US firm WestPoint Home (WPH) has announced it is investing $9 million in its Bahrain manufacturing complex for its third spinning capacity expansion.
The announcement follows a meeting of the company’s top management with Industry, Commerce and Tourism Minister Zayed Al Zayani to discuss how WPH will mitigate the impact of the potential expiration of the Tariff Preference Level (TPL) that allows duty free access on textile exports from Bahrain to the US.
The meeting was facilitated by the American Chamber of Commerce Bahrain (AmCham). In a statement, president and chief executive Norman Savaria said the third phase expansion project will increase spinning capacity by 38 per cent. “Spinning more yarn in Bahrain will decrease lead times, increase flexibility and will, along with other initiatives, help to mitigate the impact of the anticipated tariff preference level expiration mid next year and will allow the company to continue to import Bahrain-manufactured textile products into the US duty-free,” he said. By the end of the project, the company said it would have invested more than $25m on its expansion of capacity, capabilities and environmental projects over the past three years.
This includes additional weaving, the spinning projects, expansion of manual and automatic sewing and embroidery capacity. “Giving WestPoint Home confidence to continue to build its manufacturing base in Bahrain as well as boost imports to the US by15pc last year alone has stemmed largely from the support that we have been provided from various Bahraini ministries as we conduct our business activities and implement these expansion projects and hire and train both foreign and local employees,” he added.
Mr Savaria said the firm’s exports from Bahrain to the US had increased by15pc just last year. WestPoint Home manufactures and sells products globally to leading retail and hospitality customers under popular owned brands including Martex, Vellux, Grand Patrician, Patrician, Luxor, Utica, Modern Living and Nostalgia. Under licensing agreements, the company produces and distributes products under the brands Rachel Ashwell, Southern Tide, Izod, Jill Rosenwald, Collier Campbell, Portico, Under the Canopy, Amy Sia, Bini Chic, Dena Home and Haute Girls, Downtown Abbey, Kathy Davis and Shell Rummel.
