Tata Motors signs distribution agreement with AGI in Myanmar

28 May 2012

Tata Motors has entered into an agreement with Apex Greatest Industrial Co Ltd (AGI), Myanmar, for distribution of Tata Motors' commercial vehicles and passenger cars in that country.

AGI will distribute trucks assembled at Tata Motors' Magwe facility, which the company had set up on behalf of the Myanmar government as also commercial vehicles and passenger cars imported from India, Tata Motors said in a release.

Tata Motors had, in March 2010, signed a turnkey contract with Myanma Automobile & Diesel Industries Limited (MADI), an enterprise under the Government of Myanmar's Ministry of Industry-2, for setting up a heavy truck assembly plant, at Magwe, in central Myanmar.

The plant, funded by a $20 million line of credit from the Government of India, was inaugurated in December 2010 and is now operational.

With a highly flexible chassis & frame assembly line, along with cab manufacturing, paint shop and trimming set-up, the plant has a capacity to produce 1,000 vehicles per annum initially, with flexibility of augmenting it to 5,000 per year.