City-based 3F Industries has tied up with Japan's Fuji Oils to set up a joint venture firm to produce non-dairy cream and other food ingredients.
"Fuji will hold 55 per cent while the Indian partner will have 45 per cent stake in the JV," Sushil Goenka, Director of 3F, said here today.
"The initial investment in the plant, machinery and land is expected to be around Rs 100 crore and it is expected to commence production by March 2015," he said.
Fuji Oil would bring in world-class technology and 3F Industries would be involved in the setting up of the project, distribution and marketing of the products, he said.
The plant will have initial capacity of 500 tonnes per month and the production is expected to be doubled after two years, Goenka further said.
"Twelve more related products such as softy ice cream, cooking cream are in the pipeline to be launched after non-dairy cream," he said.
The plant will be developed at Burgul near Hyderabad.
Fuji Oil is a leading producer of oils, fats, food ingredients and processed foods, with marketing footprint across the globe. 3F Industries (formerly Foods, Fats and Fertilisers Ltd), a 50-year-old company based in Andhra Pradesh, is a pioneer in the manufacture and sale of bakery shortenings, margarine and other speciality fats.