sector Bharat Earth Movers Ltd (BEML) has signed a memorandum
of understanding with Brazils Compagnie Comercio E Construcoes
(CCC) to establish a joint venture to manufacture and
supply rail wagons and carriages, and the entire range
of mining and construction equipment and spares.
Indian PSU will hold a 60-per cent stake in the proposed
will invest Rs100 crore by taking over a factory on the
outskirts of Rio-de-Janeiro city in Brazil. The factory
has facilities and adequate infrastructure to take up
manufacturing equipment in the near future with a capacity
of rolling out 500 wagons and over 200 earthmoving equipments
and spares annually.
expects the entry in to Brazil would enable it to consolidate
its position in the construction and mining machines and
railway products sectors in mineral-rich Brazil
the largest South American country. BEML plans to use
this JV to penetrate new rail and road logistics segments
in the Latin American region.
MoU signed by V R S Natarajan, chairman and managing director,
BEML, who was visiting Brazil as part of the Indian delegation
accompanying the prime minister, and Darci Rodrigues,
proprietor, CCC. Present at the signing ceremony were
Dr Manmohan Singh and Brazillian president Luiz Inacio
Lula Da Silva on September 12, 2006.