M&M To Establish Unit In Brazil

Mumbai: Utility and tractor giant Mahindra and Mahindra (M&M) will establish a utility assembly plant in Manuas, North Brazil, with local partner Bramont. The plant is hoped to be commissioned by early November this year. M&M will assemble 5,000 completely knocked down kits (CKD) of Scorpio and pick-up trucks in this plant per annum. The investment will be made by its Brazilian partner Bramont, which will be $10 million in the first phase, while M&M will give the necessary technical support. Bramont will name 30 dealers in the first year of its operations. Out of the current four-wheeler market of 2 million units in the country, 12 per cent belongs to sports utility vehicles. Unlike the European or the US markets, where the vehicle market is saturated, in Brazil and other Latin American countries, it is growing in double-digits.