27 Aug 2010

Manufacturing contract returns to NZ

4:15 pm on 27 August 2010

Auckland-based electronics company Endace has moved its manufacturing base back to New Zealand after 10 years of having its products made in Asia.

Endace makes electronic security devices for computers and until recently had contracted firms in Asia to manufacture its wares.

It announced on Friday that it has shifted that part of its business to a contracting firm in Christchurch.

Chairman Ian Graham says the decision is not a patriotic one but is based on the bottom line.

He says it is cost effective to have the work done in this country rather than overseas. Labour costs are not dissimilar and his company saves thousands of dollars in travel to Asia to monitor production.

Mr Graham is suggesting other companies should also consider making a similar move.

Prime Minister John Key says he is pleased to see a company bucking the trend by contracting to a New Zealand firm.

Christchurch electronics firm GPC won the Endace contract and has already employed 10 people to cover the additional work.