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Steinhoff’s raw materials division produces mainly foam and textiles used in group operations and for sale to third parties locally and in western Europe and Australia.
The division trades through leading foam producer Vitafoam, Mattex, which specialises in textiles,
and House of
York, a leading producer of wooden household products. Steinhoff has announced at the end of 2006 the acquisition of the entire bedding, spring and components business of
BCM Group.
The combination of sourcing and Steinhoff’s own raw material production gives us a cost-effective and reliable source of inputs for our manufacturing operations and offers synergies in intragroup sourcing. Given its collective production facilities, the division is also able to negotiate competitive terms for supply and procurement.
Steinhoff has weathered significant changes in the textile industry, particularly as a result of low-cost imported products from countries such as China, Indonesia and Malaysia, through appropriate restructuring, re-engineering and capital expenditure.
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