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Carrington Workwear signs JV with TMG Textiles
Mar '17
Courtesy: Carrington
Courtesy: Carrington
Carrington Workwear, one of the largest producers of workwear fabrics in the UK, has entered into a joint venture with the Portuguese textile manufacturer TMG-Acabamentos Texteis SA. The partnership will result in setting up of a new Portuguese company, MGC-Acabamentos Têxteis SA, with a capacity to manufacture 18 million metres of fabric per year.

Carrington has taken the step to expand its European production capacity as part of a wider investment strategy. The JV will expand Carrington's current production capacity in Europe to more than 50 million metres. This will also see £10m spent on a new research and development laboratory, machinery and infrastructure, at its Pincroft production facility in Lancashire, UK, over the next two years.

The partnership will benefit from Carrington's management and technical expertise and TMG's local infrastructure and support network.

"TMG is an obvious choice of partner for us given its long textile tradition, our excellent relationship and history of working together. Although we had been evaluating the possibility of cementing our relationship with TMG for some time, the UK's decision to leave the EU has now made this move strategically advantageous for the future," said John Vareldzis, managing director at Carrington. "We look forward to the commencement of the new venture, where we will be able to enhance the current production capacity and technical capabilities. This new investment will perfectly complement further enhancements to our existing manufacturing capabilities at Pincroft, which will continue to be our main production site," he added.

"This partnership is the culmination of more than 15 years of working closely with Carrington. This is fantastic news for our customers as it will greatly improve our manufacturing competitiveness. The input from Carrington, their expertise and experience, will also provide a major boost in the development and production of future products. It is a decision that will benefit everybody concerned," said Manuel Gonçalves, executive board director at TMG. (RR)

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