Ebac entrepreneur plans new fridge-making plant

Jan 15 2009 by Peter McCusker, The Journal

MANUFACTURER John Elliott is still going strong after 50 years and says he wants to bring fridge-making back to the North East.

The chairman of Bishop Auckland water cooler and dehumidifying company Ebac, which is celebrating its half century in manufacturing industry this year, plans to open a new plant in the town.

The successful entrepreneur currently employs 220 people in his home town and says the new factory would create a further 80 jobs. There is only one other fridge maker in the UK, Hotpoint in the Midlands, and nearby fridge component manufacturer Parker Hannifin, of Crook, is closing with the loss of 185 jobs in June.

Mr Elliott said: “We have the ability and experience to make these new products in Bishop Auckland, which is good for the area and for the UK economy.

“With five decades’ experience in industry, I would say there has never been a greater need to roll our sleeves up and start making things instead of importing them from across the world.

“I know it is difficult to match these countries with low wage rates, but we can certainly compete on a value for money basis. We also have the innovation and technical excellence to offer the UK market better-designed products. Ebac has a proven track-record of making consumer products from the early 70s onwards and developing a fridge manufacturing operation is a sensible and positive development for the business.”

The company is currently in negotiations with Tesco to build a new supermarket on the site of its current factory, subject to planning consent, which will allow for the construction of the new domestic refrigerator manufacturing facility creating 80 jobs.

If planning is agreed, Ebac is aiming to have its new £7m production facility operational by 2010. The 220 workers at the existing unit will move to the new factory.

The company has identified three sites for its new factory in the Bishop Auckland area and will announce the successful choice when negotiations have been concluded within the next few weeks.

Self-taught refrigeration engineer Mr Elliott, 65, started the business in 1972. An electrician at a local factory, he met a builder whose firm wanted building dryers to ‘cure’ plaster. He found local suppliers for the parts he needed, bought the parts on credit and assembled 10 dryers in a poultry shed in his back garden. More orders followed and Ebac was born.

Mr Elliott said: “Despite many ups and downs, I have enjoyed a marvellous career in the manufacturing industry and worked with some very dedicated people. Together we have developed products, built an international business and provided much needed jobs.”