Blundstone opts for cheaper Asian production facilities

19/01/2007

Australia-based
manufacturer of heavy-duty work and protective safety footwear Blundstone Pty. Ltd. has announced plans to shut down its factory in Tasmania in favour of more cost-effective units in India and Thailand. Production costs are said to represent approximately 20% in these countries compared with those the company is currently incurring in Australia. 360 jobs are likely to be affected by the move.

The company has been in operation since 1870 and services markets in Australia, New Zealand, Asia, Europe, North America and Scandinavia. It is one of a small number of footwear manufacturing companies with its own tannery, which was built in 1830. The tannery operation was the pilot development for a CSIRO tanning methodology, based on the recovery and recycling of chemicals.