In the latest news, Escorts and Kubota Corporation joined hands to form Escorts Kubota India. The manufacturing plant will be set up in Faridabad. To mark this union, the foundation stone was laid on 22 February 2019 in Faridabad by senior management of both Escorts and Kubota. The teams celebrated their joint venture and their first project together.
Escorts Kubota India plant is soon going to manufacture tractors laden with the coming-of-age technological features and specifications. These tractors will be made to serve Indian, as well as overseas markets. Covering around seven acres of land, this plant will have room for 50,000 tractors initially. The manufacture of tractors at the new plant is expected to begin from June 2020. The initial investment would be Rs. 300 crores.
The motive of this joint venture is to blend the advanced technologies of Japan and engineering excellence and manufacturing capabilities of India. The companies together want to strengthen their position on the global radar.
It is a 60:40 joint venture between the Japanese giant Kubota and Indian giant Escorts. Both companies intend to draw major advantages from their union. They want to get a good grip on domestic, as well as global market.
Masatoshi Kimata, President and Representative Director of Kubota Corporations, Japan and Nikhil Nanda, Chairman and Managing Director of Escorts signed the agreement on this venture in December 2018.
It is to be noted that Escorts is a major engineering conglomerate in India. The company has been catering to the needs of high-growth sectors including agriculture machinery, construction equipment, railway equipment, and material handling.
The latest partner of this Indian manufacturing giant, Kubota Group is also a leading manufacturing company that has a global presence. The Japanese company manufactures products for various sectors. It specializes in water, agriculture, and living environment products. Kubota Group has distribution in over a hundred countries. Kubota has a separate distribution arm in India engaged in selling tractors made in Thailand. Their models Kubota B2441 and Kubota B2741 have made a niche in the low hp orchard mini tractor segment.