Packaging provider to benefit from £2m investment
Thermoformed packaging product provider DMD 2000 is to continue its expansion following a new £2 million investment.
Aberdeen-based DMD 2000 is currently in phase four of a five-year investment plan, according to managing director Fred McKechnie. It supplies products including open collation trays and hinged lid trays, in volumes from single boxes to pallets or even container-loads.
The company was established in its current form as a result of a management buyout by McKechnie, who has 44 years of experience in the bakery trade. He has been involved in manufacturing for 28 years, the last 17 of which have been at DMD 2000.
DMD has already invested £1.5 million in property expansion and machinery, and, as a result, it has increased its property footprint from 16,000 sq ft to 26,000 sq ft. A further £500,000 investment in additional manufacturing machinery is now budgeted for this year.
To aid and speed up new product development (NPD), the latest investment will pay for a second high-spec CNC (computer numerical control) machine, which has already been commissioned.
The money will also be invested in more fully automatic in-line, cut and stack machinery, which will mean more stock is available for next-day delivery.
The company currently has a UK-wide customer base, but has an eye on exporting to Europe “in the foreseeable future”, according to McKechnie.
Last year, the company enjoyed a 10% increase in annual sales figures, despite what McKechnie described as “very hard” trading conditions.
However, he said planned controlled growth every five years has kept the company’s feet firmly on the ground and helped establish the firm as “a strong competitor in the market”.
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