| Young children explore the 
                                  world with inexhaustible curiosity. And when 
                                  they discover something new, one of the first 
                                  things they do is - put it in their mouth. In 
                                  the first few months of life, tactile sensitivity 
                                  (especially of the lips and tongue) is particularly 
                                  pronounced while the other senses are still 
                                  in the process of developing. This is why children 
                                  literally feast on their toys: with obvious 
                                  delight, they chew around on animal figures 
                                  and suck away at rubber ducks. Often, these 
                                  are made from polyvinyl chloride (PVC), a versatile 
                                  plastic without which the modern world of toys 
                                  is hardly imaginable.
 To ensure the safety of soft PVC toys, at the 
                                  end of last year the EU issued a regulation 
                                  which from the year 2006 onwards prohibits the 
                                  use of certain additives from the plasticizers 
                                  group in toys intended for children under three 
                                  years of age. Since 1997, BASF has been vigorously 
                                  pursuing the broad-based research project "Sustainable 
                                  plasticizers" with the target to develop 
                                  alternative plasticizers for sensitive applications. 
                                  "With Hexamoll® DINCH, we have developed 
                                  an innovative plasticizer whose health safety 
                                  is beyond all question", comments Heidrun 
                                  Goth, marketing expert in BASF Petrochemicals 
                                  Division. "This now allows us to offer 
                                  toy manufacturers an ideal solution to adapting 
                                  their products to the requirements of the new 
                                  EU regulation", assures Goth. BASF specialists 
                                  are on hand to help with switching production 
                                  to plastic mixtures containing the new plasticizer.
 
 Leaving out plasticizers completely isn't possible. 
                                  Without them, PVC is brittle and snaps like 
                                  a dry noodle. Like the boiling water that softens 
                                  the pasta, the chemical additives in PVC act 
                                  like a lubricant between the molecule chains 
                                  of the polymer and make the plastic as soft 
                                  and supple as is required for the intended application. 
                                  The innovative BASF product Hexamoll® DINCH 
                                  is also remarkable for its extremely low migration 
                                  rate: the amount of plasticizer molecules released 
                                  by the plastic into a surrounding medium. "BASF 
                                  has invested more than e 4 million alone in 
                                  intensive testing of the new product", 
                                  explains BASF toxicologist and product safety 
                                  expert Dr. Rainer Otter. "Hexamoll® 
                                  DINCH is by far the most thoroughly tested new 
                                  plasticizer on the market and has proven its 
                                  safety".
 
 Hexamoll® DINCH is thus also the plasticizer 
                                  of first choice for use in many medical devices 
                                  because in these cases, the plastic is in close 
                                  contact with products which directly enter the 
                                  patient's body. Enteral nutrition administered 
                                  via stomach tube, for example, involves the 
                                  use of bags and tubing made of soft PVC. Pfrimmer-Nutricia 
                                  (Numico), one of the largest manufacturers of 
                                  such feeding sets, has now switched its production 
                                  completely to Hexamoll® DINCH. "In 
                                  view of the concerns surrounding some plasticizers, 
                                  we wanted to be the first in our sector to completely 
                                  eliminate these substances and further improve 
                                  patient safety", explains Dagmar Dehler 
                                  of the marketing department of the medical devices 
                                  manufacturer. "After all, with Hexamoll® 
                                  DINCH a safe alternative is now available. And 
                                  despite the somewhat higher costs, we shall 
                                  be able to keep our product prices steady."
 
 Incidentally, the innovative transfer sets can 
                                  be recognized from the color lilac which is 
                                  used by Pfrimmer-Nutricia to distinguish them 
                                  more clearly. More and more of the approximately 
                                  75,000 transfer devices used daily in German 
                                  hospitals and in home care contain the safe 
                                  plasticizer. Hexamoll® DINCH is soon also 
                                  to be used for artificial respiration systems.
 
 Following the completion of various regulative 
                                  authorization procedures, Hexamoll® DINCH 
                                  is being widely launched onto the market as 
                                  of this year. Smurfs, dolls heads and footballs 
                                  from major toy manufacturers like Schleich, 
                                  Zapf and John already contain BASF's new plasticizer. 
                                  The production facility in Ludwigshafen is designed 
                                  for an annual capacity of 25,000 metric tons. 
                                  The total market volume for sensitive applications 
                                  is estimated as 260,000 metric tons with an 
                                  annual sales potential of more than e 300 million. 
                                  At present, the worldwide sales are still concentrated 
                                  in Europe and Asia. Import permits for Hexamoll® 
                                  DINCH are already available for the USA, Canada 
                                  and Japan as well as other countries. The continuing 
                                  discussion about the potential risks associated 
                                  with other plasticizers makes it likely that 
                                  these markets will continue to grow.
 
 Besides its applications in toys and medical 
                                  devices, Hexamoll® DINCH is also particularly 
                                  interesting for food contact uses. In Europe, 
                                  the product is already being used for packaging 
                                  and foodwrap film, and official approval from 
                                  the American FDA for food products is imminent.
 
 Phthalates, with an annual demand approaching 
                                  one million metric tons in Europe alone, are 
                                  the classics among the plasticizers. Chemically, 
                                  they are obtained as a compound of phthalic 
                                  anhydride with various alcohols. The properties 
                                  of the resulting ester depend mainly on the 
                                  choice of alcohol. The uses of phthalates include 
                                  almost all products made from soft PVC such 
                                  as floor coverings, films, cable insulations, 
                                  truck tarpaulins or insulating and sealing compounds. 
                                  Soft PVC, with its wide range of properties, 
                                  is especially suitable for a large number of 
                                  applications. It is resistant, for example, 
                                  to harsh weather conditions and to sunlight. 
                                  It is easy to process and insensitive to cold. 
                                  Under the common trade name Palatinol®, 
                                  BASF offers thirteen different phthalates for 
                                  a variety of applications and requirements in 
                                  its plasticizer portfolio.
 
 Adipates are esters of adipic acid. They are 
                                  suitable as plasticizers for PVC and other plastics, 
                                  especially if these have to be soft and flexible 
                                  at sub-zero temperatures. The adipate plasticizers 
                                  of BASF are sold under the trade name Plastomoll®, 
                                  and are also suitable for food contact applications. 
                                  They are frequently used in conjunction with 
                                  polymer plasticizers for food film packaging.
 
 Polymeric plasticizers are esters of adipic 
                                  acid with multivalent alcohols. This gives long 
                                  chain molecules whose properties can be determined 
                                  by the choice of alcohols used. BASF sells a 
                                  number of polymer plasticizers under the trade 
                                  name Palamoll®, that are often used for 
                                  tubing and foils, also with food contact
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