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Mahindra Is not a small name in the Ag World:

Mahindra, Mitsubishi Sign Technology Agreement

(Feb. 16, 2010) — Mahindra & Mahindra (M&M) has entered into a license agreement with Mitsubishi Agriculture Machinery Company (MAMC) of Japan for the transfer of technology in the field of agricultural machinery.

The financial details of the deal were not disclosed by the company. The license will be for M&M Farm Equipment Sectors’ (FES) Applitrac business.

M&M will use the technology from MAMC to produce rice transplanters at its Nagpur facility. The company plans to sell 5,000 units per year in the country and also plans to export the product to other countries in south Asia and China.

The transplanters will be sold under brand name of Mahindra & Mahindra. The company said in a press release that the use of rice transplanters increases productivity by as much as 20% and 30% of costs can be saved by deploying only three persons against 10-12 persons under manual conditions.

M&M is the largest tractor manufacturer in the country and it believes that transplanters have a revenue potential similar to that of tractors in the country.

“This licence agreement with MAMC will facilitate manufacturing of an extensive variety of farm machinery to provide better skilful mechanisation to the farmers," says Anjanikumar Choudhari, president of M&M’s farm equipment business. "The need of the hour is to increase productivity of the existing arable land by employing innovative methodologies.”

The companies will also work jointly in the U.S. market where Mitsubishi makes the tractors for M&M and sells it under the brand of the Indian company.

Source: TopNews Network