Agro Dutch to tie up with German company

Agro Dutch Industries, a Chandigarh-based producer of canned mushrooms, today said it plans to tie up with Germany-based Deg, which will invest ¤5 million for expansion and modernisation of its entire unit.

The company plans to invest a total of Rs 1 billion for the expansion of its current installed capacity and can making capacity.

The company will fund the expansion process through its internal accruals and by tying up with Deg Germany, which will invest ¤5 million for expansion and modernization of the entire unit, the company informed the Bombay Stock Exchange.

The company is also investing Rs 350 million in expanding its can making facility. Included in the expansion is an IQF plant, including frozen mushrooms in its product range, for which the realisation is considered better than canned mushrooms, the company said.

After the said expansion, the company's installed capacity is likely to increase from 36,000 tonnes to 50,000 tonnes per annum.