Exporting companies case study   

Long link with Cairo a byword for Byworth - Byworth Boilers

A leading manufacturing company sells a good proportion of its exported boilers to Egypt as part of an ongoing relationship with a Cairo-based agent going back 40 years. In fact Egypt accounts for a third of all export sales for Byworth Boilers Ltd.

The firm has had a long-standing and highly successful relationship with Egypt via a man who was friends with the firm’s original founder Dennis Baldwin. It has led to ongoing business worth £500,000 a year.

“There has to be a lot of trust on their part and our part,” says contracts co-ordinator Steve Dole. “The agent comes over to see us twice a year. We also have representatives going over to Egypt.

“He has a free rein to market our products as he sees fit. We’re here to promote the relationship and when dealing with Egypt relationships are the key.”

The 85-strong West Yorkshire company, which has an annual turnover of around £7.5 million, supplies boilers mainly to the food production, pharmaceutical and textile industries. It has just completed a major Egyptian order for Kraft Foods in Cairo. It has also supplied the Egyptian government and the military.

A significant slice of Egyptian business is with ancillary parts supplied by their spares division.

Despite the uncertainties and delays caused by recent political upheavals in the country, sales remain extremely buoyant for Byworth in this key North African market. They are now back at pre-revolution sales levels.

“We tend to operate in Egypt using a Letter of Credit rather than standard payment terms,” adds Mr Dole. “It helps keep control of the money side because it guarantees payment. We rely heavily on Chamber International for this because they do a good job and there are also cost savings in their doing it rather doing it ourselves.”