Mumbai – India’s Expanded Polymer Systems (Expanded Polymers) has formed a joint venture with Italian firm Cannon to further expand its footprint in the polyurethane business. The companies have a long-standing business association, with Expanded Polymers acting as a sub-agent for Cannon between 1985 and 1992.
From 1993 – until the recent formation of the JV – Expanded Polymers had been directly representing Cannon for sales in India and the sub-continent. The sales activities were confined to the supply of machines, plants, and spare parts from Italy; in addition to the commissioning, installation, and after-sales services.
‘We have been in the business of polyurethane for the last 38 years and selling Cannon machineries for almost 35 years before starting the joint venture with Cannon, Italy. The JV named Cannon Indikos will further strengthen the machinery business. There are also plans to do much more along with Cannon, which could be useful to polyurethane end processors for manufacturing of various polyurethane products,’ said Mukesh Bhuta, chairman, Expanded Polymers.
Expanded Polymers would not be drawn on whether it has plans for producing Cannon machines in India, under the newly formed JV.
Meanwhile, Expanded Polymers separated its machinery business to align with the new venture. Cannon Indikos was established in mid-2020 and ultimately converted into a JV between Cannon Italy and the promoters of Expanded Polymers in November 2021, beconing operational on 1 January, 2022. The expansion was originally planned for 2019 but was postponed because of the pandemic.
The JV is targeting surging demand for PU in sectors like automotive, refrigeration and building; and the consequent demand for PU processing machinery.
Cannon Indikos planned a three-year roadmap to make a strong and competent Cannon team in India in order to bring value to the local industry. The JV aims to offer cost-effective solutions to the market combined with the well-known Cannon quality standards.
The JV plans to expand manufacturing activities using a certain percentage of localisation of product, whilst also building a technical service centre to support its customer base in India.
