The Welsh Government has announced plans to build a new £2m factory in Welshpool for Zip Clip to facilitate the company’s expansion following a number of new contracts it has secured.
Zip-Clip, which is currently based in a 7,500 sq. ft. unit on Dyffryn Industrial Estate, Newtown, operates in a niche market manufacturing innovative suspension systems for all building services.
The company was launched in 2004 employing just three people and is now a global supplier, exporting to 22 countries with forecast sales set to double in volume and value by 2017, with jobs increasing from 32 to over 50 by 2017 and 70 by 2020.
A planning application has been lodged with Powys County Council to build the new 17,500 sq. ft. manufacturing plant – which includes 2,500sq.ft of offices – on a 1.75 acre site owned by the Welsh Government at the entrance to Offa’s Dyke Business Park.
The Welsh Government plans to lease the new factory to Zip Clip which is unable to expand its existing premises and has not been able to identify premises of the required quality and size in the area.
Economy Minister Edwina Hart said: “Zip Clip operates in one of our key sectors and the company’s planned expansion will have a significant impact on the local economy in terms of new jobs and expenditure by the company using local supply chains.
“The new facility, which is subject to planning approval, will ensure the expansion goes ahead in Wales and enable Zip Clip to meet the growing global demand for its products and create a significant number of new jobs in Mid Wales over the next five years.”
Zip Clip CEO Steve Goldsworthy says: “It’s thanks to the continued fantastic support from the Welsh Government that has enabled us to unlock the potential markets we trade in today. We have seen a growing global demand for our products and have secured a number of contracts with additional potential projects in the pipeline. We require larger premises to service those contracts and are very grateful for the help of the Welsh Government.”
Zip Clip recently secured a substantial new contract to supply a major European client which is driving the acceleration of their growth. Its products have also been approved for use in the £3.4 billion urban regeneration project in the centre of Qatar’s main city Doha.
The company also secured four clients in the GCC regions after attending the Big 5 Dubai event last year with the Welsh Government and will also be attending Big 5 in 2015 with Welsh Government. Zip-Clip is also in discussions with two new distributors in Japan to supply a full range of seismic products to the Tokyo Olympics in 2020
Zip-Clip’s expertise was used to design a bespoke wire suspension system to support the cable management systems during the construction of the 2012 Olympic main stadium and the iconic aquatics centre and was subsequently invited to take part in a UK trade mission to Japan this year to promote how UK companies could help facilitate the 2020 Olympics.
Officials and governing bodies of Tokyo 2020 are now organising a return visit for Zip-Clip later this year with the view of getting its product range certified and compliant with JIS (Japanese Industry Standards).