VST Tillers Tractors has entered into a Memorandum of Understanding (MOU) with ZETOR TRACTORS a.s. from Czech Republic manufacturers of tractors, components, engines, and transmission. This MoU will help VST further expand its portfolio within the international market.
The purpose of this MoU includes the joint development of products. The products are going to be manufactured by VST at its new high horsepower manufacturing facility.
On the marketing front, both the businesses will equally participate in marketing via JV and therefore the jointly manufactured products would be sold via VST channel partners in India and thru Zetor’s channel partners within the international market.
Zetor Tractors currently exports to over 56 countries and features a customer base of 1.3 million globally.
These players with over 120 years of combined experience prescribed the joint development , manufacturing and business plan for tractors with a horsepower greater than 36 HP for India and global markets. The key aspects of the MOU are as follows:
1. Joint development of Products.
2.Manufacturing of tractors by VST at its new high horsepower manufacturing facility.
3. Marketing of the jointly developed product in both the Indian and global markets through a JV between VST Tillers Tractors Ltd. and ZETOR TRACTORS a.s. The jointly developed products would be sold through VST channel partners in India and Zetor channel partners within the international market.
4. Explore marketing of VST products through a channel within the global market.