Sausage skin firm Devro to expand market into Germany
A manufacturer of sausage skins is to expand its production capacity to target exports at the German market.
Devro is spending £12m on its Bellshill plant this year, to install new, faster, production lines.
The firm already employs 480 people between its two central Scotland sites. The move could lead to more jobs.
The company has a leading role in the production of collagen-based food casings, which have been gaining market share from more traditional gut skins.
A new product line is suitable for the different type of sausages favoured by Germans, such as frankfurters, which can be smoked or boiled rather than fried.
Devro, which is based in Moodiesburn, Lanarkshire, also manufactures in the Czech Republic, the United States and Australia, from which it exports to 50 countries.
It has seen growth in recent years linked to rising prosperity in emerging markets increasing the demand for meat.
The company's profits in 2010 rose by more than 44% to £36.3m.
Alan Kilpatrick, managing director of Devro Scotland said: "The investment is a great boost for everyone at the Bellshill factory which is a prominent employer in the area."
He said work on the installation of the new production lines should complete by the end of 2011.
"We look forward to working even more closely with our customers, offering an enhanced product range as a result of our improved manufacturing capability."