As promised, this is to update you on the current situation at Jacobi Carbons and the way we are managing the consequences of the Corona crisis, making sure our people are safe and that we serve you the best way we can. We believe that it is important to keep you updated regularly, as the situation is very dynamic, and communication is key to find solutions for the joint challenges we are facing. That is why I will continue my weekly updates until the situation has “normalized” again.
Your Jacobi representative will stay in close touch with you to understand your changing needs and communicate about any potential supply delays, making sure that we can continue meeting your needs. Pro-active communication is of absolute importance to make sure we can anticipate and serve you best.
China, Europe & Americas
No change versus last week: China is operating at full capacity and EMEA/Americas are operating under a strict regime of hygienic rule and social distancing. All office teams continue working from their home offices.
As you know, most of our production plants are in Asia. Our sites in India, Sri Lanka, China, Vietnam, the Philippines and Japan work closely together to make sure that we secure supply, within the strict constraints imposed by the local authorities, and the need to protect our employees.
• We have been allowed to restart a skeleton operation in JCL last Tuesday, and are now running at 30-40% capacity.
• However, the situation is still very tense due to the corona-cases found in the local community. Inland supplies and logistics are disrupted, however logistics to the port are working.
• The country wide curfew is expected to be extended for 2 or more weeks and it is very unlikely we can run at full capacity in this context.
• We aim at increasing output slowly going forward, but the priority remains to focus on critical orders and essential products, as we remain under the strict surveillance of the health authorities.
• We have restarted operations a week ago and are now running at 50%-60% capacity with a skeleton organisation in both plants.
• The movement of people and supply of goods are still limited and strictly controlled, but we have been producing and exporting goods all week without major problems.
• The country wide lock down is still in place and is very likely to be extended till end April and maybe longer. Depending on the announcement from the Government that is expected in the coming days, and the community situation in Coimbatore and Tirunelveli, we will determine our next course of action.
• We are working with the local community and local Police, providing masks and doing education.
• We are operating although community lockdowns in multiple regions and cities in Philippines, especially in Mindanao, have greatly disrupted the supply of charcoal. We have mitigated the risks so far but there is always a risk of a forced shut down should the corona virus situation deteriorate in Cagayan de Oro.
• We are running at full capacity with no disruptions.
• The self isolation measures taken by the Government are until mid April and likely to be extended, but as they are now they do not impact us.
Our manufacturing teams across the world are fully motivated and ready to work under these difficult conditions to ensure the continuity of our most essential activities.
“In all countries where we operate, we keep close relationships with the local authorities and communities. This enables us to work closely with them to help contain the spread of the virus and continue our operations in a safe manner.
Overall, we are well-positioned to manage this difficult period and are preparing ourselves for a “new normal”. Our plants work closely together to back each other up. I am proud of our teams keeping up the work of serving our customers. We have a great team of people and a very robust supply chain. We can do this together!
I would also like to thank our customers for the intensive cooperation and support we get to continue meeting needs, as we all work together through this challenging period.”
Take good care.
Remko Goudappel CEO
Jacobi Carbons AB