The Hindu Business Line : Same Deutz-Fahr to tie up with BNP Paribas, Rabobank arm

Chennai, May 14 Same Deutz-Fahr India Private Ltd, the 100 per cent subsidiary of the euro 1.1-billon Same Deutz-Fahr Italia S.p.A will soon associate with BNP Paribas and De Lage Landen (DLL - a Rabobank subsidiary) to offer both wholesale and retail financing through its dedicated service under the brand Same Deutz-Fahr Credit.

Speaking to Business Line, the Vice-President (Overseas Business Unit) and Same Deutz-Fahr Italia S.p.A, and part of Same family, Mr Francesco Carozza, said, “At a global level we have a close tie-up with BNP Paribas in Europe and with De Lage Landen in America where we offer both wholesale and retail financing through one source, Same Deutz-Fahr Credit. The advantage of offering such facility through one source is that from time to time we can run innovative financing programs to gain momentum in retail sales and keep dealers focused on selling activities rather than having to bother about financing issues on every day basis.”

While BNP Paribas is already operating in India, DLL now plans to enter India. As soon as it is operational, “we plan to join hands with them in India as well and replicate what we are doing elsewhere. This should help our initiatives to become a major player in the India market space.”

It may be noted that SREI Infrastructure Finance Ltd, one of the leading equipment finance companies in the country that focuses on lending to the infrastructure sector, has a tie-up with BNP Paribas Lease Group, a 100 per cent subsidiary of BNP Paribas to finance agriculture, IT and medical equipment.

In India, historically the retail financing was offered by State-owned banks and private financial institutions were unable to participate due to lower interest rates offered by State-owned banks. And wholesale financing were funded by the manufacturers/dealers themselves. As reforms have taken place, two major changes have taken place in the recent years, he said.

One, most tractor manufacturers have arranged wholesale financing or channel financing through the State owned banks. Second, on the retail front, apart from the State-owned banks, private financial institutions like L&T Finance, ICICI Bank, Kotak Mahindra, India Bulls etc., have been offering finance for tractors. “However, this is still in early stages and no innovative financing initiatives have been taken as yet,” he said.

Same Deutz-Fahr Credit would help Same in India to plug the gaps in terms of financial services and also help it become a major player in the domestic market, he added.

More Stories on : Alliances & Joint Ventures | Financial Services

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
How much does it cost to deliver and collect one rupee of microfinance?

Rupee ends lower on dollar demand

C.S. Rao demits office as IRDA Chairman

Service tax on forex deals worries bankers

‘Public sector banks must expand reach to facilitate financial inclusion’

India to soon emerge as US Ex-Im Bank’s largest client

PFC signs MoU with US Ex-Im Bank

Bonds fall by 5 paise

Call rate closes at 6.5-6.6%

ICICI Bank launches credit card variant

Syndicate Bank to contain bulk deposits this year

PNB not to cut deposit rates for now

Same Deutz-Fahr to tie up with BNP Paribas, Rabobank arm

Anti-money laundering readiness of Indian banks