Managing director Jon Olley said the move was the result of changes in the company’s client base, including company closures and the fact that a number of firms have taken laminating in-house by putting their own kit in.
“The client base doesn’t warrant having two factories anymore,” he explained. “We can consolidate our laminating and varnishing services at Harleston. The two facilities were only 30 miles apart anyway, so this is a sensible and cost-effective way forward.”
The company will close its smaller Bury St Edmunds site as a result, with the loss of eight jobs. Sales and transport manager Marvin Coe will transfer to Harleston.
The 1,160sqm Harleston facility employs 20 people under factory manager Dean Ames.
Olley also plans to expand the range of services offered at Harleston and is in the midst of evaluating the digital spot UV coating systems from Autobond, Scodix, MGI and Komfi.
“That will be something completely new as a trade service,” he added. “Our finance director Mone Sharma is looking at the financial return on investment and we’re talking to major customers about this offering.”
Coatings Direct’s clients include major book and magazine printers. It had sales of just under £3m last year.