After the research of Markets and markets, this overview and more insights from your own personal research, opinions of several professionals, comes the decision what to do with all this data.
In short. The business opportunities are legion. There is enough data and gut feeling that there is potential for Guar Gum in the investigated markets.
Below you find 4 opportunities worth pursuing. Important to take into account is that all four of them require a long term investment and dedication.
I believe that with the right strategy and investments Viscolloids can find a solid foothold in the European Market and expand its business.
In the last paragraph I link to my company page for my proposal on how we could proceed.
Sale of Guar gum to medium and small business In NL, DU and BE
Necessary for this case: An active sales strategy. Encouraging a long list of prospects in primarily three countries to purchase guar gum from Viscolloids requires a focused approach and a long-term commitment.
Advantages of strategy: From the Netherlands, with an approved import, the entire European market can be reached. The number of companies that can be reached in the neighboring countries (BE,DU) is enormous, given the many applications of Guar gum. If the whole EU can be reached without obstacles, that is potentially many kilotons.
Disadvantages of strategy: An SME is not quickly buying a 40 foot container at once. There will be a need for smaller quantities. A commonly used Unit is 25 kg bags.
Sale to wholesalers, importers and big buyers directly from the factory in Pakistan.
Necessary for this case: A strong online presence. Not only with an informative and inviting website, but also on online salesplatforms like Commodityonline.com
Alibaba.com, eWorldtrade.com, Globalsources.com
go4worldbusiness.com. etc. Also a representative of the company who can take care of the active acquisition in the target countries.
Advantages of strategy: The activities of sales will be partly online and big buyers and/or factories will communicate directly with (a representative of) Viscolloids. The orders will be of much greater quantity than case 1. And with a proper sales strategy and commitment Viscolloids can become a trusted supplier for major companies in Europe.
Disadvantages of strategy: Online sales move quickly and require a very proactive approach, as does acquisition of big clients. The current team of Viscolloids EU might not be suited or available for daily (hourly) communication with buyers and the factory.
Sale to highly specialized industries.
Necessary for this case: A in depth understanding of the functions of guar gum and its applications is a necessity. Also a long term investment in a proper company representative might be in order.
Advantages of strategy: The highly specialized guar products will cost more in manufacturing, but will also be more profitable. Becoming a trusted partner of these industries might keep the factory running for years.
Disadvantages of this strategy: Building relationships with specialized companies takes time, (that is expected anyway) There is no easy acces in industries that are well established and are very reliant on the stability and quality of their suppliers.
Make the switch to North America (Canada and US) anyway.
Necessary for this case: North America still takes up the largest part of the guar gum market. The projections are of growth, especially in the industrial grade. In the beginning it will take more effort to find an entrance to this market.
Advantages of strategy: Turning a few kilotons per order can mean a potentially interesting and lucrative approach and guarantee more continuity than the other cases.
Disadvantages of strategy: The market right now is quite unknown to the members of Viscolloids and to me. A new market research or a specialized contact or trade agent for this market might be in order.