PANEL 3: Post-2020 Global Chemicals Supply Chains – What will be the drivers for market supply and demand and will chemicals product safety emerge a winner or loser? - Joseph DiGangi, Senior Science and Technical Advisor, IPEN, Australia

1. Post 2020 Global Chemicals Supply Chains
Joe DiGangi, IPEN
Helsinki Chemicals Forum
June 2017

2. How to make a toxic economy in 7 steps
1. Start with high-volume chemicals that are toxic
Ethylene dichloride
MTBE
Vinyl chloride
Benzene
Ethyl benzene
Styrene
Formaldehyde

3. How to make a toxic economy in 7 steps
2. Use these toxic chemicals to make many other
chemicals or end-use products

4. How to make a toxic economy in 7 steps
3. Use lots of energy; generate lots of haz waste

5. How to make a toxic economy in 7 steps
4. Manufacture using complicated global
supply chains
The Asian supply chain to Europe and North
America “is brittle and unprepared to address many
of the emerging toxic chemical issues.”
Assoc for Sust & Respon Invest in Asia in
UNEP Global Chemicals Outlook 2012

6. How to make a toxic economy in 7 steps
5. Provide little information about impacts or
presence in products
Short-chain chlorinated paraffins
Japan
19,808 ppm
Brazil
13,973 ppm
India
4,376 ppm
http://ipen.org/news/press-release-children%E2%80%99s-toys-contaminated-toxic-industrial-chemical-
recommended-global

7. How to make a toxic economy in 7 steps
6. Create a regulatory system that assumes we
must use hazardous chemicals and then
manage exposure

8. How to make a toxic economy in 7 steps
7. Externalize the true cost of products
“The vast majority of human health costs linked to
chemicals production, consumption and disposal
are not borne by chemicals producers or shared
down the value-chain. Uncompensated harms to
human health and the environment are market
failures that need correction.”
UNEP Global Chemicals Outlook 2012

9. Externalized costs of inaction
USD$90 billion health-related pesticide costs
in Sub-Saharan Africa 2005 - 2020
€157 billion median annual health costs for
diseases assoc. w EDCs in EU
USD$236 billion pollution costs assoc. w VOCs
not including non-OECD
USD$977 billion costs related to childhood lead
poisoning in low- and middle-
income countries
http://ipen.org/sites/default/files/documents/Beyond%202020%20Green%20chemistry%20and%20sustainable%20chemistry%2024%20Jan
%202017.pdf

10. What is important to consumers?
92% safe drinking water
87% fair wages & safe work conditions
86% waste reduction
86% ingredient transparency
Funded by BMW, SC Johnson, Cisco, DuPont,
Interface, Pfizer, Campbell Soup, Itau, L’Oreal,
Shell, and Starbucks
http://www.globescan.com/component/edocman/?view=document&id=46&Itemid=591

11. Sector Safer
Chemistry
Market
Conv.
Market
Time
Period
Building
Materials
+2000% +176% 2009-
2030
Chemistry +3200% +133% 2011-
2020
Personal
Care
+10.12%
CAGR (US)
+4.43%
CAGR
(global)
2012-
2016
Cleaning
Products
+20%
CAGR
+1.5%
CAGR
2007-
2011
http://www.greenchemistryandcommerce.org/documents/trucost_gc3_report_april2015.pdf

12. >100 members of Green Chemistry & Commerce Council

13. “Green chemistry is the design of chemical
products and processes that reduce or
eliminate the use and generation of
hazardous substances…Green chemistry is
a critical element of sustainable chemistry.”

14. “What gets measured, gets managed.”
1. Management policies
2. Inventory
3. Footprint & substitution
4. Disclosure
www.chemicalfootprint.org

16. $2.3 trillion in
assets under
management

17. “It can be costly to underestimate environmental
risks, Just ask BP’s equity and debt holders.”
BlackRock 2015*
*USD$4.5 trillion assets under management
https://www.greenbiz.com/article/walmart-grows-chemical-footprint-movement

19. Toxics Use Reduction Institute
www.turi.org
Resources
Clean Production Action
www.cleanproduction.org
Green Chemistry & Commerce Council
www.greenchemistryandcommerce.org
Investor Environmental Health Network
www.iehn.org
The Chemical Footprint Project
www.chemicalfootprint.org

20. Our future

21. www.ipen.org
Thank you