MTZ to set up Belarus-Mekong joint venture in Cambodia
MINSK, 12 February (BelTA) – Minsk Tractor Works (MTZ trademark) will make a monetary contribution to the authorized capital of a private company Belarus-Mekong that is being set up in Cambodia. The decision was formalized by Resolution No. 91 of the Council of Ministers as of 7 February 2013, BelTA learnt from the press service of the Belarusian government.
Upon the suggestion of the Industry Ministry of Belarus, the Belarusian company will transfer 32 million Cambodian riels (about $8,000) to the authorized capital of the joint venture. The new company will assemble tractors and will be located in Phnom Penh.
This will be the first tractor assembly factory in the ASEAN region. Belarus’ Industry Minister Dmitry Katerinich said earlier that partners in Cambodia offered unprecedented terms for Belarus - full exemption from duties and taxes. The assembly factory is expected to start operating at the end of 2013. The assembled tractors will be sold in all the countries of the ASEAN region.
According to Minsk Tractor Works, some 116 tractors were exported to Cambodia in 2012. Another 400 tractors will be delivered there in 2013.
Minsk Tractor Works was founded in 1946. Now it is affiliated with the Industry Ministry. MTZ produces more than 60 models and modifications of tractors and machines in over 100 versions and configurations for all climatic and operational conditions. On the whole, MTZ has 22 assembly plants abroad including in Venezuela, Egypt, Ethiopia, Algeria, China, and Serbia. In 2012 the company manufactured over 60,000 tractors.