Singapore – Halcyon Agri Corp. has partnered with Singapore-based DBS Bank in its bid to set up a digital trading platform for natural rubber, Halcyon announced 17 Dec.
The HeveaConnect joint venture is 90.1% owned by Halcyon and will tap into the digital expertise of DBS to build an “industry ecosystem.”
Under the partnership agreement, the HeveaConnect digital platform will be launched in the first quarter of 2019 to trade “sustainably-processed” natural rubber.
As part of this, HeveaConnect will be the exclusive platform for the sale of Heveapro- certified TSR - Halcyon’s range of sustainably processed rubber.
In a written statement to ERJ, Halcyon executive director and CEO Robert Meyer explained that his company had “injected” Heveapro into the platform to make the standard “open to other producers to adopt, implement and join”.
“As such the HeveaPRO methodology [is] no longer proprietary to Halcyon, but is the joining condition for HeveaConnect,” said Meyer.
Meyer added that the founding parties “are open to other industry partners joining.”
The platform is intended to offer an “all-inclusive” venue to connect natural rubber stakeholders, including farmers, rubber producers and tire makers.
Producers and consumers will be able to track pricing & supply information and transact directly on the platform, said a Halcyon statement.
This feature will provide “price transparency” within the market, according to the company.
Other services to be provided include financing, insurance and logistics.
According to Meyer, Halcyon is first adopter as a natural rubber producer and is also in talks with its tire customers to come onboard.
There are also, it said, ongoing discussions with other natural rubber producers, consumers and partners regarding participation in the marketplace.
“HeveaConnect will offer the tire industry the minimum viable sustainability standard - open to all eligible producers - and by extension lead the path to full supply chain sustainability and traceability,” said Meyer.