Manufacturing News

New $5m Innovation Centre for SA manufacturer

ELECTRONICS manufacturing company Redarc has recently moved into a new $5 million, high technology Innovation Centre at Lonsdale, South Australia.

The site consists of 2,000 square meters of purpose-built ‘clean and green’ headquarters as it ramps up mining-associated production and eyes export markets for its supply power conversion products for the global trucking and automotive markets.

A grant from the Structural Adjustment Fund of South Australia (SAFSA) for $1.6m helped make the development possible.

Managing Director Anthony Kittel says the company he and his wife Michele purchased in 1997 with eight employees and a turnover of less than $1 million, now employs more than 40 people and has a turnover of approximately $7 million.

Kittel’s plans for the company include a target to have 68 employees and a turnover of $12 million by 2012.

“South Australia is a great base for us — not only because it’s a great place to live but because we can see that the rapid expansion of mineral exploration will result in a lot of new mines,” he said.

“That means a lot more trucks — and a lot more demand for our products.”

The company’s range of products include electronic voltage converters, power supplies and battery chargers for use in the agricultural, communication, industrial, marine, mining, medical, defence, recreation and solar industries.

Kittel said they had outgrown the existing premises and that the new centre will support the company’s growth and expansion over the next 20 years.

“We made a strategic decision to bring all elements of our business under one roof,” he said.

“That means we can now research, design, develop and manufacture our products in Adelaide, keeping total control over all processes.

“That gives us a powerful advantage over our competitors in the power conversion market.

About 5% of the company’s products are currently sold overseas to the trucking industry in Canada, the Middle East, New Zealand and the US — and exports are now set to soar.

Future growth markets include the mining, defence and medical sectors.

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