LORENA, Brazil -- Watts Industrial Tyres has signed a joint-venture agreement with Souza Pinto Industria e Comercio de Artefatos de Borracha Ltda to manufacture and distribute Watts solid industrial tyres in Brazil.

Watts, market leader in the United Kingdom, had appointed distributor Ernani de Souza Pinto Filho in 1998. Mr Souza Pinto Filho's company had been producing a limited range of solid tyres, complemented by imported Watts product.

The joint-venture agreement to allow Mr Souza Pinto Filho's company to manufacture Watts tyres was negotiated because currency fluctuations in Brazil made imports less profitable. A new manufacturing facility, based in Lorena, began production in October.

Watts sales and marketing director Carlo Piccirilli said he would soon travel to Brazil to meet new customers.

"Brazil is the largest market in South America, with huge potential. It is an important strategic manufacturing location for the domestic and other markets," he said.

Meanwhile, Watts has launched www.industrialtyre.com, a revamped website that includes its popular tyre selector tool which helps customers match tyres to their requirements.

Further site developments will include an online ordering facility for distributors, possibly this month, a live help desk and daily rubber news.