Merlo Group Australia Pty Ltd headquarters at Welshpool, West Australia.

Italian telehandler manufacturer Merlo SpA has opened its first non-European sister company in Western Australia, Merlo Group Australia Pty Ltd.

In a statement this week, Merlo said the Australian company was established and began trading in October 2005. The AUD5 million (USD3.7 million) investment includes purpose-built premises at Welshpool for imports and spare parts distribution and a training centre for Australia-wide sales and service.

The new company's directors are Craig Puddy, former managing director of WA Access, the previous Merlo importer in Australia, and Paolo Merlo and Guido Costamagna, in Italy.

Merlo Group Australia Pty Ltd is a joint venture company with Merlo SpA as the majority shareholder.

Puddy, Merlo Group Australia Pty Ltd's new managing director, said Australia needed a specialised company for the telehandler market.

"It is our goal to set the benchmark standard in product and industry knowledge and service. This is only made possible by a company such as Merlo investing in a true sister company, bringing all the benefits of being factory backed and part of the Merlo Group," Puddy said.

"Australia has been a key export market for Merlo for several years and Australian customers have shown loyalty to our product throughout that time," Amilcare Merlo, president of Merlo Group, said.

"With Mr Puddy we have built a relationship over recent years and discussed for some time this possibility. Recent events provided the ideal moment to start this venture.

"We have made a large investment from the outset as we have a large client base to support and we want the benefits of being part of the Merlo Group to be seen straight away," Merlo said.

The dealer network in Australia remains unchanged, apart from the addition of the United Equipment, which is responsible for sales to the construction industry in major Australian cities, excluding Brisbane (Forkliftaction.com News #227).