Indian commodities trader Tata International has a formed a joint venture with Swiss trading firm Mercuria to collaborate on supply chain and trading solutions, Mercuria said on 6 February.
The joint venture, which has not been named, seeks to expand its trading business and "enable trade of a diversified basket of commodities" in international markets including energy, metals, agricultural products, oil and gas, and environmental products.
Tata International mainly trades and procures commodities including metals, minerals like coal and sponge iron, and agriculture such as grains and oil seeds, and serves a wide range of downstream users in steel and manufacturing industries. Its partnership with Mercuria can help the firm gain access to supply chains and trading resources in commodities including oil and gas, renewable energy and metals. Mercuria also seeks to expand its international market reach through the venture which will be based in India.
The joint venture will begin operations pending regulatory approvals. It will also form a "compliant trading platform", based on the companies' existing resources and risk management tools.
Other international trading firms have also been looking to form partnerships this year. This includes global metals firms Rio Tinto and Glencore's failed merger last week.
