MOLINE, Ill. (AP) -- Deere & Co., the world's largest agricultural-equipment maker, said Monday it has completed legal requirements to establish a farm equipment manufacturing joint venture in India. Financial terms were not disclosed.
The agreement between the Moline, Ill., company's Worldwide Construction & Forestry Division and Ashok Leyland Limited, the flagship of the Hinduja Group will be named Ashok Leyland John Deere Construction Equipment Company Private Ltd.
It will initially manufacture backhoes, loaders and other equipment to be sold in India and for export. The joint venture plans to eventually provide a full line of construction equipment.
Ashok Leyland has a dealer network in India and is the second-largest manufacturer of commercial vehicles in the country, Deere said.
Last week, Deere said it is working to expand its agricultural-equipment manufacturing operations in Russia by early 2010. President and Chief Operating Officer Samuel Allen, who will become CEO Aug. 1, made the announcement in a statement ahead of a Russia-U.S. business forum.
Deere already has a network of agricultural and forestry-product dealers in Russia and a manufacturing operation in Orenburg that provides seeding and tillage equipment. It is developing a center for operations, training and parts near Kaluga.