Chester Company Expands

A marine equipment company is about to begin the final stage of building a new manufacturing plant in Chester, Lunenburg Co.

Hawboldt Industries (1989) Ltd. will use the 3,700-square-metre (40,000-square-foot) plant and new equipment to expand its product line and improve efficiency.

The $3.5-million expansion is expected to create 10 jobs at the plant by the end of this year and generate extra earning opportunities for the company's 36 current employees.

"Recent marketing initiatives in the United States are beginning to show promise," said Hawboldt president Lee DeWolfe. "Our new plant will be a valuable tool, enabling us to build this new business and enter new markets. Because of the plant, we'll soon be able to make quality improvements to our products and reduce costs."

Hawboldt manufactures winch systems and other mechanical and hydraulic marine equipment. Traditional markets for the company's products, which had softened in recent years with the downturn in the fishery, are now growing, especially in Newfoundland where the shrimp fishery is taking off.

Economic Development and Tourism is lending Hawboldt $2.7 million to help build and equip the new plant.

"This is an investment in a solid Nova Scotia company that's providing work for rural Nova Scotians," said Manning MacDonald, Minister of Economic Development and Tourism. "Our loan will help the company become more competitive and create new jobs at the same time."

The new plant is expected to open in the summer.

Economic Development and Tourism provides business counselling, export assistance and financial support to more than 900 Nova Scotia companies, 80 per cent of which are in rural areas. These companies generate more than $2.5 billion in sales and $110 million in provincial tax revenues each year.