Export demand increases hope among manufacturers

MANY Yorkshire manufacturers expect to increase sales and jobs this year on the back of strong demand from countries such as India and China, according to new research.

Manufacturing SMEs (small and medium-sized enterprises) in Yorkshire and the Humber are bucking sluggish growth forecasts. More than half of Yorkshire-based respondents (53 per cent) to the first Manufacturing Advisory Service (MAS) National Barometer had seen turnover rise in the last six months, with 61 per cent expecting further growth between now and the end of the year.

The quarterly survey also revealed that 49 per cent of companies are planning to take on staff in the coming year, with another 41 per cent expecting employee numbers to remain the same, as the level of new business enquiries holds strong.

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Martin Coats, MAS Area Director for the East, said: “This is the clearest indication yet that our manufacturers are enjoying increases in sales and, reassuringly, they expect this trend to continue. Investment by the major original equipment manufacturers and interest from overseas companies to source from England has helped facilitate demand.”

He added: “The barometer includes the views of manufacturers from all sectors and, against the backdrop of improvements in turnover, is showing a renewed commitment to create new jobs.”

Heights (UK), which employs 120 people and has a £10m turnover at its manufacturing plant in Halifax, was one of the companies questioned. The company designs, manufactures and supplies plate processers and associated equipment to the graphic arts industry.

Gary Jones, the company’s chairman, said: “The barometer reinforces what we are seeing in our own business and across other suppliers and partners. We have seen exceptional growth in exports, with nearly 95 per cent of all our products now distributed across the world, including Europe, India, South America and even Central Africa.

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“In addition to our Halifax factory, we have set-up small manufacturing support bases in New Jersey and China, with the possibility of doing something similar in Brazil.

“The next two years will be extremely exciting for Heights. We’re embarking on a significant research and development programme, and anticipate taking on 40 new staff by 2014.”

Altogether, 610 SMEs across the UK were polled as part of the survey, including 76 in Yorkshire and the Humber.