Central regions | Industry, manufacturing | Farming, agriculture

Once Kaluga plant is finished, John Deere is to move to Voronezh

2 Apr '09
US manufacturer of agricultural, construction and forestry machinery Deere&Company is considering construction of an $80m plant to produce harvesters under John Deere brand in Voronezh region, Kommersant reports.

The project is reportedly as large-scale as an $80m production center in Kaluga, announced by the company earlier (see Marchmont news of March 18, 2009 and news update of March 31, 2009).

Experts believe that, since the Customs tariffs on imported agricultural machinery were tripled to 15%, setting up production in Russia would lower prices on harvesters price by 10%.

Construction is to start in 2010, after Kaluga production center is put into commission, the paper said.

Further project parameters have yet to be announced.
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