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Willie McCarter reflects on Loom years 15.10.09

by Liam Porter, Inishowen Independent

WHILE admitting he’s sad Fruit of the Loom is no longer in operation in Buncrana, former Fruit of the Loom Managing Director, Willie McCarter, concedes that the company’s lifespan in Ireland was always one that would, at some stage, come to an end.
“In my view Fruit of the Loom put a tremendous injection into this area, I’m very sorry that it’s not here now, but I realised at the time that this was something that had a finite life to it.”
Mr McCarter says he had hoped, when the investment came initially from Fruit of the Loom, that there would follow a twenty or twenty-five year run, adding that it very nearly was achieved.
He also outlined why, when all things are considered, that this was a pretty remarkable achievement.
“Before the Fruit of the Loom investment we had 470 people working in 1985 here in Buncrana and at Malin Head, but in the 1980s there was a severe recession, there were severe public finances problems, inflation was huge, unemployment was huge, emigration was huge and our family company faced very difficult times.”
With nobody banging down the door to provide investment, McCarter’s with backing from the IDA, headed off to America in search of a joint venture partner that was a lot larger, had a lot deeper pockets.
One of the companies courted was a firm called Union Underwear, owner of the Fruit of the Loom brand name and later to become Fruit of the Loom.
“It was very early on when we
Willie McCarter
met Fruit of the Loom, they came here I always remember it on July 12th 1986. They were whisked around by the IDA and we hijacked the trip and through some local people we had them stay overnight in Fahan. We showed them around the area – don’t forget in those days things were hot and heavy just ten miles up the road. It wasn’t the most natural place here in Donegal to find a US multi-national coming to set down roots, but once we got our hands on these people – they were excellent people from Kentucky – we got them here and gave them the idea that this was a place steeped in this tradition, with people who knew a lot about the business – I mean everyone who worked in it – this was a place where they could do business.”
It might have been risky, but considering the alternatives facing the McCarter’s family firm, it was a risk worth taking – and one that paid off.
In August of that year another meeting had taken place and in November a third meeting at which a deal had been struck.
“That deal closed on February 12th 1987 and it resulted in Fruit of the Loom investing $200 million here initially in Donegal and then in a cross-border bases with the spinning mill and sewing plant at Templemore.”
This was a massive investment, but Willie McCarter explains the American Company had spotted the potential here.
“Part of the reason why Fruit of the Loom was so interested in coming here, because we did everything in a very similar way except spinning. We didn’t spin but we knit on circular machines from 1932, we started bleaching and for a long period of time we were bleaching and dyeing, we were cutting, sewing into garments, finishing those garments, putting into boxes, putting into a warehouse and then dispatching.”
And the McCarter’s factory wasn’t producing just any old garments either. The work produced in the Buncrana factory was much sought-after.
“We produced high quality garments, we sold to Dunnes Stores, to Primark and to the now famous company Arthur Ryan. We sold to Levis, Lee and Adidas, - we produced 12 million 3-stripe tee shirts for Adidas here in Buncrana. We also developed the first polyester-cotton fleece - everybody uses it now but we developed the first.”
The injection of investment from Fruit of the Loom transformed the operation in Buncrana.
“It was a huge investment of $200 million and it was coming here to local people building this from the base we had in McCarter’s. We had no resident Americans except for the spinning mill, the only part of the technology we didn’t have experience in, but in fact in the spinning end of things we had charge of creating the spinning mill ourselves.”
It’s easy to sense the pride that remains with Willie McCarter for the fact that this employment phenomenon was built locally by local people.
“It was local people all the time. People who worked in the company got promoted to supervisors, to managers, to quality control supervisors, there was a lot of job creation, a lot of jobs filled by local people. Everybody had great faith in each other and when you get a band of people like that, a great bond like that, it that enables you to grow 470 jobs into nearly 3,000.”
As they expanded, Fruit of the Loom spread its wings across the north west, expanding at Malin Head first, then in Raphoe and Milford, then to Derry at Templemore and Campsie and started work in Dungloe and in Morocco.
“We had the largest vertical complex in the world of its type where we brought in cotton in the bale and polyester on the bale and we spun all our own yarn, knitted all our own fabric, bleached, dyed, cut, sewed, finished and dispatched 1,000,000 tee shirts a week and 400,000 sweatshirts a week all over Europe.”
But it couldn’t last forever and by 1999 jobs were being lost as Fruit of the Loom began to re-locate its entire operations to Morocco.
“The idea of globalization is not a new phenomenon, this has happened over the centuries. In the US the textiles industry used to be all clustered up around New England, New York, Connecticut, Boston, Rhode Island, it was the heart of the textiles industry, but after the second-world war the textiles industry in New England just disappeared and moved to the south where the labour was cheaper. That’s just one example, but this phenomenon of industry or economic activity going to areas where it is more efficient – that’s not a new thing.”
According to Willie McCarter, what was new and what caught certainly them by surprise and indeed some of their senior colleagues in the USA, was the World Trade Agreement in the early 1990s that opened up the textiles and clothing trade worldwide a lot quicker than any of them realised it would happen.
“What happened Fruit of the Loom here and indeed most of the textile and clothing industry in Western Europe was that with this opening up, the industry went to areas like China, India, Eastern Europe and North Africa. We knew at some stage that this industry would go, at least in part, but it would go. We were hoping that at the very least we’d get a twenty year run out of it and indeed we nearly got a twenty year run out of it. Considering how difficult conditions were for people in this area in the mid-eighties, we succeeded in getting pretty nearly a twenty year extension of life.”
He admits to being irked at times when he hears people talk of ‘the Fruit of the Loom experience’ in the north-west as if it were a bad thing, as if the job-losses at the end were the only thing ever to have come from the fact that this huge company had been based here.
“It’s only when I look back on it now I realise, we were really up against it in the mid eighties, everybody was. But because of what we did, going to America, getting hold of Fruit of the Loom and getting them to trust us that they could have a very good base here with local people, we transformed what we had and using $200 million turned it to something that was churning out 1,000,000 a week and 400,000 sweatshirts, getting a 30% share of the European market. That was no mean achievement for a company in North Donegal.”
And he says, the injection of capital that Fruit of the Loom employment brought in these lean times was vital for local economies across the north-west.
“Sometimes Fruit of the Loom was criticised for taking people out of education. If people came to us and wanted a job we didn’t turn them down, we needed people to come and work, but at the same time we encouraged and subsidised people to go and train and we directly trained a lot of people.”
Looking back now he insists he can honestly can say that that Fruit of the Loom gave a lot of people tremendous opportunities.
“We provided and organised a lot of training, both outside and inside. A lot of people went to college, a lot of people went on for technical qualifications but most importantly it gave people confidence that they could do things, they could better themselves, they could learn and they could advance. A lot of people, when they left Fruit of the Loom went and set up their own businesses.”
That, says Mr McCarter is evidence of the resilience and determination of local people and he remains hugely optimistic for Inishowen and the north-west in general.
“The sort of operations that we brought in with Fruit of the Loom, that won’t happen any more, unless the world turns upside down, but you can get new things, just like they got new things in New England after the war, loads of new things,” he concluded.
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