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glues, sealants & adhesives
Sticking to the
GAME PLAN
Logistical headaches persist but a healthy construction pipeline means there’s plenty of confidence in the sealants and adhesives category, writes Andy Kerr.
THIS TIME LAST year we concluded that glues, sealants and adhesives were stuck in a holding pattern.
Suppliers were taking stock after the initial shock of Covid,
and most had adopted a sensible “wait and see” approach to new product launches. The focus remained on supplying core products as the construction sector quickly rebounded.
So, what’s changed 12 months on?
For the last couple of months, Sika (https://nzl.sika.com/), like other suppliers, has been managing trading at Level 2 in most
of the country with Level 3 restrictions in the critical Auckland market.
Business Manager Distribution Tony Smith says the disruption to both the production and distribution of sealants and adhesives came after a purple patch of buoyant trade.
“At the end of July, we were having a fantastic year despite ongoing shipping delays. Sales were so far ahead of last year that it was incredible, and the market has been pumping with residential permits at record levels.
“Take Covid out of the equation and the market is fantastic with a full pipeline.”
Trouble is, of course, Covid is a large and stubborn part of the equation, and the knock-on effects look to be varied and long-lasting.
“There’s no denying it’s a strong market,” agrees Bostik’s (www. bostik.co.nz) Paul O’Reilly, “and it’s been a steady to strong year for our company.
“We were trucking along strongly in July and August before the brakes went on and we see no reason why the market should change in the short term given the huge undersupply of houses.
“We’ll probably miss our Q3 targets but we’re expecting Q4 to
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OCTOBER 2021 | NZHJ 35