Global agri equipment firms eye India, Rs. 1,000-cr investments likely
With farm mechanisation slowly gaining ground, India may see at least half-a-dozen foreign players setting up agricultural equipment plants in the country.business Updated: Oct 01, 2012 21:07 IST
With farm mechanisation slowly gaining ground, India may see at least half-a-dozen foreign players setting up agricultural equipment plants in the country.
Close on the heels of Italy-based Maschio Gaspardo announcing Rs. 200-crore investment to set up a rotary tiller plant in Pune, German plough and cultivator maker Lemken said it would invest Rs. 115 crore in India.
"We have already invested Rs. 69 crore to set up our plant in Nagpur which will be operational this week," said Arvind Kumar, CEO, Lemken India.
Meanwhile, Kuhn, a French company that already sells a range of agro equipment in India, looks to set up its plant near Chennai.
According to industry sources, two other German companies Amazone and Grimme, which specialise in potato cultivation technology, also plan to enter India.
Major announcements by international companies are expected at the biennial Agro Tech 2012 at Chandigarh in early December. The initial investment commitment by all international players is estimated to be around Rs. 1,000 crore.
Many of agricultural equipment such as plough, tiller and harvester are fitted to tractors. What inspires the India entry of these foreign players is the country's large tractor market.
Incidentally, Indian tractor manufacturers such as Mahindra & Mahindra and TAFE also look at partnerships with international players to offer the whole range of agro equipment.
First Published: Oct 01, 2012 21:05 IST