Exports to India have taken on a new significance for Carpenter & Paterson in the last 2 years. This boost in business is in large part thanks to the company winning 49 contracts with a single client, Reliance India, with the support of UK Export Finance (UKEF).
UKEF financing creates opportunities for UK companies
In 2016, we provided Reliance India with a £300 million line of credit to help fund construction work on its refinery in Jamnagar. Financing was provided on the condition that Reliance sourced goods and work on the project from the UK, resulting in over 100 contracts being awarded to companies like Carpenter & Paterson.
Jon Boyce, Senior Export Finance Manager for UK Export Finance, said:
We know there is a high demand for quality UK goods and services in other countries, and as part of the Department for International Trade, UKEF is here to make sure UK companies can make the most of these opportunities.
That’s why we can offer competitive financing for overseas buyers to help them access the UK expertise they want, as well as helping UK companies realise the full benefits of trading on an international scale.
Job creation and revenue growth
As a result of our backing for the project, Carpenter & Paterson secured over US$9 million in revenue over 2 years, helping to support dozens of Welsh jobs. Thanks to this success and the continued growth in demand for its products across Asia, the company has now established new manufacturing bases in India and Thailand.
The UK HQ in Welshpool continues to provide all technical support, management and financing to the Asia subsidiaries, and supplies the more complex ‘engineered’ products.
Jonathan Lee, Managing Director for Carpenter & Paterson, said:
The Reliance Project for Jamnagar 3 was the largest single project we’ve ever taken on as a company. The business we won with Reliance resulted in an increase of more than 50% in our revenue, which may not have happened without UKEF’s involvement.
This was a great opportunity for us, and with the additional knowledge that UKEF financing is also available to us as a UK exporter if we need it, we can have the confidence to be even more ambitious with our plans to boost our overseas business in the near future.
About Carpenter & Paterson
Based in Welshpool, Powys, Carpenter & Paterson has been manufacturing specialist pipe suspension equipment for over 60 years. With most of its customers in the oil, gas and power generation industry, overseas sales account for a significant 75% of its business, including in South East Asia.