Kolkata, Feb 28 (IBNS): Skipper Limited and NSE, one of the fastest growing and a significant player in water infrastructure of India, announced a Limited Liability Partnership Agreement with Israel based company, Metzerplas.
The name of the LLP shall be “Skipper-Metzer India LLP”.
The agreement is of Equal Ownership Interest – 50:50 and the total investment in the first phase is agreed to be 8 Million USD.
The deal was signed in Tel Aviv, Israel earlier this month. The joint venture will leverage Metzerplas’s global portfolio of brands and unparalleled expertise in advanced plastic and irrigation technologies. From production equipment to advanced emitters, from modern plastics and compounds to complete irrigation systems, the company provides immediate access to the market’s most advanced, yet affordable, drip irrigation solutions. Skipper’s manufacturing bandwidth and nationwide footprint along with knowledge of government operations will make this agreement stand out and revolutionize the drip irrigation business in India and other SAARC nations.
Drip irrigation is a type of micro-irrigation that has the potential to save water and nutrients by allowing water to drip slowly to the roots of plants, either from above the soil surface or buried below the surface. The goal is to place water directly into the root zone and minimize evaporation. Drip irrigation systems distribute water through a network of valves, pipes, tubing, and emitters. Depending on how well designed, installed, maintained, and operated it is, a drip irrigation system can be more efficient than other types of irrigation systems, such as surface irrigation or sprinkler irrigation.
The Drip Irrigation business holds immense potential in India and is one of the focus sectors of the government. The current domestic industry size is estimated at over Rs 5,000 crore. Moreover, under the Hon’ble Prime Minister’s flagship scheme Pradhan Mantri Krishi Sinchai Yojna (PMKSY) which has been launched with the aim of extending irrigation cover –“Har Khet ko Pani” – and improving water use efficiency – “Per Drop More Crop”, we expect this sector to grow at a robust pace and for the JV to become a major player in the years to come.
“We are proud to join forces with Metzerplas – combining our large-scale consumer base, leading-edge production infrastructure and business insights with their unparalleled technology expertise," said Devesh Bansal, Director, Skipper Limited. Together, we look at elevating and redefining the micro irrigation business in India and the other SAARC countries. This will overcome the regular challenges faced by the farmers such as limited water supply, high land values, harsh topography and rising competition and commoditization.
Speaking on the occasion, Shmuel Schupak, CEO Metzerplas said “Metzerplas is excited to partner with Skipper Limited in India to produce quality micro irrigation laterals and products. It was for some time Metzerplas was looking for a partner to enter the potential Indian market. Metzerplas has been supporting the irrigation sector in India as a supplier of drippers and machinery for producing drip laterals. The key agenda of the association is to become a key player and bring in new technologies to the growing Irrigation market in India and the region.”