Agri machinery maker Mahindra & Mahindra today announced a tie-up with Italy based farm equipment company Maschio-Gaspardo S.p.A for getting supply of a complete range of rotary tillage equipment.

"Our partnership with Maschio...will provide farmers with greater options for mechanisation.

"With this association we hope to provide world class products to increase rural productivity and efficiency," Company's President (Automotive and Farm Equipment Sectors), Pawan Goenka told reporters here.

As part of this agreement between Maschio and Mahindra AppliTrac (part of Mahindra & Mahindra's farm equipment sector) the Italian company will manufacture rotovators.

This will be bearing the Mahindra brand name which will be available through both Mahindra and Swaraj dealerships.

Maschio will also manufacture other kinds of rotary tillage equipment for planting, seeding, crop care and crop residue management for Mahindra AppliTrac, he said.

The European firm will also set up a farm equipment manufacturing plant in Pune with an investment of Euro 3 million. This plant will be operational by 2013, Goenka said.

With issues such as labour shortage and increasing wage and input cost, farm mechanization has witnessed rapid growth in rural areas in the recent past, he said.

Mahindra AppliTrac business focuses on the complete value chain of farm mechanisation solutions, from land preparation to post harvest solutions at affordable price to Indian Farmers.

The 150 million Euros Maschio Group has 4 large production centres in Italy and manages a large industrial group including two production companies.