What began as a one person operation has evolved into an international company. After 20 years in the sandpaper products business, Abrasive Enterprises’ sales are approximately $4.6 million annually with 90 per cent of the company’s current sales exported to the United States. In order to keep up with the growing demand for their products, the company has had to expand their existing facility in the Summerside Business Park.
Major Paul Grady, President and CEO founded the business in 1983. Grady has extensive knowledge of coated abrasives and has combined this knowledge with his entrepreneurial skills to develop a product that is now known worldwide. The Summerside-based company has had contracts with Canadian Tire, Home Hardware, A. Richard Knives and Tools, Boeing Corp., Bell Helicopter, and McDonnell Douglas.
“Research indicates that export-oriented companies are almost three times as likely to survive and increase their bottom-line than companies who do not export,” said the Honourable Mike Currie, Minister of Development and Technology. “Abrasive Enterprises is a prosperous Island company that is manufacturing its own products, actively pursuing new markets and employing several Islanders. Abrasive Enterprises certainly has a lot to be proud of and I expect this expansion will result in many more business opportunities for this company in the future.”
Abrasive Enterprises will be able to employ 25 more people as a result of this expansion. The company currently employs 50 full-time and part-time staff in Summerside.
“The expansion of Abrasive Enterprises has been truly exciting to see a small PEI company grow into a facility exporting world-class sandpaper products alongside multinationals like 3M and Norton,” said Major Grady. “We are truly grateful for the support provincial government has given us during our growth. It is a demonstration of the commitment this Province has for creating value added wealth and export growth.”
Abrasive Enterprises began its operation in 1983 as a wholesaler specializing in abrasives, supplying customers throughout Prince Edward Island and eastern Canada. In 1991, the company began producing its own products. Using jumbo rolls of coated abrasives, Abrasive Enterprises manufactures a full line of sanding products such as belts, rolls, discs and sheets.
Today, Abrasive Enterprises has changed its source of raw product since it was first established. They now purchase their products from one of the largest manufacturers of abrasives in the world, CUMI Abrasives in India. CUMI is a totally vertically integrated business who has developed production lines specifically for Abrasive Enterprises. Most recently, beginning in 2000, Abrasive Enterprises entered the huge US hardwood floor sanding market with a line of professional floor sanding belts, discs, and rolls. In 2005, the company will enter the European market with this successful line.
The total cost to complete the expansion at Abrasive Enterprises is approximately $1 million. Prince Edward Island Business Development will contribute $125,000 to the expansion.