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Customer story

Palsgaard: 'The new stainless steel tanks offer a lot of security and flexibility'

48 stainless steel storage tanks for Palsgaard

The Danish company Palsgaard manufactures primary and auxiliary ingredients for food products. The Palsgaard location in Zierikzee primarily produces PGPR, an emulsifier for the chocolate industry. This ingredient makes chocolate easier to process and reduces the viscosity of liquid chocolate for a smooth and even coating. Due to increasing demand for the product, the company needed significantly larger storage capacity. Gpi Tanks received a request from Palsgaard Zierikzee for 48 stainless steel storage tanks.

Site director Joris Dhont explains the project’s background: ‘We already had plans to expand, but during the COVID-19 pandemic, demand suddenly increased significantly. This caused a rapid shortage in our production capacity. We also lacked the capacity to store a large amount of raw materials ourselves, so we were renting ISO tanks, which incurred serious costs. We decided to replace the old tanks and significantly expand with a new tank park attached to our factory. For the smaller volumes of raw materials, we wanted to move from one tank to two to increase flexibility. We looked for a tank builder who could realize this for us.’

Joris Dhont, site director Palsgaard Netherlands

'Gpi had the production capacity and could deliver within the timeframe we wanted'

Choosing Gpi

The site director talks about the initial phase of the project: ‘We approached several tank builders with our requirements. I was already familiar with Gpi, and our project manager had recently completed a project with Gpi. We assessed which party could deliver what we needed, and ultimately, Gpi was selected. Gpi had the production capacity and could deliver within the timeframe we wanted. We also preferred to engage a local party from the Netherlands.’ Joris continues: ‘I found the sales phase to be well-handled, with frequent communication. Gpi was very helpful throughout.’

The assignment

The project involved designing, manufacturing, and installing 48 stainless steel storage tanks. The order included 12 tanks with a capacity of 100 m3, 19 tanks of 50 m3, 11 smaller tanks of 30 m3, and 6 tanks of 5 m3. These tanks are used for storing raw materials and semi-finished products. The tanks were made of high-quality stainless steel type 316, a deliberate choice: ‘Our most used raw material is castor oil fatty acid, which is acidic. With lower grade steel, you would eventually face corrosion issues, so we always opt for stainless steel 316 to resist corrosion from fatty acids,’ explains Joris.

Production, transport & installation

After production in Lopik, the tanks were transported in partial deliveries by road to the Palsgaard facility in Zierikzee. Joris enthusiastically describes: ‘Everything arrived on time. All the large tanks arrived here on a Tuesday night. There was a long line of tanks across the island, which was quite a sight. The tanks were lifted through the roof one by one. Gpi’s installers positioned and anchored the tanks precisely. This process went very smoothly.’

'I have a positive impression of Gpi and found them to be very helpful'

The outcome and collaboration

Joris reflects positively on the collaboration with Gpi: ‘I have a good impression of Gpi. They were able to deliver what we needed, and the process went smoothly. I found Gpi to be very helpful.’

Currently, the company is in the testing phase: ‘We have a very critical process, and all parameters must be set correctly to achieve the high quality of our end product.’ The arrival of the new tanks brings significant benefits to Palsgaard. ‘We now have much more raw materials in our own stock. This means we no longer need to rent tank containers, making the new tanks cost-effective. Additionally, the world is quite uncertain, especially in terms of supply. Having our own storage capacity provides much more security because we can manage risks with our own stock. For smaller volumes of raw materials, we now have double tanks, ensuring one is always available for filling. This brings much more peace of mind and flexibility in supplier deliveries. So, in many respects, we have moved forward.’