Distilling manufacturer to double capacity with expansion project

Distilling manufacturer to double capacity with expansion project

Moray-based LH Stainless Ltd (LHS), a processing equipment manufacturer for the distilling industry, has secured an investment of up to £149,000 from Highlands and Islands Enterprise (HIE), facilitating a £745,000 expansion project.

The project is expected to result in a turnover increase exceeding £4.3 million for the company, with international sales contributing over £1.1m.

Having served clients across the UK, Australia, New Zealand, Finland, Portugal, the Faroe Islands, and Ireland, LHS plans to double its manufacturing capacity, leading to the creation of ten new well-paid job opportunities.



Since Stuart and Garry Fraser bought the company in 2000, it has grown from five employees to its current workforce of 45 across three sites in Moray, all of which are operating at full capacity.

With the investment, LHS will develop a new manufacturing facility near Keith, Moray, aiming to enhance operational efficiency by merging all manufacturing processes into one location. This strategic consolidation, coupled with the integration of modern automated machinery, will significantly elevate the company’s production volume and quality.

It will enable LHS to not only fulfil its current order commitments but accommodate a forecast increase in demand.

Steve Richards, senior development manager with HIE in Moray, said: “LH Stainless is a really important local employer of well-paid skilled labour in Moray. The company has grown steadily over the past 20 years or so and has both the ambition and clear potential to continue that growth.



“The increase in manufacturing capacity is a huge boost for the local economy and will provide great opportunities to retain young people in Moray through attractive career opportunities.

“I am very pleased we have been able to provide support for this project and look forward to continuing to work with the company as the project develops.”

Garry Fraser, director at LHS, added: “We’d like to thank Steve Richards and his team at HIE for their support thought out this project, currently our growth has been limited by our facilities so this new manufacturing facility will allow us to expand and create more high value jobs in the local area.

“This in turn means more work for the distillation industry in Moray can be sourced locally whilst also supporting our efforts to expand throughout the UK and internationally.”


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