Chennai: A leading crane manufacturing player, Palfinger AG, has entered into a joint venture (JV) with Dubai-based ETA Group to offer its products in India, because of a demand from sectors such as transport and construction, which are looking at faster turnaround time for material loading and unloading in Asia’s third largest economy.
Palfinger, an Austria-headquartered €585 million (Rs3,316 crore) firm, will hold a 26% stake in the JV, with the $4 billion (Rs16,000 crore) ETA Group holding the rest. The company is also exploring the option of setting up an assembly or manufacturing unit in India.
Demand for cranes have shot up in India, which now is invested heavily on infrastructure development. “Going forward, the demand for cranes will grow exponentially,” said Christoph Rauch, managing director of Palfinger Asia Pacific. “We want to be present here from the beginning.”
Although Palfinger’s products will be imported, Rauch said cranes sold in India will be one-fifth cheaper than those sold in developed markets. John Samuel Raja D.