InstiCo’s Transloading Solution Solves Orion’s Carbon Black Shipping Conundrum
Orion Engineered Carbons
Carbon Black Exporter
14 Plants Worldwide
Orion Engineered Carbons is a leading supplier of carbon black, a solid form of carbon in powder or pellet form, used in manufacturing to tint or colorize products, provide structural reinforcement, and conduct electricity. Orion is the only producer with gas black capabilities, used for coatings, ink, and other applications.
In business for more than 150 years, Orion Engineered Carbons operates innovation centers on three continents and 14 plants worldwide.
Due to the geographical locations of their facilities, Orion had challenges with increasing export drayage costs moving goods in intermodal shipping and soaring fuel surcharges. They also faced challenges when planning experts due to the excessive cost of round-trip container miles.
At the same time, they also need a logistics company that could handle the products safely and securely, handling the multi-leg logistics from plants to transload facilities with dedicated drayage to manage costs.
InstiCo was able to offer a turnkey solution to resolve long-haul container miles with a transload facility located close to rail and port options.
InstiCo launched a pilot program that included a new transloading solution in a facility located closer to container destinations to reduce costs and transit time. In addition, InstiCo provided dedicated dry van services recovering goods from Orion’s Texas plant to the transload facility, managing the inventory in/out, and providing dedicated drayage for export.
The successful pilot program led to a long-term industry partnership.
Orion now has the flexibility to ship the finished products by dry van into a facility, transload into a container, and export more effectively and economically.
With a high volume of export shipments reaching the transload facility, it became increasingly important to ensure safety, and overall quality in container builds and international document transfers. InstiCo supplemented the program with a dedicated Account Manager to adhere to Orion’s tight standards. By streamlining the supply chain and creating efficiencies, export volumes continue to increase while the overall cost of shipping has declined.
It has provided a seamless transition to port for carbon exports and accomplished their volume out-turn goals.
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