New clothing manufacturer plans to create 20 new jobs in Bonavista

A Bonavista apparel company hopes to hire up to 20 people to sew garments. Kelly�s Apparel Limited, which at present has four employees, has received $19,840 from the Department of Development and Rural Renewal�s Business and Market Development Program, and is also contributing a matching amount of its own. The funding will be used to engage a consultant and the Manitoba Fashion Institute to undertake a technical review of the company to increase its productivity and production line.

"The Newfoundland and Labrador apparel industry employs 1,000 people and generates close to $30 million a year, of which 90 per cent is in export sales," said Ernie McLean, Minister of Development and Rural Renewal (Acting). "I am pleased we are able to assist Kelly�s Apparel to create new jobs in rural Newfoundland and Labrador."

A recently published study into the apparel industry called Common Threads, funded in part by the Department of Development and Rural Renewal, indicates that to remain competitive internationally and to expand production, local apparel manufacturers need to embrace new technologies and gain new skills. The planned technical review for Kelly�s Apparel will include plant layout, new equipment specifications and production scheduling and costing. The program also includes six weeks training for 15 new employees. The Manitoba Fashion Institute, who are leaders in the national apparel industry, will oversee the training.

The Department of Development and Rural Renewal Business and Market Development Program is designed to provide new entrepreneurs and expanding small businesses with funding to help them acquire the expertise to pursue new business ideas and new markets for their products and services.

Media contact: Clifford Grinling, (709) 729-7066.

2000 12 20 4:10 p.m.