATION of Chemical Distributors (NACD) is an international association based in Arlington, Virginia, US, with its membership comprising nearly 430 chemical distribution companies and their supply chain partners. NACD members represent more than 85 per cent of the chemical distribution capacity in the nation and generate 93 per cent of the industry’s gross revenue. Our members, operating in nearly every US state through approximately 3,400 facilities, are responsible for more than 26,000 direct jobs in the US. Collectively, our industry as a whole is responsible for almost 137,000 direct and indirect jobs. Chemical distributors in the US are predominantly small regional businesses, many of which are family-owned and multigenerational – on average having 30 employees and operating under extremely low margins. NACD’s members meet the highest standards in safety and performance through mandatory participation in NACD Responsible Distribution®, the association’s third-party-verified environmental, health, safety, and security
HCB MONTHLY | JULY 2020
programme. Through Responsible Distribution, they demonstrate their commitment to continuous improvement in every phase of chemical storage, handling, transportation, and disposal operations. Owners and operators of NACD member companies have a personal stake in the safety and security of their employees, companies, and communities. They demonstrate this through their continuous improvement in performance under Responsible Distribution, relationships with employees, involvement in local communities — including participation in Local Emergency Planning Committees — and careful compliance with the numerous environmental, safety, and security regulations at the federal, state, and local levels.
distribution segment of the industry, and most specifically NACD members, plays an important role in the supply chain to facilitate the movement and repackaging of products to enable this to happen. The association’s membership annually generates nearly $33bn in sales, delivering products to 750,000 customers every 7.5 seconds while driving 411 million miles with private and third-party truck fleets. They deliver nearly 34 million US tons each year, with the average shipment valued at $7,800. While NACD members’ economic impact is a key component of the US market, the measures they take through Responsible Distribution ensure their products are handled on-site and transported via road and rail with the highest levels of safety in mind. In 2018, the most recent data available, NACD members reported only one incident for every 8,900 shipments, a 16.4 per cent decline over the last eight years. On top of that, small firms average just one incident per $37m in net sales. Large firms average even fewer, at just one incident for every $111m in net sales. These results show that even operations with minimal staff and resources are focused on safety.
ECONOMICS AND SAFETY
PROGRAMME ACCOMPLISHED As NACD looks to celebrate its 50th anniversary
NACD’s membership sells into a diverse array of market sectors, including agriculture, construction, pharmaceuticals, personal care products, oil and natural gas, paints and coatings, water treatment, and more. In fact, the chemical industry touches 96 per cent of all commerce in the US. The chemical
as an association next year, and in recognition of HCB’s 40th anniversary as a publication dedicated to operational safety in the chemical supply chain, it’s important to highlight our evolution over those 50 years and mention some of our biggest accomplishments as an organisation.
