NACD Program Ensures Seamless Partnerships

Warehouses and carriers are critical elements of the supply chain for the U.S. chemical distribution industry, which has a total economic impact of nearly $20 billion and provides more than 80,000 jobs across all 50 states. Chemical products are used in nearly every industry sector in the U.S. economy, and chemical distributors play an important role in providing those goods to more than 750,000 end users in industries as diverse and essential as building and construction, medical technology, electronics, cleaning and sanitation, and more.

Many of the nearly 430 member companies of the National Association of Chemical Distributors (NACD) outsource some of their operations to a third-party logistics (3PL) provider. However, the chemical distribution industry poses a unique challenge for warehouses and carriers due to the wide range of goods that fall under strict regulatory requirements for the handling, storage, and shipping of those products.

Finding a 3PL partner who meets the needs and expectations of the organization is critical for chemical distributors, and often requires considerable research and evaluation.

NACD Program Focused on Safety

For more than 25 years, NACD and its members have been focused on finding new ways to enhance security, improve safety, reduce environmental impact, and strengthen efforts to have the highest health standards in the industry through participation in the association’s environmental, health, safety, and security program, NACD Responsible Distribution^®. In keeping with the tenets of Responsible Distribution, chemical distributors must perform exhaustive audits when selecting warehousing or carrier partners to ensure they are adhering to industry best practices on safety, U.S. Occupational Safety and Health Administration regulations, and all other requirements for storing or transporting potentially hazardous chemicals responsibly.

To help take the guessing game out of finding a warehousing partner and to reduce the time spent by warehouses and carriers undergoing exhaustive audits, NACD established the Chemical Handler Affiliate program. NACD Chemical Handler Affiliates follow Responsible Distribution practices, ensuring contracted warehouses and carriers are adhering to best-in-class industry practices. While Responsible Distribution is mandatory, NACD offers a special exemption for any chemical handler who has already implemented and actively participates in the American Chemistry Council’s Responsible Care^® or Responsible Distribution Canada’s program.

Becoming verified under Responsible Distribution not only helps 3PLs more safely and properly handle the materials they are storing or shipping, but it also helps them stand out from their peers, potentially increasing their customer base by eliminating the need for distributors to perform their own audits. Being able to provide a Responsible Distribution certificate rather than going through a new client audit also saves considerable time for warehouses and carriers.

Reducing risk in their supply chain is of utmost importance to chemical distributors. Having a warehousing and logistics partner that can store and transport potentially hazardous chemicals responsibly is imperative. By becoming Responsible Distribution verified, warehouses and carriers can reduce audit costs and times and ensure safe and proper handling of the materials they are storing or shipping, while increasing their visibility as a preferred provider for the chemical distribution industry.

Warehouses and carriers interested in learning more about expanding their business and their business connections, while better managing their facility and excelling in compliance, should contact NACD to learn more about our membership options.