Starco to supply Terrion tractor range
Russia’s third-largest tractor manufacturer, the ZAO AgroTechMash (ATM) group, has selected Starco as original equipment supplier for its Terrion brand. This agreement is described by Starco as a further step in the company’s agricultural strategy and will be implemented by its Riga-based Eastern group; under the new agreement, Starco will supply the ATM group steel wheels from Titan, row crop wheels from Starco Schaad and tyres from BKT.
According to Starco CEO Peer Ejlersgaard, the alliance between Starco, Titan and BKT is a win-win for all partners. “With the recent agreement with Russian tractor manufacturer ZAO ATM Group, Starco has brought the company closer to our goal of becoming a world-class supplier to the agricultural OEM market,” he comments.
US-based wheel and tyre manufacturer Titan has adopted a wheel configuration similar to the steel wheel design already proven by Starco at its own wheel manufacturing plant. The agreement gives Titan access to Russia’s growing agricultural market and to the expertise of Starco’s Eastern Group. And while BKT is will established in the regional aftermarket via its exclusive distribution with Starco Eastern Group, the agreement with Terrion moves the Indian tyre maker into the important tractor OEM market for the first time.
A benefit this co-operation offers Starco is that it allows the company to move further into the agricultural sector without having to invest in new manufacturing technology, thus retaining manufacturing capacity for other products and customers. “We brought Titan and BKT together in this venture very quickly, our three companies work well together and we will continue to develop this partnership, with a view to supplying other OEM customers in the agricultural sector worldwide,” shares Starco Eastern Group regional director Aleksejs Dremacs.
Starco is confident it can offer the tractor OEM market a unique expertise, specifically the ability to combine selected products and technologies to give the OEM manufacturer a tailor-made solution that no single manufacturer currently can deliver. “The product philosophy behind this cooperation was in many ways inspired by our experience with con-version kits for other segments,” Ejlersgaard. “Our organisation has both the expertise and the way of thinking necessary to tackle such a contract.”
Starco’s Terrion supply will also include as standard steel wheels configured for mounting Starco Schaad dual wheels. Farmers purchasing Terrion tractors will thus have access to Starco Schaad products, at both OEM and aftermarket level; Starco believes this gives the Terrion tractor range an important edge on its competitors.
The trend towards supplying OEM customers in the agricultural sector is a logical one for Starco, the Danish company believes. “Many of the initiatives that we have implemented in the past ten years are bearing fruit and complementing each other,” explains Ejlersgaard. “Our increased focus on the agricultural sector, our growth in Russia and Eastern Europe, and most recently our expansion into South Africa; regions in which agriculture is in rapid growth, make good business sense. Our ability to combine the products and expertise of major tyre and wheel manufacturers without own design and manufacturing capability, and with our specialised products such as Schaad dual wheels, make Starco a unique supplier to agricultural and industrial customers worldwide. For the specialised OEM customer, Starco is a one-stop-shop to be reckoned with.”
The OEM supplied wheels and tyres will be assembled by Starco in St. Petersburg for delivery to the ZAO ATM factory in nearby Tambov.