AN AUSTRALIAN-OWNED business that manufactures specialist metal fencing panels for the residential market is opening a manufacturing and sales base in Newport creating 17 new jobs.

Climar Industries Ltd, which is wholly owned by Climar Industries Australia, manufactures the panels under an agreement with Lysaghts in Australia, which is the country’s main supplier.

Climar Industries Ltd is reaching full capacity at its manufacturing base in Gloucester and funding support of £150,000 from the Welsh Government encouraged the company to open an additional manufacturing facility in Newport. It has now taken on two units at Queensway Meadows Industrial Estate.

The company had considered importing ready-made panels from Australia to meet the growing demand from its rapidly expanding franchise network, which supplies and fits the fencing throughout the UK. There are currently 42 franchisees across the UK with a combined annual turnover of £3.5m with more set to join the network this year.

Economy Minister Edwina Hart said: “I am delighted to welcome this inward investment from Australia and pleased that support from the Welsh Government helped secure the project for Newport.

“There is no equivalent steel product on the market, which offers significant opportunities for future growth. It is not only creating jobs in Newport but has the potential to create more employment opportunities through its franchise operation and I wish the company every success for the future.”

The lightweight but extremely strong and durable metal fencing panels account for more than 40 per cent of the domestic market in Australia and are made from Zincalume® high tensile steel, which is not made in the UK or Europe

The company currently produces 1,800 panels a month, which is forecast to double over the next two years with longer term plans to sell into Europe.

MD Mark Stewart-Woods said: “The panels we produce are unique in the UK and becoming increasingly popular because they do not rot, warp or deteriorate and can last up to 50 years, which compares favourably with soft wood fencing that has a life span of five to ten years and needs regular maintenance and repair.

“Our franchise operation is expanding rapidly, which in turn is driving our growth as each installation helps promote the product and creates additional demand.

“I am also delighted that thanks to support from the Welsh Government we will be making them in Newport, which has an historical connection to Lysaght’s in Australia, which was established by the same family company that built the Orb Ironworks in Newport. In a sense the product has come full circle.”

The fence panels come in a range of colours with decorative features including trellises. Other potential uses for this type of fencing include highways and the rail sector.