Major Indian export contract sparks growth for engineering firm

COMPACT Engineering, which specialises in energy efficient solutions for the pulp and paper sector, is gearing up for expansion after landing a major exporting contract to India.

The deal, supported by the Government body UK Export Finance (UKEF) and follows funding of more than £470,000 from Santander Corporate & Commercial, will see the Thirsk-based firm triple the number of staff it employs to cater for the uplift in demand.

Established in 1986, Compact Engineering was the first company to combine infrared heat transfer with the known mass transfer benefits of hot air.

The only company to manufacture its own infrared lamps to guarantee high heat transfer efficiency, Compact Engineering also supplies its award-winning technology to the plastics and glass industries.

Over the years, the family run company has won a number of international awards for product and process innovation.

The latest deal, supported by trade finance facilities from Santander Corporate & Commercial and UKEF, is a major contract in India with Emami Paper Mills, one of the largest newsprint and paper groups in the country. After this initial contract is delivered, Compact Engineering will become a preferred supplier for future contracts.

David Klemz, managing director at Compact Engineering, said: “This new contract with India’s Emami Paper Mills is testament to the hard work and dedication of the team in Thirsk. It is an exciting time for the business, and our expansion plans will help us fulfil the strong demand for our hi-tech solutions and support the future growth of the business.”

Richard Shuter, relationship director for Santander Corporate & Commercial, said: “We are delighted to be supporting Compact Engineering with its plans to grow overseas. This is an exciting development for the business, with further contracts expected from this key new relationship in India. Export-led growth is a huge opportunity for many businesses in the UK and Santander has a dedicated International team which supports UK companies looking to maximise international trade opportunities.”

Jonathan Leonard, senior export finance adviser at UK Export Finance, said: “UK Export Finance was a vital cog in ensuring Compact Engineering was able to secure the funding it needed and I believe it can now capitalise on further opportunities that exist in the market place.”