LIFE SCIENCES

BUSINESS LINE
SPECIAL FLUIDS
INTERNATIONAL SEMINAR 2017
 LIFE SCIENCES BUSINESS LINE
IN A NUTSHELL

• Crop protection
- Banana crops (Banole)
- Others

• Cosmetics

• Animal vaccines

• Home care

TOTAL SPECIAL FLUIDS DIVISION / INTERNATIONAL SEMINAR 2017 2

 LIFE SCIENCES BUSINESS LINE :
WHO DOES WHAT ?

Serge Quillet
Crop protection market manager

Eric Bureau
Application engineer
Banole specialist Carole Dupuy
Business line
manager

Benjamin Swoboda
Health, beauty & home care market manager

TOTAL SPECIAL FLUIDS DIVISION / INTERNATIONAL SEMINAR 2017 3

 LIFE SCIENCES BUSINESS LINE :
WHAT SPECIFICITIES ?

« Ultra-special » products with small volumes and high margins

Need for high purity products : no pollution tolerated

Key regulatory aspects

Complex registration processes (e.g., crop protection : product x use x crop x country)

Resources : development of partnerships for distribution

Medium-long term developments

Potential niche markets for bioproducts development

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 LIFE SCIENCES BUSINESS LINE
KEY FIGURES (2016)

Volume (MT) Vaccines;

Cosmetics; Vaccines;
1713; 3%
772; 2%
MCC (k€) Home care; 757; 9%
Total 52kt 545; 7%
Cosmetics;
611; 8%
Total 8M€
Crop
protection
(Banole);
18052; 34%
Crop
protection
Home care; Crop
(other than
23719; 45% protection
Banole);
Crop (Banole);
2723; 34%
protection 3386; 42%
(other than
Banole); 8252;
16%

791

MCC (€/MT)
442
Weighted average 330
153€/MT 188
23

Vaccines Cosmetics Crop Crop Home care

protection protection
(Banole) (other than
Banole)
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 LIFE SCIENCES BUSINESS LINE
CROP PROTECTION (1) : BANOLE

Geographical Grades Targeted 2016 (kt) MCC 2016 2017 BU

zone crops (TF, €/t) (kt)
Banole Latin America Banole HV + 15.5 150* 23
Banole Bayport
Banana
French West Banole 50 & 60 1 600 1.2
Indies & Africa
Philippines Banole 1.5 230* 1.8

Key Accounts : Del Monte, Dole, La Fruitière, Sica Cercoban, Sica LPG

*Trade product : affiliate margin

TOTAL SPECIAL FLUIDS DIVISION / INTERNATIONAL SEMINAR 2017 6

 BANANA SPRAY OIL (BANOLE) ROADMAP

Bayport 2016

● Latin America : Volume increase (new Ecuador market). Progressive & partial
replacement of trade products (Banole HV) by Bayport product
● Asia : Supply optimization
TOTAL SPECIAL FLUIDS DIVISION / INTERNATIONAL SEMINAR 2017
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BANOLE SUCCESS STORY IN ECUADOR
 BANOLE SALES & DEVELOPMENT IN ECUADOR

Ecuador Banana Spray Oil (BSO) market figure

● World’s largest banana exporter: 6 MT/year, 1/3 of total trade.

● Area: 200.000 ha aprox.,
● BSO potential ≈20 KT
● Particularities:
- National BSO producer: Petroecuador, until April 2016.
- Product feature: poor quality diesel, carcinogenic
(65% Unsulphonated residues, 25% of aromatics, 7500 ppm sulphur.
- Not linked to international petroleum prices (subsidized).

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 BANOLE SALES & DEVELOPMENT IN ECUADOR
Lobbying phase

● Start of lobbying in 2009 involving Total Fluids, Total Americas, Total Colombia (M&S affiliate) and
the local distributor (Lubrisa).
● Technical and international regulatory aspects were presented to the public authorities
(Ministries of Ecology, Agriculture, Oil), to the main Ecuadorian growers, exporters, commercial
chamber of banana industry, in order to make them aware of the danger of the product from
Petroecuador.
● Active participation in the committee responsible for defining the BSO specifications (INEN).
● In April 2016, relying on an interministerial decree, Petroecuador stops production of the national
BSO.
Banole: quality/supply evolution
(cSt)
16 Calumet
14 FHR
12
10 ZR direct
8
6
4
2
HDA Bayport
0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

TOTAL - SPECIAL FLUIDS DIVISION / INTERNATIONAL SEMINAR 2017 10

BANOLE SALES & DEVELOPMENT IN ECUADOR
Sales and Development

● Banole HV (trade product) sales began to take off in 2016,

● Sales for the first 5 months of 2017 already exceed sales in 2016,
● The main customers have validated Banole HE after having carried out tests in their
plantations,
● The sales forecast for this year is 9,500 MT
● Material: DA170 exBayport
MT/Y Evolution of BSO volume in Ecuador
30000
27509
26584 26167
25000 24902 24710
24147
21107 20817
20000 19867

15000 Banole
National BSO
10000 10154 9500

5000
3201 3491
2232
1139 1013 1202
0 333 116 22 146 0
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

TOTAL - SPECIAL FLUIDS DIVISION / INTERNATIONAL SEMINAR 2017 11

 BANOLE SALES & DEVELOPMENT IN ECUADOR
Before 2016, sprayed with the
poor quality diesel then
offered by Petroecuador, the
banana plantations were
characterized by the bronzed
appearance of the foliage

Today, treatments with Banole

respect plant metabolism which
result in intense green coloring,
better yields and better quality
fruits.

TOTAL - SPECIAL FLUIDS DIVISION / INTERNATIONAL SEMINAR 2017 12

 LIFE SCIENCES BUSINESS LINE
CROP PROTECTION (2) : OTHER CROPS THAN BANOLE

Geographical Grades Targeted 2016 (kt) MCC 2016 2017 BU

zone crops (TF, €/t) (kt)
Formulated Essentially Citrole, Citrus, 0.5 240 2
products Europe, (South Catane, Fruit
Africa, India) Ovispray, … trees,
…(+wine,
Latin America PureSpray 2.3 750* 3.3
fruit &
veg.)
Base oils Europe Fluid Genera Potato 5.4 160 6.8
seeds,…

Key Accounts : Certis, Koppert, SBM, Sipcam, UPL/Cerexagri

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 CROP PROTECTION OUTSIDE BANANA:
ROADMAP

● We sell e.g. to phytosanitary companies  cooperatives  farmers

● Local registrations are needed
● Warning : giving access to our products in a given country must be carefully
thought of :
• For our customers, product development takes years, and the introduction of
a new player on a market may destabilize it
● Current strategy : Partnerships building
• To capitalize on existing applications (potatoes seeds, …)
• To enter innovative ones (grapevine, fruit&vegetables, cereals…)
● To support existing markets (Spain) and the start-up of new ones (China)
● To prepare the future : optimize feedstocks, blending & packaging sites

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 LIFE SCIENCES BUSINESS LINE
COSMETICS

TOTAL SPECIAL FLUIDS DIVISION / INTERNATIONAL SEMINAR 2017 15

 LIFE SCIENCES BUSINESS LINE
COSMETICS

● In cosmetics, Key Accounts ONLY :

● SEPPIC is our WW distributor of Emosmart (Gemseal) and
Emogreen (Gemseal BioLife) grades…
● …Except for Beiersdorf (Nivea) Key Account : handled by TF with
affiliate support : THANK YOU !

Grades 2016 (t) MCC 2016 2017 BU

(TF, €/t) (t)
SEPPIC Emosmart 108 1300 400

Emogreen 38 2600 250

Beiersdorf Gemseal 40 617 610 657

Total 772 791 1307

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 COSMETICS ROADMAP

• To support SEPPIC Cosmetics in their growth

• Beiersdorf : to have Gemseal BioLife
homologated
• To state on new products potential

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 LIFE SCIENCES BUSINESS LINE
VACCINES

Grades 2016 (t) MCC 2016 2017 BU (t)

(TF, €/t)
Eolane 130 400 250 840

Eolane 160 (SEPPIC) 750 700 705

Eolane 170 560 230 790

Total 1700 440 2300

Key Accounts/Major Customers : SEPPIC Vaccines, Ceva

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 VACCINES ROADMAP

● To visit key players to present range and start homologations

● Target areas : China, Brazil, Mexico, US
● To build a business plan
● To develop Eolane 150
● To support SEPPIC Vaccines in their growth
● To check the potential of our bio products

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 VACCINES SUCCESS STORY IN CHINA

TOTAL SPECIAL FLUIDS DIVISION / INTERNATIONAL SEMINAR 2017 20

 EOLANE PRODUCTS IN CHINA

Eolane product : oily adjuvant used in animal vaccine

Oil

Surfactant

Water +
inactivated virus

Typical inactivated vaccine adjuvanted with oil

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 EOLANE PRODUCTS IN CHINA

2 different types of uses

Adjuvant manufacturer Animal vaccine manufacturer

Main market : Main market : Avian Influenza for poultry
Raw material to formulate ready to use adjuvant Players :
Sheep, fish, pig, horse…
+ local players
Player : Products :
EOLANE 170 as equivalent to the reference
Product : EOLANE 130 and 150 as challengers
EOLANE 160

Global Potential in China : ~12kT

TOTAL SPECIAL FLUIDS DIVISION / INTERNATIONAL SEMINAR 2017 22

 EOLANE PRODUCTS IN CHINA

2 different types of uses

Adjuvant manufacturer Animal vaccine manufacturer in China

Business Plan vs sales :

May
Sales

Global MBCC ~ 700€/T Global MBCC ~ 800€/T

TOTAL SPECIAL FLUIDS DIVISION / INTERNATIONAL SEMINAR 2017 23

 LIFE SCIENCES BUSINESS LINE
HOME CARE

● Main current sales : for insecticide in India

- D80 + G3H, 2016 : 7kt, av.MCC 80€/MT
● Following application « cleaning » in SAP, sales data are being checked &
analyzed
● Roadmap :
- Labscale evaluation of our products, including bio
- Visits to key players (Unilever, Colgate, …) to present our products &
assess their potential  business plan
Key Account: SC Johnson

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THANK YOU FOR YOUR ATTENTION !