Italian and Indian rotomolding toolmakers strike partnership

By Steve Toloken
News Editor / International

Published: February 3, 2012 6:00 am ET

Related to this story

Topics Mergers & Acquisitions Rotomolding Molds/Tooling
Companies & Associations

NEW DELHI (Feb. 3, 12 p.m. ET) — Italian mold maker Roto Moulds srl and M. Plast (India) Ltd. have signed a technology transfer agreement to boost the Indian firm’s capabilities and use it as a base to tap into new markets like the Middle East and Africa.

The two companies, both relatively small mold making shops focused on the rotomolding industry, made the announcement at a January 30 conference in New Delhi and said their partnership could be expanded into a formal equity joint venture if business goes well.

“There are a lot of areas we would like to develop together, like the Middle East and Africa,” said Terzi Manuel, an owner and managing partner of Milan-based Roto Moulds. “[Companies there] want to buy with a good price and good quality. At the moment they can’t find it anywhere.”

The companies did not disclose terms of the arrangement, although they said it will focus on steel and stainless steel molds.

As part of the agreement, the companies will spend the next two months in intensive staff training, with Roto Moulds sending technicians to India to train M. Plast personnel, and M. Plast staff traveling to Italy, said Rajendra Shukla, director of Noida, India-based M. Plast.

The deal will let M. Plast improve quality to meet increasing demands in India’s market, and give both companies a more globally competitive platform than they can have separately, said Shukla, speaking in a joint interview with Manuel at the 2012 annual conference of the Society of Asian Rotomolders, held Jan. 29-31 in New Delhi.

“For us it’s a quality issue – for them it’s a cost issue,” he said.

The firms could see “considerable” cost savings from the Indian-made molds, but won’t know details until the partnership starts working, Shukla said.

One particular area of focus, he said, will be on underground septic or water storage tanks, a rapidly growing market in India and one where the Italian firm already has a lot of experience.

Both firms said it was also unclear many molds they would make from the partnership, although Shukla said the companies believe in time they could make 200 molds per year, roughly equal to M. Plast’s current production.

Manuel said the firms are both thinking about deepening the partnership: “When we arrive at a certain level the goal for both is to go to a joint venture.”

“What we signed is an agreement that we bring here in India our technology to produce a better quality mold,” he said. “On the other hand, for us it would be… an extension of production here in India with a lower price than what we have in Italy.”

He said Roto Moulds has tried to sell into the Middle East and Africa but found its molds were too costly.

The Italian firm said it could export tools from India to Europe but said that many of its European customers prefer their tools to be built nearby for better service.

The companies only met about two months ago, introduced by Indian-American rotomolding executive Ravi Mehra, managing director of mold maker Norstar International, LLC, in Cedarburg, Wis.

It’s not the first time playing corporate matchmaker for Mehra, who is also the founding chairman of the New Delhi-based Society of Asian Rotomolders and active in rotomolding trade groups globally.

Mehra was instrumental in the 2007 strategic alliance between New Delhi-based OK Play India Ltd. and Solar Plastics Inc. in Delano, Minn.

Norstar and M. Plast also signed their own strategic cooperation in 2007 for M. Plast to license Norstar’s technology to build aluminum molds in M. Plast’s factories.

Shukla said they hope within a year to install equipment for casting the aluminum molds in a new factory in Noida. The project has been delayed finding the right staff for that specialized process, he said.


Comments

Italian and Indian rotomolding toolmakers strike partnership

By Steve Toloken
News Editor / International

Published: February 3, 2012 6:00 am ET

Post Your Comments


Back to story


More stories

Image

Reifenhäuser acquires German spinneret company Enka Tecnica

April 17, 2015 9:31 am ET

Germany-based Reifenhäuser GmbH & Co. KG, a major manufacturer of extrusion equipment, has announced that it is acquiring Enka Tecnica GmbH, a German ...    More

Image

Spain's Grupo Antolin to buy Magna's interiors business

April 16, 2015 12:33 pm ET

Spain's Grupo Antolin has reached an agreement to purchase Canadian auto supply giant Magna International Inc.'s interiors unit in a deal valued at...    More

Image

Madison buys Ferry Industries

April 16, 2015 5:22 pm ET

Ferry Industries, the largest manufacturer of rotational molding machinery, was purchased by Madison Industries, a Chicago holding company that is...    More

Image

Caplugs gets new private equity owner

April 16, 2015 11:17 am ET

Caplugs, a major producer of caps, plugs, tubing, netting and other protective goods for industry, has a new owner.    More

Image

A. Schulman, Citadel discuss the $800 million deal

April 15, 2015 1:45 pm ET

The $800 million match of materials maker A. Schulman Inc. and Citadel Plastics felt good from the start. “Everything in our first meetings show...    More

Market Reports

Trends in Resin Distribution

The growth of the North American resin distribution market is undeniable - and industry analysts are confident that growth will continue in 2015 and beyond.

This new report analyzes market trends and provides data on historical sales trends for PE (distribution and resellers), PolyOne Distribution figures, U.S. ethylene expansions based on shale gas and natural gas production by category to 2035.

Learn more

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Plastics in Mexico - State of the Industry Report

This report analyzes the $20 billion plastics industry in Mexico including sales of machinery & equipment, resins and finished products.

Our analysts provide insight on business trends, foreign investment, top end markets and plastics processing activity. The report also provides important data on exports, production, employment and value of plastics products manufactured.

Learn more

Upcoming Plastics News Events

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 15, 2015 - September 17, 2015Plastics Caps & Closures - September 2015

More Events