The Cosmetic 360 Show has opened application submissions for the Open Innovation. Open Innovation is an excellent program that is highly recommended for start-up companies. This program helps individuals and their companies gain momentum with their projects.  Open Innovation is perfect for start-up, micro-business or SME, or a public research body. This great allows for the showcasing of innovations from all over the world. Most importantly application is Free! If the company gets chosen for a meeting, they get to present their innovations to major companies in the fragrance and cosmetics industry. Get direct access to the decision-makers. Get a chance to exchange ideas and seek guidance with knowledgable individuals that represent the corporations that are industry leaders.
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Cosmetic 360 - This service is available to all fields of activity: raw materials, end products, packaging, logistics, etc., and to all types of innovation: technological innovations, service innovations, marketing innovations, etc., no matter the development stage: idea, project development, concept maturation, product or service development, market access.

​ Read More Here

The Cosmetic 360 show has announced that it will be converting to an online format. The show will now be a virtual trade show. This will enable increased opportunities for an individual from around the world. The Cosmetic Valley will organize two events: the e-Cosmetic 360 online fair and the national fragrance and cosmetics industry conference. This change is a reflection of the industry transformation, especially with the effects of COVID-19 on the global economic markets. To read more click here, at Cosmetic 360.​

The Canadian Cosmetic Cluster interviewed an infection control specialist, Catherine Campbell.  Catherine is the Director of Infection Control at Salon Solution.  We asked Catherine about how the industry will be impacted by COVID-19. 

1. What is the single most important impact that COVID will have on the Beauty/Salon Industry?
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The single most important impact of COVID-19 that will have on the Beauty/Salon Industry is stress and the feeling of uncertainty. Business owners are filled with questions. 

• I have no cash flow.
• When will our government allow us to open?
• Will it even be feasible for me to reopen?
• Will personal protection equipment be available to me at a reasonable cost?
• What will the new infection control policies be?
• Will my clients return for services?
• Can I survive on a much smaller income?
• Will childcare be available for my kids?

The list of uncertainties goes on and on.

2. Should salons prepare for this as long term norm? 
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Yes, salons should prepare for this as a long-term norm. In North America, some stain of “flu” hits the population two times in a year: Spring and Fall. This spring, the COVID virus reared its ugly head and it is expected to return in the fall. The prediction for the fall event is that it will be a more serious outcome.

3. What can salons do to keep clients and staff happy?
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Salons must follow strict infection control procedures and share them with their clients. All staff members should enroll in infection control education and then appoint an Infection Control Specialist to maintain standards.

4. What Items Should Salon Owners Invest Into for Short Term and Long Term?
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Education, Education, Education. Pathogens can change, some become more dangerous. It is important to keep up to date on infection control standards and new disinfection technologies.

The Canadian Cosmetic Cluster is profiling Canadian cosmetic companies and how they are conducting their business during the time of COVID-19 Pandemic. 

Let us take a look at a famous Canadian contract manufacturer - Hunter Amenities. For over thirty-five years, Hunter Amenities has pioneered a remarkable array of superior personal care products growing into one of the world’s largest manufacturer of Guest Amenities. Ranging from distinctive hotel amenities to luxurious spa and retail collections, Hunter continues to be one of the world’s leading formulators and manufacturers. Hunter Amenities also offer a prominent selection of licensed, internationally recognized designer and cosmetic brands.

Hunter Amenities is currently producing its alcohol formula hand sanitizer in Colombia and alcohol-free formula hand sanitizer at their Canadian branch in Burlington, Ontario. Hunter has been conducting business in Colombia for the past 4 years. The Alcoholic sanitizer is produced with 100% of Colombian raw materials. Colombia is known for its fertile lands that produce exceptional quality raw materials. The manufacturing facility is a small eager company in the amenities arena wanted to work with Hunter Amenities. This is a prime example of the importance of global partnerships. They bring value and opportunity to businesses. Even with the COVID-19 situation, we must continue to work on a global scale. 
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Recently the Canadian Government underscored its commitment to supporting the international community to face this crisis that does not recognize borders and that can only be overcome through coordinated actions. The Canadian embassy in Colombia announced that it will donate $ 340,000 to the Ministry of Health and Social Protection, to support the program of that portfolio that answers concerns about Covid-19 through telephone channels and digital platforms. The funds will allow the hiring of 42 new telephone operators and telemedicine experts, who will provide information, advisory and counseling services, and will identify cases that require care in hospital centers.

The Canadian Cosmetic Cluster asked Hunter Amenities how they are helping the hotel industry and the airline industry with the reopening procedures. Their answer, the new Hunter Hand Sanitizer Kits. Hunter Amenities Vice President of Sales, David Price said the following, "Our PPE kits upon check-in will provide comfort to guests and keep them safe. Also, sanitizer personal size in the guest room is a great extra perk. Hunter is also expanding into wipes and masks to aid the returning workforce in hospitality."  Hunter is also working with airlines to support their sanitizer needs.  A Canadian company truly dedicated to helping the world with sanitization, in time of need. 

Regulation - First Step is to get the product notification complete. The following is from the Health Canada Program

Note that in order to be eligible for a Notification process, the product itself needs to be registered in a PIC/S or MRA country (e.g. FDA registration number for the product_NDC). In addition, the medicinal ingredients should be captured by the HC’ monograph for antiseptics. 
 
Also note that the foreign label should be used for product imported under the Notification stream and that the only adjustments allowed are:

• Addition of the importer name (imported by XXX)
• Translation if desired or if not in French or English)

 
The summary of the process below:
 
If you import a hand sanitizer containing ethanol or isopropanol (Natural Health Product), proceed as follows:
 

1. If the product has a recognized registration number
2. Submit a cover letter and a Site Licence Application to NNHPD using e-Post (consult the guide provided to obtain a company code and create an e-Post account).
3. When you have your Site Licence number, submit the filled level 2 Notification form to  [email protected] with the product label and the proof of registration in a PIC/S or MRA country.

 

1. If the product doesn’t have a recognized registration number, 
2. Submit the cover letter where you select “both product and site Licence Application” and theProduct Licence Application Web form using e-Post to NNHPD (consult the guide provided to obtain a company code and create an e-Post account).

 
In addition, please confirm on the Notification form that the grade of alcohol used in the product is pharmacopoeial or food grade. Consult the attached document "Interim guide on the production of ethanol for use in alcohol based hand sanitizers".
 
If the product is not imported but manufactured in Canada, a Site Licence and a Product Licence (NPN) are required.

Contract Manufacturing

Angel Cosmoceuticals
​Hunter Amenities 
BCM-Chem Products Inc.
Andre Labs
Organiko Labs
ICustom Pak Inc. 

Packaging

Not all Contract Manufacturers have access to bottles and caps. Here are resources to source your own. 

Containers and Packaging 
Mckernan
Ebottles
ABA Packaging
Qosmedix 

​Agenda 

• Health Canada and FDA temporary measures
• The marketing of hand sanitizers and disinfectants according to existing monographs in the US and Canada
• The stages of compliance and registration + deadlines
• Safety and efficacy testing & Good Manufacturing Practices (cGMPs)

Sanitizers and disinfectants in the context of a health crisis
In the current context of the COVID-19 pandemic, the global demand for hand sanitizers and disinfectants has risen sharply. Indeed, disinfecting hands and surfaces is a solution that can eliminate microorganisms including viruses and thus limit the spread of disease. 

Health Canada and the US Food and Drug Administration (FDA) issued several recommendations in order to increase the production of these hand sanitizers and disinfectants aiming at simplifying regulatory procedures and thus accelerate the placing on the market of these products. Nonetheless, these derogations remain temporary and still require country-specific compliance actions. 

In order to allow the greatest number of people to put this type of products on the market, we will present what derogations exist in Canada and in the United States.
 

Canada has been in lockdown for over a month. There have been many changes in the lives of every Canadian individual. We at the Canadian Cosmetic Cluster spent the past month talking to various companies from manufacturing plants to packaging companies and beauty salons. The media often paints a picture that is different from reality. It is much easier for bigger companies like L'oreal to turn around and adapt to situations like COVID-19. Smaller companies are not able to turn around as quickly and produce new products. It is a very difficult situation for many companies across all aspects of the supply chain. Here are important findings that we found like to address. 

1. The Collapse of Supply Chain - Packaging and raw materials are in shortage around the world. Some bigger companies are stockpiling and enabling it impossible for smaller companies to get access to stock. The waitlists are months long. This is impacting many smaller contract manufacturers.

Example #1: A Canadian contract manufacturing company in Toronto with the capacity to make 5 tonnes of liquid product and bottle filling per day. They have been unable to source bottles and caps. They can not take new clients because the pricing for raw material and packaging is changing daily. They can not have the same level of staff to work in factories. 

2. End of Small-Sized Cosmetic Companies - Companies have no funds to make products, source packaging, or materials. I predict start-ups will only succeed for essential items, technology, or complete innovation that can aid essential services. Many individuals have to have a more practical approach to cosmetic products. Many individuals are no longer working and do not have the money to spend on makeup or expensive skincare. There is a big problem with salons they are going to be having a difficult time. This biggest problem isn't the virus it is the effects of social distancing. 

Example # 1: A Salon in Toronto employs 18 individuals. This salon makes roughly $1 000 000 a year in profit before expenses. It will have to decrease its staff to have under new social distancing requirements. It is projected to make no more than a maximum of $600,000 a year under new regulations. It will be bankrupt by the end of 2021. The government is giving $40,000 in aid, $30,000 has to be returned within the year. 

Also, new companies have little opportunity to showcase their products to potential buyers as companies are consumed with COVID-19 tasks and preparations. 

3. Distrust in Organization and Government

The programs that were created to support small businesses are very slow. Fast track programs take up to 3-4 weeks to get approval. Many individuals have lost faith in government or large organizations. All expedited orders are not followed through all the way. There is a lack of organization - it just doesn't exist at all. 

Solutions?

The Canadian Cluster has been doing its best to provide connections for packaging, raw materials, and any inquiries within 24 hours. It has been difficult to see companies struggling. The importance of a strong supply chain is more important than ever and to make strong relations with other countries and to support each other. This is difficult. There is a growing hatred for international companies and international businesses. They blame globalization for the virus. Canada has become fractured. The Canadian Cluster is committed to support the supply chain and provide support to companies who need it. The has been in communication with a few company owners and we plan to lobby the government for more efficient systems of support. 

Let us hope that life will resume somewhat to normal standards shortly and we can continue to grow our industry with innovation and international collaboration.