A leading distribution specialist across road, rail, land and sea, AV Dawson stands as a dominant figure on the River Tees. Deputy Business Editor Steven Hugill find out out how the firm is navigating further routes to success

SHELTERED by a thick fluorescent coat, the gate man is quick to dismiss the gales whipping through the vast yard.

“This is nothing”, he says.

“We had some new barriers put up but the gusts devoured them in days.”

Such inclement conditions are nothing to third-generation family firm AV Dawson.

The company, which marked its 75th anniversary last year, has weathered far more challenging industrial shifts throughout its successful history.

However, that doesn't mean the winds of change aren't blowing through the business.

On the contrary, it's constantly moving forward.

The company stands on the banks of the River Tees, in Middlesbrough, offering haulage, shipping, warehouse and rail services.

The Northern Echo:
Workers load lengths of steel onto a crane before they are transferred onto a ship

Operating from sites at Dawson's Wharf, Ayrton Railhead and it's Middlesbrough North Sea Supply Base, AV Dawson is the largest independent dry cargo wharf operator on the river.

It also has close links to the North-East's steelmaking heritage, a relationship that is bearing rich dividends.

Having signed a three-year deal with Tata Steel, which employs about 1,500 workers across its regional plants, AV Dawson now welcomes 10,000-tonne vessels to its extended riverside quay.

The firm carried out work to lengthen its quayside by 150 metres and is increasing water depths to eight metres to attract larger ships.

The huge vessels are delivering steel from Tata's Teesside beam mill, based in Redcar, to Europe, and Dawson is strengthening its ties with the firm further through £6m plans to improve its steel storage facilities.

A new 300-metre shed, accessed by rail, is expected to be operational by September.

The Northern Echo:

Above, lengths of steel awaiting shipment. Below, an area of the site next to the River Tees

The Northern Echo:

It will allow Dawson to store up to 30,000 tonnes of steel coil from Tata's south Wales operations for the automotive sector, which includes Nissan's record-breaking Sunderland plant.

The company is also looking to acquire another eight acres of land to create more space for its growing empire.

Last year, it launched a £10m investment programme, complete with £2.5m Tees Riverside Intermodal Park rail terminal linking to the East Coast Main Line, to handle trains up to 80 containers and store up to 1,200 loaded containers.

Sitting in his office, away from the gusts outside, managing director Gary Dawson, is delighted with the progress.

He said: “Last year was a whirlwind, but this year is proving even more so.

“We had a busy 2013 and planned a lot of things, and we are finishing off certain parts of the infrastructure.

“The quay came just in time because of our agreement with Tata for exports that started earlier this year.

“The changes are bringing far more opportunities to our quayside than we previously had and we can now get vessels up to 10,000 tonnes.

“In a way, we are actually victims of our own success because it has taken longer to dredge the quay as it's been full of ships.

“But that development is only part of the bigger picture.

The Northern Echo:
Ground preparations on phase three of Tees Riverside Intermodal Park development

“We previously bought in excess of 20 acres to move work from the quay and on to land away from the river because we need that lay-down space for cargo.

“Those 20 acres are now being fully used, but it's a good problem to have, and we are in negotiations for another eight acres in the future.

“We are also recruiting as well and hope to have about 230 people with us this year.”

The company was founded in 1938 when Arthur 'Vernie' Dawson paid £50 for coal-carrying cart horse Dina, her shoes and a cart.

It may now be a world away from those humble beginnings, but the firm remains true to the region's famous manufacturing base, including steelmaking.

Mr Dawson said: “A good sign of economic growth is when structural steel demand increases.

“That's when you know people have large-scale projects on the go.

“The output from Tata in Teesside has increased fairly dramatically in the last 18 months and we are pleased to be part of that success.

“It's good to see it coming back with a vengeance because we used to work with a lot of steel from the old British Steel.

“We are really geared up for it.

“We have the right quayside and the right plans in place, and even some of the original team that were involved in it years ago.”

Mr Dawson said its £6m plans for a new automotive steel shed would add another dimension to the company.

Mr Dawson said: “The shed is an investment on top of what we are already offering.

“We hold the steel until it is called off by the company that needs it.

“But we have three sheds at the moment, so moving everything into one makes sense and makes us more efficient.

“In the current set-up, there is a lot of shunting and movement of the train to get to the steel needed.

“But this way, it will be easier for it to go into one shed and we can use the buildings for another purpose.

“It's a bit like that game where you have to move a square around the puzzle.

“We are doing that all the time to allow the next changes to come in, and make the absolute best of the facilities we have.”

Those facilities include a number of companies based on its Riverside Park site, such as safety specialist MTE, which makes fire and blast walls for oil and gas platforms, and Modus Seabed Intervention, which provides services for trenching and cable laying in the offshore energy sector.

Mr Dawson said: “The changes to the quayside are boosting our presence in the subsea market.

“We are always showing people around the site.

“The companies that require quayside and facilities to put down equipment fit in very nicely there.”

So where does a company that has set the standard for transporting goods for more than 75 years navigate itself in the future? For Mr Dawson, the answer is simple.

“It was a nice anniversary to have, but we aren't dwelling on it because we have to look forward”, he added.

“75 years is a good number, but we are not finished yet.

“We still have real ambitions to grow and build on our solid foundations and the good work that we are doing.

“We have always grown incrementally and this is another exciting phase.”

AV DAWSON - A HISTORY

Arthur Vernon “Vernie” Dawson started the firm in 1938 with wife-to-be Eleanor when they were both just 18-years-old.

Vernie started with £50, which he raised by selling his second-hand car.

He used the money to buy horse Dina, a cart for her to pull and a load of coal for her to sell, and still had change from the deal.

The Northern Echo:
Vernie Dawson's brother Jim, with horse, Dina

Selling coal was a full-time operation in the winter, but during the summer Dina pulled light loads of haulage, furniture, timber and road materials.

As the business began to flourish, Dina was retired and Vernie bought a lorry, taking coal direct from County Durham and Northumberland coalfields.

The coal business was later sold to concentrate on road haulage, buying ex-army vehicles.

In 1956, Maurice Dawson, Vernie and Eleanor's son, and current company chairman, joined his parents at the business.

The Northern Echo:
A Volvo heavy haulage vehicle with a rear steer low-loader, transporting huge storage tank sections through Ripon, North Yorkshire, in the late 1960s

The firm moved to Middlesbrough Wharf in 1973, later renamed as Dawson's Wharf, with the wharf dating back to 1820 when it was called Port Darlington and served the iron and steel industry.

By 1980, the haulage fleet was increased after the company acquired WG Thomas, increasing its vehicle count to 60.

In 1985, the Ayrton Rolling Mill closed, with the loss of 200 North-East jobs. Dawson's bought the site and used it to store up to 20,000 tonnes of potash, eventually working with ICI.

The firm's 50th anniversary in 1988 coincided with the official opening of the Ayrton Store and Rail Terminal. Former Government minister Michael Portillo opened it, driving into the site on the company's locomotive.

Vernie Dawson died in 1990, and in 1991 the company finished work on its first concrete quay.

In 1998, it bought fabrication yard Linthorpe Dinsdale, now called the North Sea Supply Base.

The company continued to develop and in 2004 it re-invented its commercial painting business, Tees Valley Coatings, for offshore and module painting.

Gary Dawson, grandson of Vernie and Eleanor, is now managing director, with the firm employing more than 170 workers and enjoying annual turnover of £16m.