Date:19/07/2006 URL: http://www.thehindubusinessline.com/2006/07/19/stories/2006071901910500.htm

Back Blue Star ties up with Italian co for supermarket refrigeration

Our Bureau

The products will be co-branded as Blue Star ISA

MR SUNEEL ADVANI, Vice-Chairman and Managing Director (left), Blue Star, with Mr Marco Giulietti, Managing Director, ISA Italy, at a press conference to announce the tie-up of Blue Star with ISA for supermarket refrigeration in Mumbai on Tuesday. — Paul Noronha

Mumbai , July 18

Central air conditioning major Blue Star has entered into a strategic alliance with the Italian company - ISA - for providing range of supermarket and food refrigeration solutions.

As part of the alliance, Blue Star will be responsible for sales, installation and after sales service of the commercial refrigeration products, which will be co-branded as Blue Star ISA.

At a press conference, Mr T.G.S. Babu, Executive Director, Blue Star, said, "Organised retail in the form of supermarkets and convenience stores will bring about a massive transformation in the way food products are procured, stored and sold in India. With huge investments announced by corporates such as Reliance, Fortune, Bhartis and Tatas, Blue Star is gearing up to tackle the emerging supermarket opportunities.''

Refrigeration biz

Estimating the potential of the supermarket refrigeration business at nearly Rs 100 crore, Blue Star expects the industry to ramp up in the next few years. "Considering we already have an association with department chains through our air conditioning business, there is an opportunity for us in the commercial refrigeration business as well and we expect to have a 25 per cent share in this business,'' he added.

ISA is an Italian manufacturer of retail refrigeration products and its customers include leading supermarkets in Europe such as Carrefour, Spar and Ahold. Initially, the ISA products will be imported and sold under the Blue Star ISA brand but subsequently there are plans to manufacture the range in India.

According to Mr Marco Giulietti, Managing Director, ISA, "India currently offers huge opportunities in the cold chain equipment segment. We have been on the look out for a partner to participate in this segment.''

International players already operating in this segment in the country include Carrier and Husman.

Scouting for tech partners

Blue Star is also looking at forging more alliances with European players in the area of bulk storages. "We are looking for technology partners in the area of bulk storages and have been in talks with several multinationals,'' Mr Babu said.