AgroPages-Rallis India forms JV in Indonesia to expand seed business-Agricultural news

Tata group's agro-chemical firm Rallis India has formed a joint venture firm in Indonesia with a local partner to set up a seed production and distribution firm.

Rallis India's wholly-owned subsidiary Metahelix Life Sciences Ltd (Metahelix) would have 49 per cent stake in the JV firm PT Metahelix Lifesciences Indonesia, which would have an initial paid up capital of USD 1,25,000 and the same would be doubled by March 2017.

In a filing to the BSE today, Rallis India said that Metahelix has "entered into a joint venture with Indonesian local partner Suresh Gobindram Vaswani for the establishment of a seed production and/o distribution company, viz. PT Metahelix Lifesciences Indonesia".

The JV partner would have 51 per cent stake in the PT Metahelix Lifesciences Indonesia.

"The current paid up capital of the JV entity is USD 1,25,000, to be increased to USD 2,50,000 by March 2017. Metahelix and the JV partner will invest in the paid up capital to the extent of their share in the JV, viz, 49 per cent and 51 per cent, respectively," Rallis India said.

The joint venture firm would engage in the activity of seed production, processong and/or packing, importing or purchasing parent seeds and distributing and trading of JV seeds under any distribution model within Indonesia.

The objective of the formation of this JV is to expand the Metahelix's seed business in relevant crops in South-East Asia.