Sandwell based Baylis Automotive wins £35m supply contract
From left: Raj Desai managing director, Baylis Automotive, with Tony Poyner sales director and John S Lucas, director
A SMETHWICK engineering company has secured a massive contract worth more than £35m to supply high-level assemblies to the global automotive industry.
Baylis Automotive said the work would be carried out over the next seven years and would almost double the firm’s turnover to around £14.5m per annum from 2014.
Baylis, which supplies OEMs and tier one firms around the globe, is collaborating with its worldwide clients to develop products designed to reduce air pollution emissions from trucks and commercial vehicles.
New European regulations come into force at the end of next year which will require all vehicles to comply with new and stringent emission levels.
Baylis has been working on the project over the last two years. The spadework has ensured the firm is now in a position to capitalise on the future work.
Raj Desai, managing director, said: “The business turnover will almost double from its current £7.5m per annum to around £14.5m from 2014 and onwards.
“This includes other business wins, which have already been secured.”
The contract secures employment for the firm’s existing 120-strong workforce and will help create new jobs during the lifetime of the contract and beyond.
The firm is also investing in re-training its workforce, together with new plant and equipment. It will also implement a double shift pattern.
The extra work will require expansion of the firm’s manufacturing facility. The site has already expanded from 42,000 sq ft to 55,000 sq ft during the last six months.
It is expected that a further 15,000 sq ft will be added during the coming months.
The firm has already spent £300,000 on the operation and a further £250,000 has been set aside for additional measures.
“I am absolutely delighted with the win and it’s a real credit to the already committed workforce, which have helped the business set new quality standards and make a contribution to the environment,” added Mr Desai.
