A Hull manufacturer is investing back into the business after securing a healthy order book well into 2023.
Domestic and overseas work has blossomed for Paragon Toolmaking this year, leading to a significant investment in a new computer numerical controlled coordinate measuring machine, with further additions to follow.
Despite priding itself on investing in the latest machining and training to develop high skilled operators, general manager Kevin Batty said such spending on new equipment had been off the agenda in recent times, as the market dipped in the wake of the Covid-19 pandemic.
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“Much of the success at Paragon over the years has been down to our continued investment into the latest technology and machinery, alongside the expertise of our team who are able to maintain our facilities and machinery to the highest standards,” he said.
“We’ve been planning investment into new machinery for some time, but you have to run a business in relation to the market conditions and obviously manufacturers have had to react to a quieter market over the past couple of years. We’ve had business come in from both new and returning customers, and our order book is split between UK and overseas orders, which is a healthy position for us.”
Paragon, bought out in late 2020, has more than five decades of experience and is able to manufacture bespoke items, jigs, machinery and equipment up to 10 tonnes in weight, serving industries from aerospace and automotive to construction, medical, food, pharmaceuticals and white goods.
It is relied upon by many SMEs and big-name global organisations, with parts manufactured by its tools used by the likes of Rolls Royce, Land Rover, Siemens, Aston Martin, National Avenue neighbour Ideal Heating and fellow city firm Swift Group.
Mr Batty believes the market is still readjusting to the impact on pricing following the pandemic and Brexit, something which has required ‘honest conversations’ with both suppliers and customers.
“We’ve found our prices for materials have risen sharply over the past 18 months,” he said. “Our costs have risen and that of course has an impact for our customers, who we have previously quoted for jobs in recent, but very different times. It’s something we’ve all had to overcome in the industry.
“We are finding there is a real understanding of that now though, and those customers have come back to us as their businesses have picked up again. We’re in a really positive position at present.”
One of the recent contracts secured is with a long-standing engineering specialist customer, based in Lancashire, which has placed orders for tools to be shipped to America and China, as well as within the UK.
“This business is a really good customer of ours who comes back to us time and again,” said Mr Batty.“We have worked on dozens of tools for them over the years and that shows their confidence in our ability to deliver the high quality product they require.
“We pride ourselves on retaining customers through our excellent customer service, as part of our Paragon Promise to always provide industry-leading products, British engineering excellence and complete customer support.”
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