The Tractors and Farm Equipment Limited (TAFE) has forged a strategic alliance with Rajkot-based Captain Tractors Private Limited (CTPL). Under the association, CTPL will produce mini tractors while the Chennai-based tractor major will market them across India and abroad.
"We will provide mini tractors to TAFE and they will sell it across India as well as abroad. Moreover under this strategic alliance TAFE will manage our present distribution network," said Rajesh Patel, Director, CTPL, which has about 70 distributors across India.
As of now, Caption tractor is well known brand in western part of India in mini tractor segment, where CTPL is a pioneer since 1998. TAFE, on the other hand, is India's second largest manufacturer of tractors with a large range of tractor models and variants in the 25 HP to 100 HP range with a significant percentage being exported to 67 countries worldwide. "We have always endeavored to offer our customers innovative products of the highest quality supported by excellent service to obtain the utmost customer satisfaction. We plan to leverage this alliance with TAFE in creating multiple products up to 20 HP with suitable implements," said Patel. Further, CTPL is set to also increase its production. Currently, CTPL boasts a production capacity of around 200 tractors per month, which it expects to expand to 1,000 tractors per month in a year. According to Patel, as part of the expansion process, the company will invest about Rs 100-125 crore.
"Through this alliance, TAFE aims to offer a complete range of products to the farmers of India. CTPL will provide us innovative application oriented special purpose tractors to farmers growing various crops such as ground nut, sugar cane and cotton, apart from orchard crops," said Mallika Srinivasan, Chairman, TAFE.
TAFE, currently, produces regular size of tractors. But post its alliance with CTPL, TAFE will be able to foray into mini tractor segment. Meanwhile, both the companies are also considering launching common brand under this association.