Bee Health (China)

Company details
Company name: 
Bee Health
Company country: 
United Kingdom
Number of employees: 
C - Manufacturing
Sector detail: 
C21 - Manufacture of basic pharmaceutical products and pharmaceutical preparations
C21.1.0 - Manufacture of basic pharmaceutical products
Reshoring details
Reshoring announcement date: 
Starting implementation date: 
January, 2014
End of Implementation : 
December, 2017
Reshored to: 
United Kingdom
Location of affected unit(s): 
Location code: 
Reshored business function: 
Partial or Total reshoring: 
Reshoring governance mode: 
In house (in own facilities)
Estimated job gains: 
Reasons for reshoring: 
Change in total costs of sourcing
Delivery time
Government support to relocation
High inventory costs
Labour costs' gap reduction
Logistics costs
Need for greater organizational flexibility
Poor quality of offshored production
Case narrative: 

Bee Health is a British company based in East Yorkshire. The company produces pills, tablets and capsules.

Bee Health has won £15m of contracts to backshore work previously based in China, India and the US.

The company plans to offer better quality and flexibility of supply by producing tablets and soft gel capsules in the UK, creating 130 jobs.

Holland & Barrett, one of the most important customers for Bee Health, and an high street retailer of alternative remedies, cited local sourcing as important to boost supply chain efficiencies and help it react quickly to market demand.

Steve Ryan, managing director, said that new contracts would account for 70 per cent of turnover in 2014. The company has already hired 60 new staff, taking the workforce to 130, and a further 70 will be recruited by the end of 2014.

Ryan added that although the company manufactures own-brand products, pretty much all of the new contracts will be completed under licence to other global customers who had been manufacturing in low-cost countries.

These organisations have experienced gradual rises in costs, disruption in supply and unmanageable lead times. This has caused some clients to hold millions of pounds of stock at any one time, something that really impacts on cash flow.


Financial Times, 19/6/2014

The Manufacturer, 19/6/2014

Offshoring details
Offshoring location: 
Offshored business function: