Expansion in Estonia boosts Trendsetter's revenue21.05.2012, 10:17
The British beddings producer Trendsetter Home Furnishings added 22% of revenue last year mainly due to the launch of the GBP 1.7m expansion in its Estonian production unit in Haljala near Rakvere.
Now the Estonian plant's output comprises 70% of the company's total production.
"Our revenue grew 22% last year and a majority of it came from the expansion of the Estonian plant," says Claire Black, managing director of Trendsetter.
"We installed an additional production line in Estonia, which doubled the production capacity of the plant."
The additional production line not only added output but also increased the efficiency of the Haljala plant.
Mainly due to the Estonian operations, Trendsetter's turnover rose to GBP 13.8m year-on-year in 2011, with profits increasing by 68%.
Family-owned Trendsetter, headquartered in Trafford Park, Greater Manchester area, UK, manufactures duvets, pillows, mattress protectors and memory foam products and sells them under the brand of The Fine Bedding Company.
"The majority is still sold in the UK, but our exports are growing. We sell in France, Scandinavia and Eastern Europe; also in Estonia, but not much," Black says.
According to Black, the Haljala plant now manufactures most of the microfibre products of Trendsetter.
Yet, the company plans to expand the Haljala plant's capacity even more by installing additional equipment this year.
"I'm afraid I can only tell the size of the investment next year," she adds. Trendsetter established its unit named Baltic Fibres in Estonia in 2000. In 2010, it turned over EUR 7.5m and employed 78, according to the most recent public yearly report.
"Originally, we came to Estonia due to the lower import and export duties as well as because the labour conditions are more advantegous compared to the UK," says Black. "Now, however, it is more than just that. We have an established and experienced team in the Estonian plant, and very good production quality."