PI Industries Ltd and Kumiai Chemical Industry Co. Ltd jointly announced on Thursday that they have entered into an agreement to establish a Joint Venture Company (JVC) in India.
Both companies will hold equal shareholding in the JVC named ‘PI Kumiai Pvt Ltd’, which is headquartered at Gurugram, Haryana. The JVC is expected to start its operations in 2018.
According to PI industries, the JVC is being set up initially to manufacture and distribute Bispyribac Sodium, one of the flagship agrochemical products of Kumiai, in India to achieve operational efficiencies and further growth.
“Kumiai and PI, after due consultation, may also add more products to JVC portfolio in future for evaluation, manufacture, registration and distribution in India to leverage PI’s deep understanding of Indian agriculture, brand and reach with the Indian farmers and Kumiai’s robust research and development capabilities for new products,” it said.
Commenting on the development, Koike, President of Kumiai and Mayank Singhal, MD and CEO of PI, said, “both the companies are associated for more than forty years and this joint venture will further strengthen our relationship and help us bring superior innovative solutions in India to enhance farm productivity and also leverage manufacturing efficiency of India under ‘Make in India’ initiative.”