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Coromandel International joins hands with Japanese companies

Friday, 06 Jun 2014
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Coromandel International, a Murugappa group company, has formed a joint venture (JV) with two Japanese companies, namely Yanmar & Co, and Mitsui Trading for manufacturing and marketing farm machinery.

Taking into consideration the stake-holding among the JV partners, Coromandel and Yanmar will hold 40 per cent stake each, and Mitsui will have a stake of 20 per cent.

The companies will initially manufacture the Yanmar brand of mini-harvesters, planters and rotavators for paddy cultivation and then expand its range to include equipment for other crops, including sugarcane and vegetables. The investment details are expected to be finalised later in June 2014.

The farm machinery will target the business segment of small farmers and the equipment will be sold on lease to farmers through Coromandel International’s Gromor chain of rural market outlets.

For 2014, the Murugappa Group is focusing on key business areas of farm mechanisation and the nutraceuticals business.

Apart from this, Murugappa Group company, Tube Investments of India’s Rs 400 crore project to manufacture large-diameter tubes catering to hydraulic, oil and gas and automobile industries will commence production by July 2014. 

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