It has been reported in various sources that Symingtons, makers of Pot Noodle are to open a factory in Yorkshire to manufacture noodles for use in Pot Noodle which are currently manufactured by 2 chinese suppliers. In the process creating 50 jobs.
In recent months I have started to notice a trickle of manufacturing coming back to the UK from China.
Rampant wage inflation and rising oil prices are all being cited as removing the cost advantage of offshore manufacture.
I would suggest a number of other advantages including;
reduction in supply chain risk
supply chain auditing cost savings
food safety risks reduced
supplier monitoring & QA checks reduction
likely to be less non-conforming product
less need to worry about ethical compliance and the brand protection risks
It would be interesting to see the weightings applied to the above variables in the cost/benefit decision on returning production to the UK.
Well done Symingtons, and may the trickle become a flood of manufacturing returning to the UK.