The Bottom Line: An Update from our MD Nigel Bottom

Uncertain Waters Ahead But Witham Steers a Steady Course

As our 105-year old business moves rapidly into the second quarter of 2026, all our plans which were forged between ourselves and our customers are in full swing. However, one conversation we could not have predicted, was the geopolitical situation in the Middle East, which is currently causing, what is considered to be “the largest disruption to global crude oil supply in history.” This situation has resulted in significant increases in crude oil prices, following refinery shutdowns and other enforced closures.

As a direct result, the lubricants industry as a whole is experiencing substantial supply chain disruption and cost inflation, exceeding that seen in many other sectors. These pressures include:

• Higher base oil costs, as it is derived from crude oil

• Increased additive (technology) costs due to interruptions in feedstock availability and reduced component production

To put this in perspective, the cost of an oil tanker of base oil being delivered to us has risen in the past month by over 85 – 90%. In addition, we have also experienced considerable rises in packaging costs, as the prices of plastics and steel continue to increase in line with higher energy and feedstock costs.

As one of the UK’s largest independent lubricant manufacturers, we remain well positioned to maintain the supply of our high-quality products for our existing customers, throughout this period of volatility. We are fortunate to have:

• Strong stock levels

• Lasting relationships with our suppliers

• Forward contracts for product in place

These factors ensure we continue to provide all our customers with the highest quality products, dependable service, and consistent product availability, even within this highly volatile global market.

Thank you to all our valued customers for your continued understanding and support through this exceedingly tough time. We will keep everyone informed of any changes through our usual communication channels.

Previous to all the challenges and focusing on the future, we are spending even more time engaging with our customers, and work in the community, which you will all see within this Witham Oily Rag.

I know I have mentioned before that our business now regularly sends products to all parts of the UK and Ireland, North, South, East and West, and a customer base ranging from:

• Manufacturers of staircases and doors for the building industry using our WOCO Paints

• Our Qualube Lubricants offering protection to wire ropes used on cranes and winches on wind turbines out in the North Sea and further afield

It is staggering where our products are used, from more conventional Haulage Companies, Plant Operators, Royal Estates, Marine Supply Companies, Farms, Agri-Contractors, to unique Horse Studs where our Anti-Bacterial Paints are used to combat the spread of harmful diseases to the animals. It is fascinating to work with all of them, seeing the amazing skills and innovations our customers are working on and ensuring we offer the correct products for the correct application at all times.

As the shortage of some materials becomes more prevalent, we continue to inform our customers, both old and new about the importance of ensuring their lubricants carry an approved Candidate Data Package. Without such approval, the product being offered will not have been tested in real-life scenarios, so it is very much buyer beware. All Qualube and Witham products are backed by our trusted technology providers with CDP on request. Another reason to reassure you that our products really do meet the highest of standards from the OEMs.

It has been a busy time with many visits to the Factory HQ at Lincoln, plus a number of other presentations being given nationally on all manner of subjects. I was proud to be asked to be a headline speaker at the recent Woldmarsh Agricultural Buying Group Suppliers Conference, where over 300 suppliers, representing over 90% of their purchases, came to a Conference organised by Woldmarsh to hear all about their plans. My subject to speak about was our 50 year plus relationship we have had with Woldmarsh and how we started with our first order to now providing over 90% of their purchases for Lubricants. A remarkably interesting day with other key suppliers offering their knowledge to a fascinating business.

By Royal Appointment

I am now halfway through my Presidential Year and part of this year, I hosted a weekend for all the Sandringham Association Members. With a lot of planning, and support from my wife Ali, we were honoured to host our weekend at Royal Sandringham Estate in Norfolk, with a full tour of the Estate in the daytime and a gala Banquet Dinner held in the Ballroom, by kind permission of His Royal Highness The King. It was a super special event, and one which will never ever be forgotten.

I was proud to be able to talk about Witham Group and our Team, in between many other speakers, including:

• The Land Agent for Sandringham, Mr Edward Parsons

• Our longtime customer and friend David Wilson, of Earthtime Farming (ex: HRH Duchy Estate Farm Manager) who led a fascinating talk on sustainability, the environment and organic farming within the UK.

My Presidential Year of the Royal Warrant Holders Association of Sandringham, is super interesting and keeping me busy in equal measure.

I have been fortunate to attend several other Association events in my capacity, including other company tours and dinners in Edinburgh, Windsor, and London so far, meeting many other incredible businesses and personalities within the organisation.

I was also asked to represent our Association at a Tree Planting ceremony at HRH The King’s private residence, Park House, Sandringham meeting the Head Gardener and his Team, and whilst there, selling them some Witham Prolan for their garden sheers and Qualube TFR to clean the green off the royal patio!!

NEVER TOO OLD TO LEARN

It is important to keep our minds open to all new things and keep on challenging ourselves to learn. As the great Henry Ford once said:

“Anyone who stops learning is old, whether at twenty or eighty. Anyone who keeps learning stays young.”

Our teams at Lincoln and Soham have been taking part in some new training days and have many others planned this year, from Technical Lubricant Training to Paint & Colour Training along with other operational topics. It is great to see our Team attend these courses to support and improve their knowledge in a variety of subjects.

Looking back, it was great to get the Witham Team, our suppliers, friends and supporters of our business together at our early 2026 Dinner Dance and charity fundraising event. Our fantastic Witham Group Team all assembled with their partners for a fine mixture of tasty food, drinks, games, plus lots of money being raised for our chosen charities. A big thank you once again to Ali and the Team who arranged and organised such an amazing evening, all based about the Witham Core Values we have held “From the Very Beginning” with a fun Prehistoric theme.

Congratulations also to Team members for their incredible long service awards:

• John Jones

• Dave Lagden

• Ali Bottom

• Chrissie Hallam

Collectively they have given 120 years of service to the Witham Group!

As we look towards the year ahead, I would like to thank you, our customers for all your continued support and in such a difficult and challenging time, please be assured we are here to support you and work together to help you with all your business needs. It is always a great personal pleasure of mine to see and meet up with our customers.

Please stay connected with us, the Witham community has survived 105 years through many challenges so far and we won’t let the latest geopolitical situation stop us now. We remain very grateful for your continued business and promise in return to give you our very best service.

I hope you enjoy reading about everything else that has been going on at Witham Group in this edition of the Witham Oily Rag and if you would like to discuss anything with me or the Witham Team, please do not hesitate to get in touch.

Thank you and kindest regards,

Nigel R Bottom – Group MD