Bulk Ingredients for Soap and Cosmetics with Soap Creek EP 6

Today's episode is hosted by Jason Stroud and Garrett McBride. A growing part of Smirk's business is in the natural and organic soap and cosmetic industry. Just like the with the natural foods business, they supply organic and natural ingredients to this market segment as well. 

To highlight the industry, they've invited Fred and Roxy Johnson, co-owners of the Soap Creek company based in Utah. They've been a customer for several years now and we're excited to have them with us.

What started as a hobby sharing soap with family and friends grew into a local brand selling their projects around their community. When they were accepted into the Natural Products Expo West, it opened the doors to new opportunities. 

Now they are making products for nearly every big box retailer across the country!

We're shooting to have more around 100 to 120 employees mark. We feel like that's a good size company for us and it really has helped a lot to have vendors like Smirk's helps us along that journey and help us through that growth and support us through that. It's made a huge difference." 

Hear how the Smirk's and Soap Creek relationship has grown. What started with organic coconut oil has led to many more products. 

What Soap Creek looks for in a supplier: 

• Certified organic and/or fair trade.

• Ease in gaining certifications to keep their organic designation.

• The ability to source a number of products.

• Pricing and availability. 

Smirk's products are food grade which is a great benefit for the soap and cosmetics industry. Hear how Soap Creek uses the ingredients purchased from Smirk's to make soap. They use more than one process and it's customized for each customer. 

Fred reminds us that some of their products have ingredients from the Philippines, France, Mexico and more. Trends in the industry include solid products, saving on costs of packaging and increasing the ability to recycle. 

Product Feature

Today we are highlighting organic and non-GMO ingredients used in the soap and cosmetic industry. The global natural cosmetics market is expected to reach 48.4 billion dollars by the end of 2023, with 82% accounted for here in the US. 

The FDA has not defined the term "natural" for cosmetics. Smirk's defines natural cosmetics as products that contain ingredients that are derived from plants and minerals and are minimally processed. 

The consumer trend is for products with fewer ingredients, without chemicals and additives. Today's consumer is also looking for products with less packaging and packages that are easily recyclable. 

Smirk's offers a full range of products for use in the natural cosmetic industry: 

• 6 oils including avocado and coconut 

• Cocoa butter

• Pink Himalayan salts

• Arrowroot powders and starch

• Vanilla extract

Smirk's contracts these ingredients over time to maintain a consistent supply 

Monthly Market Report 

• Ocean freight – overall we have no concerns. 

• Interest rates and the cost of money continue to be a concern for both supplies and clients.

• Sunflowers – when bombing happened in Ukraine, prices went up for a bit but have fallen back to standard prices. 

• Pumpkin seed demand has been soft, it's a good time to secure your needs for the fall.

• Chia is being harvested and we are watching to see how the market responds. 

• Coconut sugar is very tight in the US. It may be October before we have ample product. 

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