México City, Mexico
Phone: +52 55 5118 1000
Sales: $101 million (inks); $127.6 million overall.
Major Products: Offset, flexo, gravure and screen inks, overprint varnishes, offset plates, pressroom chemicals and offset presses.
Key Personnel: Ernesto J. Sanchez, managing director; Jose Sanchez, commercial director; Jesus McKelligan, operations director; Alvaro Toledo, administrative director; Salvador Duran, technical manager (paste inks); Agustin Lozano, technical manager (liquid inks).
Number of Employees: 1,150.
Comments: Sanchez SA de CV is the largest ink manufacturer in Mexico and Central America. The company is located in Mexico City, and has subsidiaries in Colombia (Grupo Sanchez Colombia), Costa Rica (Grupo Sanchez Artes Graficas), El Salvador (Sanchez Centroamerica), Guatemala (Tintas Sanchez Guatemala SA) and Colombia (Grupo Sanchez Colombia).
The economy was a major concern in Mexico. In 2016, the economy grew 2.3 %, a bit under the 2015 result of 2.5 %, and the expectations for 2017 are even lower. Meanwhile, the Mexican peso suffered a major decline against the US dollar. The US presidential election also has impacted Mexico.
“The year 2016 was a challenging one for Sanchez,” said Ernesto J. Sanchez, managing director of Sanchez SA de CV. “On the one hand, we had a slow economy, and on the other, high concerns regarding the US presidential elections and its effects on the future of our country. Our currency, the Mexican peso, had a terrible performance against the US dollar, with a 20% devaluation, creating a big pressure in our costs.”
Still, Sanchez reported that printing ink sales remained fairly stable year over year, driven by sales throughout the rest of Latin America.
“We maintained our ink sales as the previous year, with water-based and sheetfed offset inks the ones with the best performance,” he reported. “Our activities in Latin America performed quite well in 2016, with our international operations as a key part of our global strategy.”
As mentioned above, the election of Donald Trump as the US president promises changes in the way business is conducted, and Sanchez said that there may be benefits ahead.
“We expect changes in the international trade of goods due to the results in the US presidential elections, but we feel positive that some of those changes might even benefit us,” Sanchez concluded.