Escorts Partners With Tadano

Escorts Ltd. has joined hands withTadano Ltd., Japan, to manufacture mobilecranes.

- Gunjan D. Bidani

To manufacture rough terrain and truck mounted mobile cranes, Escorts Ltd. has entered into a joint venture with Tadano Ltd., Japan. With Escorts having a 49 per cent controlling stake, and Tadano having a 51 per cent controlling stake, the joint venture between the two is expected to go on stream by the third quarter of the current financial year. Targeting oil refineries, metro rail projects, smart city construction projects and others, the JV will operate with an eye on the substantial spends the government has earmarked in the budget for FY2018-19 (Rs.5.97 lakh crores). Using land adjacent to the existing Escorts facility at Faridabad to build mobile cranes, the JV took 10 months to form. According to Ajay Mandahr, COO, Escorts Ltd., the process involved much research about the products the JV would make; the way the JV would perform, and what each partner would bring to the table. With a business plan in place, the joint venture is expected to introduce mobile cranes that align with the market requirements in India by the end of this calendar year or by early next year. Expected to make a concrete announcement in this regard as it gets down to business, the JV, according to Koichi Tadano, President and CEO, Tadano Ltd., will tap the huge potential for growth the Indian market has to offer. Mentioning that they have found the best partner in Escorts to enter the Indian market, Tadano San averred that the JV could take shape because Tadano and Escorts share the similar philosophy. He drew attention to the activities of Tadano, and their manufacturing plants in Germany and the United States of America.