Kolkata: Texmaco Ltd, wagon manufacturer has signed up a joint venture agreement with an Australian firm, United Group Ltd for setting up a plant to make wagons in West Bengal.

Both the partners will cover the design, creation and supply of wagons, locomotive bogies and components and encompass passenger rolling stock as well.

Mr. Ramesh Maheshwari, President and CEO, Texmaco, said, “We plan to make the biggest wagon hub, providing end-to-end solutions not only in Bengal but the whole of Asia Pacific. We are looking for land in excess of 100 acres though work will initially start in our five factories.”

Andy Summers, chief executive (rail) of United Group Ltd told, “We have a buy-back arrangement under which we will ship components back to Australia as well. In the next three months, we will do a detailed study of the Indian market and then start work on the common facility. The project will employ around 2,000 people. For one directly employed person, there will be three indirectly employed.”

United Group is all set to have $5-billion earnings by the year-end.

The JV deal was signed in front of West Bengal Chief Minister Buddhadeb Bhattacharjee.

While lecturing the media persons after the ceremonial occasion, Mr Bhattacharjee said, “The state is poised to receive major investments in the wagon manufacturing segment. Both partners have decided to set up a unit in the state.”

Mr. Maheshwari said that the upcoming project would require around 100 acres of land along with port and rail connectivity. The company had been shown some sites by the government, he added.