Tata Motors, MDI of France sign technology pact

Mumbai: Tata Motors has signed an agreement with MDI of France for application in India of the latter's path-breaking technology for engines powered by air.

Under the agreement, MDI would support Tata Motors in further development and refinement of the technology and its application and licensing in India.

This is in keeping with Tata Motor's role as the leading company in India for automotive R&D and would be another an exciting engineering and development effort, the company said in a filing with the Bombay Stock Exchange (BSE).

The MDI group, headed by Guy Negre, was founded in the 1990s in pursuit of a dream to pioneer an engine using just compressed air as fuel - which may be the ultimate environment-friendly engine yet. Besides, the engine is efficient, cost-effective, scalable, and capable of other applications like power generation.

"MDI has for many years been engaged in developing environment-friendly engines. MDI is happy to conclude this agreement with Tata Motors and work together with this important and experienced industrial group to develop a new and cost-saving technology for various applications for the Indian market that meets with severe regulations for environmental protection.

We are continuing the development with our own business concept of licensing car manufacturers in other parts of the world where the production is located close to the markets. We have also developed this new technology for other applications where cost competitiveness combined with respect for environmental questions has our priority," Guy Negre said commenting on the agreement.