| Return of Zetor to Slovakia |
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Boost for tractor production in the state stock company ZTS TEES Martin
is the interest of (Czech companies) Motokov Praha and Zetor Brno to join
forces in production and marketing of tractors. Their (annual) production
in ZTS TEES shall grow from recent 1 thousand to 4 thousand pieces. The
importance of bid of the foreign partner is illustrated by fact that yearly
production of Zetor Brno is 14 thousand tractors. To machine manufacturers
from Martin is offered a production of high performance Zetor tractors
of 120 to 140 kW. ZTS TEES is able to produce yearly 6 thousand farming
tractors but the actual reality does not exceed 1200 pieces. On Slovak
market only 200 of them may be sold the rest is exported mostly to Russia
an Ukraine where the Slovak firm plans to rise the trade by construction
of joint ventures in Volgograd and Kiev. Broader domestic sales are hampered
by low purchasing power of farmers which depends on state-subsidy allowing
to sell less than half of domestically sold tractors. At the same time
for optimal renewal of the tractor fleet about 600 to 700 tractors annually
are needed. Selling the tractors abroad is limited by financing of deliveries
because the Slovak tractors are not able to compete with foreign ones,
which are sold on beneficial 6 to 12 month delivery credits. The ZTS TEES
up to now have produced 65 thousand tractors. Their latest model UR II
C 165 49 M99 was awarded on Agrokomplex Fair 1998 by Golden Sickle.
Slovak Trade FORUM