The launch of Reshore UK, a UKTI and Manufacturing Advisory Service (MAS) one-stop-shop service to help companies bring production back to the UK, has been welcomed by south east company Rapanui Clothing – an example of a manufacturer bringing back production and creating new jobs in the UK.
UK companies are increasingly looking to reshore manufacturing, textiles, software production and call centre work to the UK instead of outsourcing overseas. This is due to the combination of a strong and stable economy, competitive corporate tax rates, a good regulatory environment, strong legal frameworks and a dynamic labour market. UKTI has identified 1,500 manufacturing jobs reshored in the UK since 2011 and a MAS survey shows companies citing costs, quality and reducing lead times as the top three reasons for moving production.
Rapanui, based on the Isle of Wight, make fashion clothing for men and women from organic, natural fabrics in ethically accredited factories that are powered by wind and solar energy. Its clothing range is currently sourced from India.
Since Rapanui was established in 2008, the brand has won numerous awards for its work towards improving the communication and sustainability of the clothing industry and it has developed a new, but simple eco-labelling system to make it easy for consumers to shop quickly with a conscience.
Like other manufacturers, Rapanui wanted greater control around quality and production flexibility. Availability of product was limiting their expansion plans, so it took the decision to invest nearly £100,000 in a new screen printing production facility in Cowes, which will open in March.
As Rob Drake-Knight, co-founder explained, “Reshoring some of our production makes good business sense. Our raw material, cotton will still be sourced in India but we plan to cut and make here and do as much printing, embroidery and finishing of the garments the UK. This will improve availability of product from 80% currently to nearer 100%.
“In addition to this, we are a social enterprise that is passionate about creating more local jobs and providing opportunities for young people. Over the next three years we plan to grow from ten staff to 22 – at least half of the new jobs will be in production.
“Another job creating opportunity is in our start-up incubation area. Rapanui donates five percent of our floor space free to start-up businesses – they get an office, heating, light, electricity, wifi, phone, rent, rates advice and contacts. Three successful start-ups have spun out of our incubation area in the last 18 months. One of them, Wight Computers, now supplies all our server equipment.”
Reshore UK will provide a matching and location service, access to advice and support and a named advisor to help each company. MAS’ role is to help support small and medium sized businesses to be globally competitive and to ensure there is capacity in the UK supply chain to take advantage of the reshoring opportunities. UKTI will use its global networks to attract foreign companies to invest.
Steven Barr, head of the Manufacturing Advisory Service (MAS), said, “Reshoring is a huge opportunity for UK manufacturers and we are delighted to be working in partnership with UKTI to give both domestic and international firms access to this one-stop service. Our expert advisors working on the ground will continue to ensure firms offer world class manufacturing performance and have the capacity in place to take advantage of larger companies bringing production home.”
